Portugal’s D7: Passive Income Visa Requirements & Eligibility

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Last updated on October 25, 2024

Dreaming of moving to Portugal?

Have a steady passive income (e.g. pension or social security) that amounts to €820 per month or more? Have a year’s worth of savings (€9840 for an individual)?

Then, Portugal’s D7 visa might be your ticket to Portuguese paradise.

At Portugalist, we’ve been guiding folks to their Portuguese dreams since 2016. Ready to turn your Portuguese fantasy into reality? Let’s chat. We’ll help you dodge bureaucratic curveballs and land smoothly in Portugal.

Overview of Portugal’s D7 Visa

Nicknamed the “passive income visa” or the “Portugal retirement visa,” the D7 is your golden ticket to Portuguese residency for those that don’t already have a passport from an EU/EEA country or Switzerland.

All you need is a steady stream of passive foreign income – think pensions, social security, rental income, royalties, or dividends.

How much do you need? As much as the Portuguese minimum wage. That’s just €820 per month as of 2024. No need to invest, buy a property here (unless you want to), or anything else.

Given the low income requirements, this visa is particularly popular with retirees from the US, Canada, and the UK. However, it’s not exclusively for retirees — anyone with regular passive income can apply.

Main Requirements for the D7

  1. Income requirement: The minimum income requirement for a single applicant is €820/month (2024 figures).
    • Bringing your better half? Add 50% or €410.
    • What about dependent children? Add 50% or €246 per kiddo.
  2. Passive income: Now, when we say passive income, we mean the kind of money that rolls in while you’re busy working on your tan.
    • We also typically mean foreign sourced income.
    • Think pensions, dividends, royalties, or that rental property back home.
  3. Savings: Don’t forget your financial safety net – you’ll need a year’s worth of savings tucked away in a Portuguese bank account.
    • Single applicants – that’s €9,840 (€820 X 12).
    • Couples – bump it up to €14,760 (€1230 X 12).
    • Parents – Add €2952 per dependent child (€246 X 12).
  4. An address in Portugal: That’s right: you need an address in Portugal before you’ve actually moved there.
    • Most people rent a property, often over the internet if they’re not able to come to Portugal, while others buy a property.
    • It is also possible to get a letter of invitation (aka “term of responsibility”) from someone willing to host you.
  5. Stay requirement: Unlike the golden visa, this particular visa for people who really want to move to Portugal.
    • For example, within the first two-year period, you should not leave Portugal for more than six months in a row or eight months in total.

Here’s what those income requirements look like on paper.

Monthly passive income Savings Requirement
Single Person €820 per month €9,840
Couple €1,230 per month €14,760
Couple + Child €1,476 per month €17,712

Note: Many websites show out-of-date and incorrect information for the D7 visa e.g. they show the old income requirement of €760 or suggest NHR is still an option for pensions and social security. Do your research and contact us if in doubt.

Additional Requirements

Meet the above requirements? Let’s delve a little more into the weeds.

  • NIF Number: This is your Portuguese tax identification number.
    • Usually a lawyer will get you this as you’ll need a fiscal representative if your legal residence is outside the EU/EEA.
    • But there are also online services that are typically cheaper (we can help you get a discounted NIF here).
    • You can also come to Portugal and obtain one at a Finanças, Loja de Cidadão, or Espaço Cidadão (but again, you’ll need a fiscal representative with you).
  • Portuguese Bank Account: You’ll need to load this up with the required amount of savings, and start receiving that passive income in there too.
    • It isn’t possible to open a Portuguese bank account online directly (with mainstream banks like Millennium bcp and Novobanco).
    • Most people come to Portugal to open an account or use a lawyer or relocation company to obtain one remotely (we can help you open a Portuguese bank account here).
  • An address in Portugal: You’ll need an address in Portugal before you submit your visa application. Yep! It may sound like the cart before the horse but, unfortunately, that’s just the reality. There are several ways to get one.
    • By coming to Portugal to find a property to rent or purchase.
    • By contacting landlords and rental agencies directly and renting over the internet (Idealista and OLX are popular websites).
    • By using a rental agency or immigration company to find a rental for you (we can put you in touch here).
  • Personal Statement: Your “Why I’m moving to Portugal” love letter.
    • This is your chance to convince the Portuguese immigration authorities why you should be allowed to move here.
  • Criminal Record Certificate: You’ll need a criminal records check (or FBI report for Americans) from every country you’ve been resident in.
  • Portuguese Criminal Check Consent: Even though you haven’t lived in Portugal yet, they will still want to run a background check on you.
  • Marriage and Birth Certificates: If you don’t already have these documents in your sock drawer, you’ll need to request them from the relevant government department.
  • Travel Insurance: You’ll need travel insurance to cover you during that 120-period while you’re in Portugal waiting for your AIMA (previously known as SEF) appointment.
    • This insurance should include repatriation and include at least €30,000 worth of cover.
    • AXA Schengen is a popular option.
  • Health Insurance: You won’t need this until you attend your AIMA interview, but due to waiting periods, it may be worth getting it slightly earlier. There are several ways to get health insurance.
    • Through an insurance broker (get a quote here).
    • Through your Portuguese bank (many offer health insurance as well as other financial products. However, it’s always worth comparing with a broker).
  • Passport Photos: 2 X European-sized passport photos.
  • Flight Itinerary: You’ll need to have your flight to Portugal booked — even before you know whether your application will be approved or not, and some consulates ask for a return flight rather than a one-way flight.
  • Visa Application Form: The form itself. Usually available in English and Portuguese.
  • Valid Passport: Your passport must be valid for at least six months from the date of the visa application, and have at least two blank visa pages.
    • Passport expiring soon? Maybe this is a good time to renew anyway.

