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VISAS

Non-lucrative vs digital nomad visa: Which one should you choose to move to Spain?

Spain's non-lucrative visa used to be one of the easiest ways for non-EU citizens to move to the country, but now with the introduction of the digital nomad visa, there are more options. So, which is best and which one should you choose?

Non-lucrative vs digital nomad visa: Which one should you choose to move to Spain?
Digital nomad visa or NLV - which to move to Spain? Photo: aus_franken / Pixabay

2023 saw the launch of Spain’s much-anticipated digital nomad visa – the visado para teletrabajadores de carácter internacional – which means that non-EU residents now have more options for being able to move to Spain.

The Non-Lucrative Visa or NLV used to be one of the most popular options, but it has its drawbacks for some people and wasn’t always the best option. So now that the digital nomad visa is available – which one should you choose?

If you want to work: digital nomad visa
The main difference between the non-lucrative visa and the digital nomad visa (which we will shorten to DNV) is that you are not actually allowed to work in Spain on the NLV. Although many people in the past have done so, technically it’s not allowed, even if you are working for an employer abroad, because you have physically working in Spain. The DNV on the other hand is specifically designed for those who want to work in Spain, providing they do not get more than 20 percent of their income from Spanish companies.

READ ALSO: Your questions answered about Spain’s digital nomad visa

You don’t know if you can prove you have enough funds: You need to prove a lot for both
Both the NLV and the DNV require that you can prove you have a substantial amount of income or savings. However, you need to prove you have slightly more money for the digital nomad visa. For the NLV it will have to be based on passive income, but for the nomad visa it can be based on income from work. For the NLV, you need to prove you have 400 times the IPREM which for 2023 is €2,400 per month. For the DNV, this is equal to 200 percent of the SMI or Minimum Interprofessional Salary which for 2023 is €2,520 per month. This means that you have to prove just slightly more for the nomad visa – €120 per month to be exact.

You want to know where you’ll be paying your taxes: both 
Both visas will give you Spanish residency and if you intend to spend more than 183 days in the country, you will officially be considered a tax resident in Spain too. You will be taxed on your worldwide income, so any income that you earn either passively on the NLV or from employers or clients outside of Spain on the DNV. Those on the digital nomad visa will also be charged taxes either on their freelance or remote income. 

READ ALSO – REVEALED: Everything you need to know about applying for Spain’s digital nomad visa

You want to bring your family members: both, but it’s more expensive on the DNV 
Both visas allow you to include family members on your application, such as spouses and dependent children, provided you can prove that you have the extra funds to support them. For the NLV, you have to prove that you have an extra 100 percent of the IPREM for each family member, which for 2023 is €600 per month. For the nomad visa, you have to prove you have an extra 75 percent of the SMI or minimum wage. This currently equates to an extra €945 per month. For each additional family member after this, such as a child, you will have to prove you have an extra 25 percent of the SMI, which is €315.

You want to exchange your visa for another one: NLV
The good news is that after one year of living in Spain on an NLV, it will be easier for you to apply for a different visa – one that will enable you to work. It will be possible for you to get a work permit or to become self-employed (autónomo) through a process called residence modification. It is unclear yet whether you would be allowed to do this on the digital nomad visa as it’s just been released. Nevertheless, most likely you wouldn’t want to because you have tax advantages for four years if you are on the digital nomad visa, and being self-employed will invariably work out to be more expensive. 

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

You want to get Spanish citizenship: both 
Both the NLV and the DNV can eventually lead to Spanish citizenship if you want. They both initially give you residency for one year but can be renewed. You can renew the digital nomad visa for up to five years, after which you can apply for permanent residency. You can also renew your NLV for a further two years (and another two after that), providing you have the funds to do so, because you need to prove you have twice the amount for the two years. This will also mean you’re eligible for permanent residency.

You want to enjoy free movement within the Schengen Zone: both
One of the big perks of both visas is that once you have residency in Spain, you have free movement throughout the Schengen Zone. You won’t have residency in those countries though, so you couldn’t for example come on the Spanish digital nomad visa and then move to France, but you can travel and go for short breaks.

Member comments

  1. This article is inaccurate. You can apply for the DNV if you’ve been a resident of Spain in the last five years; you just won’t qualify for Beckham Law.

    Also, only employees who come to Spain on the DNV can qualify for Beckham Law. Freelancers/contractors do not qualify.

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VISAS

EXPLAINED: When you can exchange visas in Spain

There are several different types of visas and residency permits you can get to be able to live and work in Spain, but what happens when your situation changes and you want to exchange your visa for a different one?

