Complete guide to obtaining a passive income visa for digital nomads in Portugal, the eligibility criteria, the requirements, and FAQs

Heart of football and sunshine, Portugal is a must-see country that you need to check off your bucket list. While Portugal is known for its beautiful beaches, tasty cuisine, and a life-changing experience, this does not mean it comes with high pricing. There are many ways you can start living in Portugal, and if your freelancing job is the only thing holding you back, there is an application opportunity known as a passive income visa.

Does Portugal Have A Digital Nomad Visa?

As of May 2022, Portugal does not have a digital nomad visa. Instead, as a digital nomad, your best option is the Portuguese passive income or D7 visa. The D7 visa allows you to work remotely while living in Portugal, as long as you can provide proof of your passive income (which is not obtained from within Portugal). You can work as a freelancer or do remote work, but must not work for a Portuguese employer. 

If you would like to enter the Portuguese work market, you must obtain a Portuguese work visa.

What Are the Portugese D7 Visa Eligibility Criteria?

To be able to get the Portuguese passive income visa you must:

  • Provide proof of a passive income required which is at least the Portuguese minimum wage. In 2022, the Portugal minimum wage was set at €9,870/year. If you want your family to join you as a dependent, an additional 50% of the minimum wage is required.
  • Obtain a Portuguese NIF Number (Numero de Identificacao Fiscal). You have to apply for a NIF Number at a Finance (Tax and Customs Authority) service point in Portugal. The NIF number enables you to do any activity regarding business or financial transactions.
  • Open a Portuguese bank account. Everyone residing in Portugal must have a Portuguese bank account as well as the NIF Number in order for their funds to be valid.
  • Meet the minimum stay requirement. You must be able to stay in Portugal for 16 months uninterrupted in the first two years.

Benefits Of The Portugal Passive Income Visa

If you have acquired a Portuguese passive income visa, you are now entitled to the following benefits:

  • The opportunity to live in Portugal. You will have the chance to enjoy the warm weather and kind people. The right to live, work and/or study in Portugal
  • The opportunity to study in Portugal. Living in Portugal will enable you to attend their schooling system
  • Your family (children, spouse, parents) can join you as dependents. You will be able to share the beauty of Portugal together with your family.
  • The opportunity to apply for Non-Habitual Resident (NHR) tax regime status. The NHR is a system that allows expats to either pay only 20% of the taxes or be completely excluded from the tax payment requirements.
  • The opportunity to apply for Portuguese permanent residency or citizenship. After living in Portugal for a specific period of time, you will be eligible for a permanent residence permit which will then open the opportunity to apply for Portuguese citizenship.

Portugal D7 Visa Requirements

The required documents for the D7 passive income visa application are:

  • Your valid passport. Your submitted passport must be valid for six months after your D7 visa expiration date.
  • Passive Income D7 Visa Application Form. You can find the application form on the Portuguese government website of the Ministry of Foreign Affairs.
  • Proof of passive income. You must submit a document (bank statements, work contract, etc), which proves you will receive passive income for the duration of your stay in Portugal.
  • Passport-sized photos. You will be asked to submit two photos according to the Schengen visa application photo requirements.
  • Prove your accommodation. Submit either a rental agreement with a Portuguese landlord or an AirBnB reservation if applicable.
  • Cover Letter. The cover letter must state the reason behind your stay.
  • Health Insurance. Your private medical insurance must be valid in Portugal and must cover €30,000 during your complete stay.
  • Clean criminal record. Head to your local police station and ask for your non-criminal certificate.

How To Apply For A Portuguese D7 Passive Income Visa?

If you want to apply for a Portuguese D7 passive income visa, follow these steps:

  1. Set an Appointment With the Nearest Portuguese Diplomatic Mission. You can start the D7 visa application process through the Portuguese embassy or consulate in your country. Portuguese diplomatic missions have the jurisdiction over issuing D7 visas. Contact the embassy and schedule an appointment for the submission of the visa application.
  2. Submit the Required Documents for the Portugal Passive Income Visa. Depending on the diplomatic mission, you can submit the documents in person or by mail.
  3. Wait For an Answer. Acquiring a D7 passive income visa can take around three to four months to process. Failure to submit the correct information or insufficient documentation will extend the waiting time. Due to the continuous change of travel restrictions, the processing time for the D7 passive income visa may take up to six months. 
  4. Enter Portugal and Register Your Residence. If your visa application is accepted, you can enter Portugal as a remote worker. Once you enter Portugal, make sure you head to the SEF (Serviço de Estrangeiros e Fronteiras or Foreigners and Borders Service) to register as a resident. You are required to register within three working days. 
  5. Attend the interview for the residence permit. Once you register, you will be entering an interview for the D7 residence permit. The waiting period for acquiring the residence permit is around two weeks. After your D7 residence permit is issued, you are now eligible for all benefits which the passive income visa provides.

Portugal Passive Income Visa Fees

The required payment fees for the D7 passive income visa are as follows:

TypeCost
D7 Passive Income Visa Application.€180
Initial Residence Permit€320

Costs of Living in Portugal

Since living in Portugal is known to be very affordable and is, therefore, one of the number one visitor attractions in the whole world, your daily expenses will vary from around €1,500 to €2,000 for a comfortable lifestyle.

Not only is living in Portugal one of the best and cheapest options out there but it has been also classified as one of the top destinations for retiring as well. If you would like to retire in Portugal,  you will need a Portuguese retirement visa.

What Is The Difference Between A Passive Income Visa And Tourist Visa?

The differences between a passive income visa and a tourist visa are:

D7 Passive Income VisaTourist Visa
Suitable for remote workers, freelancers, and entrepreneurs.Suitable for those who wish to visit Portugal as a tourist.
Valid for two years.Valid for 90 days at most.
Can be extended for longer stays.Can not be extended any further.
Your family members can join you.Your family members are not allowed to join you.
Eligible for the road to permanent residency.Not eligible for permanent residency.

One common ground between the passive income and the tourist visa is that neither allows you to work for a Portuguese employer. You will need to apply for a long-stay visa instead.

Places To Visit In Portugal

If an extra push is what you need in order to start your life in Portugal, here are some must-see attractions you should not miss:

Lisbon

The capital of capitals, Lisbon has more than a handful of attractions you absolutely must-see. From Jerónimos Monastery to the Oceanarium, your heart will be filled with excitement in each corner of Lisbon.

Adrenaline-Fueled Adventure

There are many activities you can look forward to during your stay in Portugal. From kayaking on the Lisbon Coast or hiking in Serra do Gerês, Portugal offers many options for those adrenaline junkies who are constantly on the lookout for new adventures.

Culture Paradise

Besides its breathtaking beaches, Portugal is also known for its beautiful architecture. There are many monasteries, castles, palaces, and towers waiting for your artistic soul to come and visit them.

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