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VISAS

Does Spain check if you’re working on the non-lucrative visa?

The matter of remote working on a non-lucrative visa has always been a bit of a grey area depending on who you ask, but do Spanish authorities actually verify if a person has truly ceased working and what can happen if caught?

Does Spain check if you're working on the non-lucrative visa?
You can't technically work in Spain on the NLV, but can authorities catch you? Photo: Sarah B/Unsplash

The non-lucrative visa or NLV as it is often referred to, is an authorisation that allows non-EU foreigners to live in Spain without working or carrying out professional activities, by demonstrating that they have sufficient financial means for themselves and, if applicable, their family.

In Spanish it’s called a visado de residencia no lucrativa and is also sometimes referred to as a retirement visa, as this is the best option for retirees from non-EU countries who want to spend their golden years in Spain.

However, remote work has meant that tracking whether someone is actually work is a lot harder than it used to be, leading some foreigners to consider whether they could break or bend the rules without being found out. So is it possible?

In 2023, a Madrid court denied a Venezuelan national’s application for the non-lucrative visa because they, among other things, continued to advertise their professional services on sites like LinkedIn.

The application was first rejected by the Spanish consulate and then later confirmed by a Madrid court.

The unlucky Venezuelan national had his application rejected because he continued to advertise his professional services online, which, the court ruled, proved that his work activity is carried out remotely (teletrabajo in Spanish).

This lead to the presumption that he will continue to carry out this work activity in Spain by the same means – something against the NLV rules.

Spanish law doesn’t specifically mention remote working. Spain’s General Immigration Regime states that, while staying on the NLV:

  • You mustn’t work for a Spanish company
  • You mustn’t work for a Spanish employer
  • You can’t open your own business in Spain
  • Nor can you open a branch office in Spain

In terms of remote working specifically, the law doesn’t actually address it. That’s why there’s some legal uncertainty on this point, despite the Madrid court’s ruling.

Immigration law experts Balcells note that “some consulates may have accepted it while others haven’t, causing painful rejections to foreigners who after reading online that it is possible or following the advice of an expat friend have tried with poor results.”

It also seems that rejections along these grounds have become more common since the pandemic.

READ ALSO: What are the pros and cons of Spain’s non-lucrative visa?

“During the pandemic (from 2020 onward), the vast majority of consulates started to reject applications from foreigners who clearly stated they wanted to start working remotely,” Balcells writes.

“Or, even worse, if the consulate sees that remote work is what you have been doing for the past months/years, your application may even get rejected too.”

So that means that, in theory, if you’re a remote worker wanting to apply for the NLV and move to Spain (even if you aren’t intended to work while there) there’s a chance that your visa application could be rejected based on your working history.

According to some comments on NLV Facebook groups, providing proof of cessation of activities from the country where you last worked can be a way to prove to Spain that you are not working. You may well need to get this document formally translated and notarised.

There is no evidence to suggest that Spanish authorities check that non-lucrative visa holders are working once they have had their visas approved.

But the truth is that there is a now a visa available which is far more suited to non-EU remote workers – the digital nomad visa – so it’s not worth the risk of applying for the NLV if you do plan to work in Spain.

People applying for Spain’s digital nomad visa (DNV) in 2024 have to prove a monthly income of at least €2,646 a month, an average equal or above that amount for the past six months if the applicant is self-employed. At the current exchange rate, that is £2,268 a month or $2,853 a month. 

Fortunately, Spanish authorities told The Local Spain that it is possible to show proof of savings if your monthly income doesn’t reach this threshold and still have your DNV approved, if the shortfall isn’t too big that is.

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For members

PENSIONS

How to work and get a pension at the same time in Spain

Understanding how and when you can take partial and flexible retirement in Spain (and the differences between them) will allow you to combine your pension and part-time work.

How to work and get a pension at the same time in Spain

Whether it be for financial reasons, a passion for work or simply to keep some kind of routine or social life, there are many reasons why some pensioners and soon-to-be pensioners in Spain might want to combine retirement and part-time work.

Fortunately in Spain this is fairly common and there are two main ways to do this – flexible and partial retirement. In this article we will discuss the options for foreigners who have been working in Spain and are eligible for a Spanish pension.

This sort of hybrid retirement has been in the news in recent months when the Spanish government, along with trade unions and employers’ organisations, tweaked how it works.

These reforms revolved around rules on partial retirement, the compatibility between pension and part-time employment (more on that below), as well as other issues like sick leave and conditions under which employees can take early retirement in Spain.

The changes included, among other things, extending the partial retirement period from two to three years, and allowed a reduction in working hours of up to 75 percent in the last two years of partial retirement.

READ MORE: Five key changes to Spain’s retirement age and pensions

Spain’s Prime Minister Pedro Sánchez said at the time that the reforms will improve the compatibility of pensions and part-time work, allowing a “transition towards a flexible retirement adapted to each individual.”

Partial and flexible retirement in Spain 

So in a sentence, yes, you can work if you’re a pensioner in Spain and have the right to claim a Spanish pension. 

According to information from the European Commission’s (EC) Employment, Social Affairs and Inclusion website, in Spain there are essentially two options for those who are or want to retire while combining their pension with some part-work work.

These are flexible retirement (known as jubilación flexible in Spanish) partial retirement (jubilación parcial).

Flexible retirement

This is basically the option once you retire (in other words, you’ve reached retirement age and claimed your pension) to combine receiving some of your pension with part-time work, with your pension reduced proportionally.

It’s usually a way for retired people return to the labour market.

Spain’s Social Security Ministry considers part-time work limits for reducing the working day to be between a minimum of 25 percent and a maximum of 50 percent, meaning retirees must work between 75-50 percent of the full-time working day.

Note that, in Spain, even if you take some or all of your pension while maintaining some part-time work, you are still considered a pensioner by Spanish law and therefore still have the same healthcare rights.

READ ALSO: The best private pension plans in Spain

Partial retirement

This is when you haven’t reached legal retirement age and you combine part-time work while also receiving part of pension early.

Spain’s Social Security Ministry defines it as “considered to be retirement commenced after the age of 60, at the same time as a part-time employment contract.”

In other words, in Spain from age 60 you can take partial early retirement while continuing to work on a part-time basis. It must be part-time, however, and the remaining hours must be given to someone else, usually an unemployed person. 

According to the EC: “This retirement should be linked to a hand-over contract, that is, the part-time hiring of an unemployed worker. If you have already reached the legal retirement age, there is no need to sign a hand-over contract.”

You can also take partial retirement if you have reached retirement age and reduce your working day by 25-50 percent.

The EC states that: “You can also take partial retirement before the legal retirement age, reducing your working day from 25-75 percent (with a minimum age that varies depending on the case) if, furthermore, you have a minimum of 6 years of service in the company, have been paying contributions for 33 years and your company signs a specific relief contract.”

READ ALSO: Five subsidies pensioners in Spain can claim

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