EXPLAINED: When you can exchange visas in Spain

There are many different reasons you may want to exchange the type of visa or residency permit you have. Perhaps you’re on a student visa and have completed your studies, but still want to be able to stay in Spain. Or maybe you’ve been on a one-year non-lucrative visa, but can no longer afford not to work and want to exchange it for one where you’re allowed to work. 

Read on to find out which visas are possible to exchange and which are not. 

Student Visa to Digital Nomad Visa 

The simple answer is yes, it is possible to exchange your student visa for the new Digital Nomad Visa (DNV) that first became available last year. This will, however, depend on your individual circumstances and what job you plan on doing.

Firstly, in order to apply for DNV you must either have a degree from the field you want to work remotely in or have three years’ work experience in that industry. If you’ve just finished your studies this could be possible, but if you were studying something different, it could prove difficult.

If you are an older student, you could definitely have three years’ work experience in the industry you want to work in or you may have gained the experience working part-time in Spain while on your student visa.

Secondly, you must make sure you have worked for the company that hired you for a remote role for a minimum of three months before you apply for the DNV. The main caveat is that the company has to be registered outside of Spain as you are not eligible for the DNV if more than 20 percent of your income comes from inside Spain. This means that you will have to secure a remote job in another country while still on your student visa, making sure that you stick to the 30 hours a week you’re allowed to work.

Non-Lucrative Visa to Work Permit or Self-Employed

Being in Spain on the Non-Lucrative Visa or NLV can prove to be expensive because you’re not allowed to work, but have to prove you have a significant amount of savings or passive income. If you want to stay in Spain, beyond the initial year, you may be considering a different residency permit. Luckily, you can exchange it for a work permit or self-employed permit in a process called residence modification.

During your last few months on the non-lucrative visa, you are able to apply for jobs in Spain, which may give you the possibility of being granted a work permit. There are many prerequisites, including having lived in Spain for a year and being offered a pre-employment contract.

You could also decide to become self-employed at set up your own business. In order to do this you will need to meet the requirements that current legislation requires for opening and operating your chosen business. You will also need to sign up to the autónomo system, pay your own social security fees and submit your taxes five times a year.

READ ALSO: Should I change my non-lucrative visa for another residency permit in Spain?

Student Visa to Work Permit or Self-Employed

If you’re living in Spain on a student visa, then it’s relatively straightforward to exchange it for a work permit or become self-employed, if you want to be able to stay longer. The main requirement is that you have to have lived in Spain for three consecutive years, before you exchange it. This means, it’s really only possible for those who are doing a long-term course, such as a degree at a Spanish university. If you’re simply here for a year doing a language course, then it won’t be possible.

If you have been here for three years on a student visa, you have two options – the first is to find a job and become an employee by getting a work permit and the second is to become self-employed. If you opt for the first, the easiest way is to get a job offer and apply for the permit that way. Because you’ve already had a student visa and been here three years, it will be easier for companies to hire you as they won’t have to prove that there isn’t anyone from Spain or the EU that can do it first or that they have a shortage of professionals who can carry it out.

If you want to exchange it for a self-employment permit, you will have to present a business plan in order to get approval and prove you have the correct qualifications and experience to carry it out. If approved, then you will typically sign up to the autónomo system.

Student Visa to Entrepreneur Visa

Student visas are the easiest visas to modify in Spain, meaning you have many different options to exchange them if you want to stay longer. The Entrepreneur VisaVisado de Emprendedor is another option that will allow you to stay for a period of three years (with the option of exchanging or extending). It is, however, slightly more complicated to exchange to than simply getting a work permit or becoming self-employed.

The Entrepreneur Visa is especially for those who want to set up a business considered to be innovative with a special economic interest for Spain. Unlike becoming just an autónomo, you must agree to be able to create employment opportunities for locals in the future. You could also in theory exchange your NLV for an entrepreneur visa too, provided you can prove that you haven’t done any work while you’ve been living in Spain for the year on your NLV.

Non-Lucrative Visa to Digital Nomad Visa

It may sound confusing, but you can now actually exchange your NLV for a DNV too. Even though you are not allowed to work while on the NLV, you can actually decide to change it for a DNV, so that you will be allowed to work remotely either for a company or for yourself via clients. The Unidad de Grandes Empresas (UGE), the body that deals directly with DNV applications, has confirmed this is possible and The Local has heard of people who have successfully done this too. The only thing to remember is that no more than 20 percent of your income can come from inside Spain once you change over. 

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