More requirements? Maybe. Consulates and VSF offices often have their own unwritten requirements that you won’t know about unless you work with a lawyer who’s familiar with them or speak to someone who’s applied through that particular Portuguese consulate or VSF office recently.

What’s So Great About this residence visa?

  • Easy Income Requirements: Showing just €820 per month? That’s doable! Due to Portugal’s lower minimum wage, many Americans and Brits will meet the minimum passive income requirements with their pension or social security. Easy peasy!
  • Family-Friendly: Bringing your better half? Just add €410 to your monthly requirement. Compare that to the D8 (digital nomad) visa, where you’d need to show a whopping €3,280 base income + 50% for your spouse or partner.
  • Budget-Friendly lawyer fees: Typically €1,000-€3,000 per person. Compare that to the golden visa’s eye-watering €10,000, and you’re practically getting a bargain!
  • No Property Strings Attached: Want to test the waters before diving into Portuguese real estate? Rent away! No need to commit to buying right off the bat.
  • No Investment Requirement: Unlike its flashy cousin, the golden visa, the D7 doesn’t demand you pour hundreds of thousands into Portuguese companies or funds. That means your money isn’t tied up and you can spend it on that new home in Portugal (or just traveling around Europe).
  • Speedy Processing: Time is money, and the D7 saves you both. You’ll have your application processed at least 3 times faster than the golden visa.

The Not-So-Great:

  • Income requirements: Got a fat savings account? Sorry, that alone won’t cut it. Portugal’s looking for steady income, not just a lump sum.
  • Itchy Feet? The physical stay requirements might cramp your globetrotting style.
  • Tax Talk: Unlike its fancy cousin the golden visa, the D7 will likely make you a Portuguese tax resident. Don’t panic! Even though the non habitual resident regime (NHR) no longer benefits retirees (some people may still benefit), there are tax treaties that will likely save you from double taxation. However, it’s important to speak to a tax professional.
  • Adequate Accommodation: You’ll need a Portuguese address to apply. Yep, that often means renting sight unseen or buying a property straight away. Sorry, Airbnb, hotels, and short-term rental contracts are typically not accepted.
  • Conflicting Requirements: This happens with all visas (not just the D7) but you may find that different consulates and different VSF offices have different requirements.

What’s so Great About Having Residency in Portugal?

Sunshine? Check. Beaches? check. Delicious, affordable wine? Check. But what about the practical benefits of having a Portuguese residency permit?

  • Healthcare Benefits: Say “adeus” to medical worries! The Portuguese national health service (SNS) has got you covered from your cabeça to your pés. Want to use private hospitals? You’ll find they’re more affordable and so is health insurance too.
  • Ease of Travel Within Europe: Rome for lunch, Alps for dinner? Maybe that’s an exaggeration but with visa-free Schengen travel, Europe’s your oyster.
  • Portuguese Citizenship: After five years of legal residency in Portugal (or even a tad less), you could be submitting your application for Portuguese citizenship. With that passport, you’ll be able to live, work, and study anywhere in the EU/EEA or Switzerland.
  • Affordable Education: Fancy a degree without the fancy price tag? Your residence permit is your golden ticket to public education at local rates. Kids in tow? They’re covered too. Time to dust off those thinking caps!
  • English Widely Spoken: No need to be fluent in “obrigado” just yet as there’s no language requirement to make the move. (Though you’ll need to show an A2 level Portuguese for citizenship. Plenty of time to practice!)
  • Side-Hustle Friendly: Freedom to work in Portugal or start a business (although you must initially qualify with passive income.

