Who is digital Nomad

Who is digital Nomad:

A digital nomad is a professional who works remotely while traveling or living in different locations, often leveraging digital technology to perform their job.They are not tied to a specific office or location and often choose destinations with favorable visa policies, lower living costs, and high-quality infrastructure. Countries like Portugal, Malaysia, and Estonia have introduced Digital Nomad Visas to attract these remote workers, enabling them to legally reside and work while contributing to the local economy.

Portugal; A Digital Hub:

Portugal is quickly emerging as a top choice for digital nomads seeking a place to live and work. In response to the growing number of professionals who can now work remotely due to shifts in social and employment trends following the COVID-19 pandemic, the country has introduced a specialized visa. This initiative is designed to attract foreign remote workers, encouraging them to settle in Portugal, invest their resources, and contribute to the nation’s economic growth.

Due to its unique cultural and work characteristics, Portugal has shown up in the past years as a top destination for both tech talent and the organizations that need them. Great tech talent, high English proficiency, timezone compatibility, open working culture, affordable costs and excellent safety and stability conditions contribute to this effect.

Portugal is increasingly recognized as a leading European destination for digital nomads, with a growing “Silicon Valley culture” due to its vibrant startup ecosystem, supportive government policies, and attractive lifestyle factors like affordable living and pleasant climate, making it a hub for tech talent and remote workers. 
Approximately 900,000 expats reside in the country. While Americans, Brits, and Brazilians are leading the statistics, nationals of other corners of the world flock to Portugal, and especially to Lisbon. 

D8; Digital Nomad Visa:

The Portugal Digital Nomad visa, or D8 visa, is a longer-term visa that allows non-EU/EEA/Swiss digital nomads, freelancers, and remote workers to establish themselves in Portugal with a simple and often fast-track process. Not only would you be able to enter and live in Portugal, but you would also be granted visa-free travel throughout the whole of the Schengen Area.

Types of Portugal Digital Nomad Visas:

 Portugal offers two types of visas for digital nomads: the Temporary Stay Visa and the Residence Visa. Understanding these visa types will help you decide which is most suitable for your situation.

1. Temporary Stay Visa

The Temporary Stay Visa allows you to live in Portugal for up to one year. This visa is ideal for those who want to experience life in Portugal but do not necessarily plan to stay long-term. It’s perfect for digital nomads who enjoy flexibility and don’t want to commit to an extended stay.

2. Residence Visa (D8 Visa)

The Residence Visa, also known as the D8 Visa, is intended for individuals who want to live in Portugal for more than one year. Unlike the Temporary Stay Visa, the D8 Visa can lead to permanent residency or even Portuguese citizenship after five years. This visa requires proof of stable remote income, and holders must meet specific financial and legal criteria. If you are planning on staying in Portugal for an extended period or want the option of permanent residency in the future, the Residence Visa is the right choice for you.

Portugal passport holders can travel to various countries around the world, each with distinct visa requirements. There are a total of 189 visa-free travel destinations for Portugal passport holders.

Portugal Digital Nomad Visa (D8 Visa) Requirements

Here are some of the main requirements to get a Digital Nomad Visa to Portugal:

3. Your age should be over 18 years old.
4. You need to have citizenship in non-EU and non-EEA countries.
5. You will have fully remote work on a permanent contract or freelance.
6. You will prove the total income from all sources that would be at least €3,480.

Steps of application

1. Step 1: Check Eligibility
2. Step 2: Prepare Documentation
3. Step 3: Visa Application submission
4. Step 4: Wait for Approval
5. Step 5: Visa Issuance
6. Step 6: Arrival in Portugal

 Portugal Nomad Visa Taxes

Here are the key points regarding nomad taxes for the Portugal Digital Nomad Visa:

• Non-Habitual Resident (NHR) Status: Digital nomads who have lived in Portugal for more than 183 days are eligible for NHR status, which provides tax breaks over ten years.
• Tax Rate with NHR Status: Digital nomads with NHR status pay a set 20% tax rate on income made within Portugal, as opposed to the ordinary rate of up to 48%.
• Global Income: Because of the NHR status, global income is tax-free.
• Short-Term Stay: If you are only visiting Portugal for a few days, you do not need to become a tax resident.
• Long-Term Stay: Long-term visa holders who spend more than 183 days in Portugal must become tax residents.

D7 Visa vs. Portugal Digital Nomad Visa (D8 Visa): What are the Differences?

The Differences Between the D7 Visa and the Portugal Digital Nomad Visa (D8 Visa)

Life as a Digital Nomad in Portugal:

Living in Portugal as a digital nomad offers numerous benefits. From its affordable cost of living to its thriving digital nomad community, Portugal is a fantastic place to work remotely and enjoy a high quality of life. Here are some of the key benefits of the Portugal Digital Nomad Visa:

1. Affordable Cost of Living

Portugal is one of the most affordable countries in Western Europe. While the cost of living may vary depending on the city, it remains relatively cheap compared to other European countries like France, Germany, or the UK. Rent, food, and transportation are affordable, even in larger cities like Lisbon and Porto. This means that digital nomads can enjoy a comfortable lifestyle without spending a fortune.

2. Warm Weather and Beautiful Scenery

Portugal is blessed with a mild climate, which makes it an ideal destination for those who love sunshine and outdoor activities. The country boasts beautiful beaches, lush mountains, and charming historic cities. Whether you enjoy relaxing by the sea or hiking through scenic landscapes, Portugal offers plenty of opportunities to enjoy nature.

3. Strong Digital Nomad Community

Portugal has become a hub for digital nomads, particularly in cities like Lisbon, Porto, and Madeira. These cities offer vibrant coworking spaces, networking events, and a thriving community of like-minded remote workers. It’s easy to connect with other digital nomads, attend meetups, and share experiences while building professional relationships.

4. Easy Travel Across Europe

As a Portugal Digital Nomad Visa holder, you can travel freely within the Schengen Area. This includes 27 European countries, allowing you to visit multiple destinations without the need for a separate visa. Whether you want to explore neighboring Spain, take a weekend trip to Italy, or travel across Europe, the Schengen Visa makes it easy to move between countries.

5. Possibility of Permanent Residency

After living in Portugal for five years, you may be eligible to apply for permanent residency. With permanent residency, you can enjoy the same benefits as Portuguese citizens, including access to healthcare, social security, and other government services. Additionally, after six years, you can even apply for Portuguese citizenship, which grants you the ability to live and work in any EU country.

Conclusion:

To conclude, Portugal’s Digital Nomad Visa (D8 Visa) is a highly sought-after option, particularly among remote professionals seeking the flexibility to live and work in the country. This visa is ideal for individuals who generate an active income through remote employment or freelancing, allowing them to legally reside in Portugal while continuing their professional activities. In addition to providing the freedom to work from anywhere, the D8 Visa also grants access to essential public services, making it an attractive choice for digital nomads looking for a stable and well-connected environment to support their lifestyle.