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Here’s a question that keeps coming up: can you actually work once you’re in Portugal on a D7?
Some officials say you can. Some say you can’t. Immigration lawyers give different answers. It’s one of the most confusing aspects of Portugal’s residency system.
In this article, we’ll break down what the D7 visa actually is, whether you can work on it, what the risks and requirements are, and whether you might be better off with a different visa altogether
The Basics
Let’s start with the basics: the D7 is not an employment visa. Portugal has other visas for that. The D1 and D3 are for people working for Portuguese companies, while the Digital Nomad Visa (D8) is designed for remote workers employed by foreign companies or freelancers working for foreign companies.
The D7 is specifically designed for people with passive income—those who can support themselves without needing to work. This typically includes retirees living on pensions or US Social Security, but it also covers anyone with sufficient passive income from rental properties, dividends, royalties, annuities, or similar sources.
The whole point of the D7 is that you don’t need to work. You’ve already got the income sorted.
But What If You Want to Work?
Here’s where things get interesting.
Even though the D7 isn’t meant to be a work visa, many people in their 30s, 40s, 50s, and older apply with this visa. Maybe you’ve built up an investment portfolio that generates dividends. Maybe you own rental properties. You meet the passive income requirements, but you’re not actually retirement age. Or maybe you are retirement age, but you’re not ready to stop working just yet.
The Legal Gray Area
Immigration lawyer Sandra Gomes Pinto explains the complexity:
“The D7 was created for passive income holders, so it was not intended for people that wanted to work in Portugal. But in civil law, everything that’s not fully forbidden should be allowed. Many times the D7 card will say expressly that you can work in Portugal, so I would say yes. Although this is not completely clear—there are contradictory positions. I’ve seen, for instance, a Canadian D7 holder told by officials that she could not work in Portugal, although many times the D7 cards say expressly that you can work. So I would say if there is nothing expressly forbidding it, you can do it. This is my take on this.”
In other words: probably yes, unless it’s expressly forbidden on your specific residence permit. But even immigration professionals encounter contradictory information from consulate officials and AIMA staff.
What You Need to Know Before Working on a D7
If you’re considering working while on a D7 visa, here are the critical factors:
1. You Must Still Meet the Passive Income Requirements
You need to qualify for the D7 first and foremost. This means proving you have sufficient passive income to support yourself in Portugal. Any work income comes on top of this requirement, not instead of it.
2. Wait Until You Have Your Residence Permit
You cannot legally work until you’ve received your physical residence permit card. According to regulations, this should be granted within 120 days of arriving in Portugal. In reality, with current AIMA backlogs, you may wait 6 months or longer after arrival before receiving your card and being able to work.
If you’re planning on working, and need to rely on income from working, the D7 may not be the best path for you. As mentioned, it’s really for those who can support themselves with passive income and don’t need to work.
3. Tax Residency Is Almost Certain
If you spend more than 183 days in Portugal, you’ll be considered a Portuguese tax resident. This applies even if you’re working remotely for a foreign company. Portuguese tax residents are taxed on their worldwide income.
4. Your Employer Needs to Be On Board
If you plan to work remotely for a foreign employer, get their permission first. They’ll need to understand the legal and tax implications of having an employee working from Portugal. Some companies have policies against this. If they say yes, they may want you to become a freelancer or hire you through an employer of record.
5. Social Security Contributions May Apply
Depending on the type and volume of work you do, you may need to register with and contribute to Portuguese Social Security.
6. Finding Local Jobs is hard
A lot of people who ask if they can work on the D7 visa are unaware of just how hard it is to get a job in Portugal — especially one that pays reasonably well. Portugal has the lowest wages in Western Europe, and the cost of living is on the increase.
If one of your primary goals is to work in Portugal, research local salaries, whether you’ll need to speak Portuguese, taxes, and job availability in the area you’re thinking of moving to.
7. Keep Your Passive Income Flowing
When it comes time to renew your D7 visa, you’ll need to demonstrate you still meet the passive income requirements. While it’s possible to switch visa types at renewal, it’s typically easier to renew under the same category you entered with. Don’t let your passive income streams dry up.
Should You Consider a Different Visa?
In some cases, it may be worth considering a different visa — even if you qualify for the D7 Visa.
If Your Primary Goal Is Remote Work
If you’re mainly moving to Portugal to work remotely and you meet the requirements, the Digital Nomad Visa (D8) might be a better fit. It’s explicitly designed for remote workers and removes any uncertainty about your right to work.
If You Want to Work for a Portuguese Company
The D7 may not be your best route. You won’t know for certain whether you can work locally until you receive your residence permit—which could be months after arrival.
Finding a Portuguese employer willing to hire and sponsor a foreign worker is challenging in its own right, but it does offer more certainty. Take a look at the D1 and D3 visas, which are specifically designed for those who want to work in Portugal.
However, if your primary reason for moving is passive income and you simply want to keep the option to work open, the D7 can work. Just be prepared for some ambiguity.
The Bottom Line
Can you work on a D7 visa?
The honest answer is: probably, but it’s not guaranteed. Many D7 holders do work, and many residence cards explicitly state that the holder can work in Portugal. But you may encounter officials who say otherwise.
If you’re comfortable with some uncertainty and your primary qualification is passive income, the D7 can work for you even if you want to continue earning through employment or freelancing. Just make sure you meet the passive income requirements first, wait for your residence permit before starting work, and understand the tax implications.
If certainty about your right to work is your top priority, consider whether another visa type might suit your situation better.