Would I Qualify?

Let’s see if you’ve got what it takes for a successful D7 application:

  1. Age: There’s no upper limit, so whether you’re 18 or 80, you’re in the game.
  2. Passive Income: The Portuguese government is looking for sufficient passive income. We’re talking money that flows into your account while you’re busy lying on a beautiful Algarve beach. Pensions, dividends, rental income – that’s the good stuff.
  3. Minimum Income: As of 2024, you need at least €820 per month for a single applicant. Bringing himself or herself? Add 50%. And add 30% for each dependent child.
  4. Savings: You’ll need to show you’ve got money stashed away for a rainy day. Take the monthly amount you need (e.g. €820 for an individual) and multiply it by 12. This money will need to go into a Portuguese bank account, so you will need to withdraw it from any investment or savings accounts you currently have.

But what about…?

  • Savings? Savings are great, but Portugal’s not keen on you spending it all on a seaside villa (or a wild night in Vegas). They prefer steady, predictable income. If you only have savings, consider the golden visa.
  • Remote work or freelancing income? Having a side hustle may benefit your application, but remember – you need to meet the minimum amount with passive income. If you don’t have enough passive income, consider the digital nomad visa.

Still interested in the D7? Another option is to buy a rental property and qualify using the rental income or to buy an annuity. These are both examples of regular passive income and so are liked by the Portuguese tax authorities.

What About Couples & Kids?

Thinking of bringing the whole clan to Portugal? Let’s break down whether this visa works for families. There are two main things to think about.

  1. Are those family members eligible?
  2. Do you have sufficient income to cover those additional family members?

In terms of eligibility, the following family members can typically be added to a D7 application:

  • Spouse or long-term partner (because adventure is better shared).
    • Add 50%.
  • Dependent children (typically this means children under 18 or in full-time education).
    • Add 30% per child.
  • Your parents or your spouse/partner’s parents (as long as they are dependent on you, either financially or physically).
    • There’s no official requirement, but assume you should add 50%.
  • You or your partner’s minor siblings.
    • Add 30% per child.

Most couples and families move at the same time, but it’s possible to apply for family reunification (D6 visa) later if one person moves first.

Tip: A long-term partner normally means someone who you’ve lived together with for 3+ years. Typically consulates will look at shared bills and shared bank accounts at the same address.

Here’s the kicker:

  • Only the main applicant’s income counts. So if you’re applying as a power couple, one of you needs to bring in the whole €1,230 — even if the other person has a pension, social security, or other income as well.
  • Applying together usually makes more sense than going solo. This way you only need to add 50% for that spouse or partner. If they apply separately, they’ll need to show the full amount as an individual. However, there may be some instances where applying separately makes more sense.
  • What if the main applicant doesn’t have enough passive income to cover both? This would be a good time to have a chat with the Portuguese consulate (ideally through a lawyer). Who knows? There may be some leeway.

Process

The following is an overview of what typically happens when you apply for the D7 residency visa.

Step Explanation
Consult Lawyer Speak to an immigration lawyer or relocation company (hint, hint: Portugalist) to determine if the D7 is right for you.
Scouting Trip (optional) You may want to come to Portugal to see if it’s the right fit for you. This is a good opportunity to find a property to rent or buy (tip: have your NIF number and Portuguese bank account first).
Second Scouting Trip (Optional) Some people come to Portugal for two or more scouting trips — the first to see if they like it and the second for practical reasons.
Gather Documents You will need to gather the required documents. This includes more complicated requirements like a NIF number, Portuguese bank account, and address in Portugal.
Apply Submit your documents to your nearest Portuguese consulate or VSF Office (this is always done in your country of residency). It’s recommended that you do this through a lawyer, but it is possible to apply directly.

Note: this interview is usually to go through your documents. Don’t think of it like a job interview.

Receive Visa Following a successful interview with the nearest Portuguese consulate or VSF Office, you will receive a temporary visa which allows you to move to Portugal and stay there for 120 days.
Fly to Portugal Fly to Portugal. (Tip: try to bring as much as you can on the plane with you).
Arrange Health Insurance You will have taken out travel insurance for your initial 120-day visa, but now you’ll typically need health insurance (they’re different). You can arrange this before you move to Portugal, but at the very least you should arrange it before attending your AIMA appointment.
Attend Interview During that 120-day period, attend an interview with AIMA. Normally, this interview is scheduled in advance by the consulate or VSF Office. If this doesn’t happen, you will need to contact AIMA to arrange your appointment (note: getting an appointment can be challenging).
Receive Residency Permit Shortly after your AIMA interview, you will receive your temporary residency permit (this initial residency permit is valid for 24 months). Congrats! You are now a Portuguese resident.
Register for Healthcare You will probably already have health insurance, but as a legal resident you are now entitled to apply for an SNS number (número de utente) and start using the public healthcare system.
Renewal After two years, attend another interview with AIMA to renew your temporary residence permit (valid for 36 months this time).
Portuguese Exam If you’re applying for Portuguese citizenship or permanent residency, you will need to show an A2 level of Portuguese (upper-beginner). Most people sit an exam but it’s also possible to attend a government-approved course (typically 150 hours in length).
Renewal & Citizenship Application After 36 months, renew you residence permit. Around the five-year mark, you will also be able to apply for Portuguese citizenship through naturalization (due to the new rules, this is likely to work out at less than five years). You can also apply for permanent residency at this point, should you wish.
Receive Passport Portuguese citizenship applications are taking around 2 years at the moment, so you should expect to receive your Portuguese passport around 12-24 months after applying. Congrats! You are now a Portuguese citizen and can live anywhere in the EU/EEA or Switzerland.

Example Costs

Although the government fees on the D7 are low, that doesn’t mean it’s completely free. The following are some of the costs you should factor in:

Cost Type Estimated Cost Notes
NIF Number €60-€350 Can be higher depending on the service provider
Bank Account Opening €0-500 It is possible (but sometimes challenging) to open a bank account in Portugal. However, to open one from abroad, you’ll typically need to use a company or lawyer, which costs money.
Lawyer Fees €1,000-€3,000 per person Often includes NIF, bank account, and application fee
Criminal Record Checks Varies Required for both your current country and Portugal
Scouting Trip Costs Varies For scouting trips or apartment hunting
Travel Insurance Varies Required for visa application
Health Insurance Varies Typically required for the AIMA interview, although some travel insurance may still be valid
Document Certificates Varies For birth, marriage, and other required certificates
Passport Photos €10-€20 A small but necessary cost

How Does the D7 Compare With Similar Visas?

Let’s play “Visa Matchmaker” with the D7’s top contenders: the golden visa and digital nomad visa (or D8). Figures are based on a single applicant, so you’ll need to adjust the numbers if you’re moving with a spouse or children.

D7 (this visa) Golden Visa Digital Nomad Visa
Income Requirement €820 p/month None €3280 p/month
Income Type Passive (e.g. pension or social security) None Active (Remote work or freelancing)
Investment/Donation Required No Yes (€250,000-€500,000) No
Physical Stay Majority of year 7 days p/year Majority of year
Tax residency requirement Yes No Yes
Typical Fees €1,000-2,000 p/person €10,000 p/person
€1,000-2,000 p/person

The Verdict:

Here’s the deal:

  • If you have passively-earned income (e.g. a pension or social security) and you want to live in Portugal for the majority of the year, the D7 is probably the best visa for you.
  • If you have actively-earned income (e.g. a remote job or freelancing income) and you want to live in Portugal for the majority of the year, the D8 is best for you.
  • Qualify for both? Best to speak to a lawyer or immigration consultant (like us, hint hint). However, if you’re adding family members, the D7 is likely to be easier to qualify for.
  • Not ready to move to Portugal full-time? Want to maintain tax residency elsewhere? Have significant savings but no passive income or active income? The Portugal golden visa program is probably the best option for you.

A more in-depth comparison of the golden visa and D7 can be found here.

Other visas? Yes, there’s the D2 for entrepreneurs, employment visas like the D1 and D3, and study visas like the D4 and D5. Generally, these aren’t as ideal because:

  • D2: Setting up a business is hard — as is getting a D2 application approved.
  • D1 and D3: It’s hard to find companies willing to hire non-EU citizens.
  • D4 and D5: This is an option, but be sure to factor in university fees. Be aware also that many courses last less than 5 years – so not quite long enough for you to qualify for permanent residency or Portuguese citizenship.

FAQs

Q: What are the financial requirements for the D7 visa?

A: Show €820/month in passive income for singles. Couples? Add 50% or an additional €410. Kids? Toss in 30% (or an additional €246) per dependent child. Don’t forget a year’s worth of savings! To calculate this, take the income requirement and multiply it by 12.

Q: If applying with rental income, is this profit after the mortgage and other costs?

A: The law doesn’t specifically state, so your profit could technically be less than the Portuguese minimum wage. However, the authorities reviewing your application will sense-check it to make sure you have enough income to live in Portugal.

Q: How long does the visa application process typically take?

A: Usually 2-4 months. But that’s not including the time it takes to figure out where you want to live, gather documents, etc.

Q: Do I need to prove Portuguese language proficiency for the visa?

A: Nope! Move first, learn “obrigado” later. (But you’ll need A2 level for citizenship or permanent residency down the road.)

Q: What healthcare options are available for D7 permit holders?

A: You will get access to the Portuguese national health service (SNS) once you’re a resident. However, you will likely need valid health insurance coverage for your AIMA interview and, despite having access to the public healthcare system, an increasing number of people now have a medical insurance plan as well.

Q: How long should my lease be?

A: Typically a rental agreement should be at least 12 months but some consulates will accept a 6-month rental agreement. Some consulates will even accept Airbnb or hotel bookings, but that really isn’t the norm anymore (especially for those applying from the US).

Q: Can I work remotely for a non-Portuguese company while on this visa?

A: Sim! Work from your balcony overlooking the Atlantic or work in a Portuguese cafe. Just remember, this is called “the passive income visa” for a reason: you need a stable passive income to initially qualify for the visa, but that doesn’t prevent you from working in Portugal or remotely.

Q: What are the tax implications for D7 holders?

A: You will likely be a tax resident and Portuguese tax residents are taxed on their worldwide income. But fear not, tax treaties usually prevent double taxation. Want to avoid becoming a Portuguese tax resident? Check out the Portuguese golden visa, which only requires you to spend an average of 7 days per year in Portugal.

Q: How long can I stay out of Portugal without jeopardizing my visa status?

A: Stick around for most of the year. No more than 6 months away in one go or 8 months total in your first two years.

Q: Are there specific areas in Portugal that are popular among D7 visa holders?

A: Lisbon, Porto, the Algarve, Cascais, and the Silver Coast are expat favorites. But Portugal’s full of hidden gems and you could settle anywhere in Portugal – including Madeira and the Azores islands.

Q: Can I purchase property in Portugal while on the D7?

A: Absolutely! You don’t need to purchase a property to qualify for this visa but you can if you want to — either before or after qualifying for the visa. Rent or buy, the choice is yours!

Q: What are the disadvantages of the D7?

A: You’ll need to spend the majority of the year in Portugal, and you’ll likely become a tax resident. Another challenge is needing to rent or buy a property before moving to Portugal. But for many, the pros outweigh the cons!

Q: Is Portugal’s D7 visa ending?

A: No plans to end it as of now. It’s still Portugal’s favorite visa for passive income earners! However, it is notable that the D8 requires four times the income the D7 does, meaning it’s possible they may increase the income requirements in the future.

Q: How long is the residency permit valid for?

A: Initially 2 years, then renewable for 3 years. After 5 years, you can apply for a permanent residence permit (valid for 10 years) and Portuguese citizenship (valid forever).

Q: How do I prove my income?

A: Bank statements, pension letters, rental income proof – anything showing steady passive income.

Q: Can I apply for the D7 with a criminal record?

A: Yes, but it depends. You don’t need a completely clean criminal record to move to Portugal but the crime would need to warrant a prison sentence of one year or less in Portugal. Let us help you figure this out (and craft a personal statement that is upfront about it).

Q: What if they reject my visa application?

A: We recommend working with a fantastic lawyer or relocation company to make sure this doesn’t happen. However, if it does, Portuguese law gives you a chance to state your case.

Q: Do I need a Portuguese bank account?

A: Yes, it’s part of the application process for the D7 (and other visas like the D8). You’ll need to show your passive income coming into your Portuguese bank account and you’ll need to add at least a year’s worth of savings to the account.

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