Spain is a top retirement hub with warm climate, affordable living, quality healthcare, and expat communities, but bureaucracy and taxes need planning.
.jpg)
Spain has long been regarded as one of the most desirable retirement destinations in Europe. Its mild climate, relaxed pace of life, and high-quality healthcare make the country a real magnet for seniors from all over the world. But what makes this country such a popular destination among retirees?
Of course, emigrating to Spain is a decision for many, not only for the sake of the sun, sea, and tapas but also for its rich culture and vibrant lifestyle. Here, you can find excellent value for money, including relatively inexpensive housing, affordable healthcare, and an active and friendly expat community that helps you adapt more easily.
Affordable housing, a warm climate, and excellent healthcare are the three pillars on which this country's reputation as an ideal place to retire rests. In this article, you will learn about the real pros and cons of living in Spain after receiving a Spanish retirement visa, as well as providing practical information.
If you are planning to spend your golden years in sunny Europe, this article will be your reliable guide. Here, you will learn about the minimum income to retire in Spain and other vital points.
Retiring in Spain pros and cons is what you should study before moving. It will help you understand all the positive and negative sides of such a decision.
There are quite a few advantages to such a decision. Spain is renowned for its diversity, from the azure coasts of the Costa Brava and Costa del Sol to the picturesque mountains of Sierra Nevada and the rural landscapes of Andalusia. On average, there are approximately 300 sunny days a year, making the country a real paradise for those tired of rain and cold.
The cost of living in Spain is significantly lower than in other European countries. It is especially lower than in the UK, Germany, or Ireland. This includes not only housing prices but also everyday expenses like food, transportation, and utilities. This is particularly crucial for retirees with a fixed income.
Spain ranks high in international healthcare rankings. The level of service provided by public hospitals and clinics is high. Additionally, private medicine is widely developed and available at reasonable prices.
Retiring in Spain is a dream for many, also because life in Spain flows unhurriedly, allowing you to enjoy every moment. Siesta, evening walks, long meals with friends — all this becomes part of the daily routine.
In large cities and coastal regions (for example, in Alicante, Malaga, and Valencia), international communities flourish. Here, you can easily find friends, communicate in English, and get help from compatriots.
Of course, moving to Spain for retirees has its cons that may not suit everyone.
Although you can get by with English in tourist areas and large cities, everyday life (including communication with doctors, banks, and government agencies) requires at least a basic knowledge of Spanish. This can be particularly stressful for older individuals, especially during the first few months after relocation.
Spain is known for its "slow" bureaucracy. Obtaining a nomad visa Spain, processing NIE, or a lease agreement — all this can take a lot of time and effort. In some cases, the assistance of a lawyer or consultant from the area is necessary.
The tax system in Spain may seem opaque to foreign citizens. You should also take into account that inheritance laws here are different from the usual ones: there is the so-called "compulsory inheritance", as well as taxes that heirs pay.
The question that worries most future retirees: "Who has the right to move to Spain for retirement?" It all depends on your citizenship and financial capabilities.
For citizens of the European Union, the process of retiring in Spain is as simple as possible. According to current rules, EU citizens have the right to live and work in Spain without requiring a visa.
However, if you plan to stay for more than three months, you will need to register with the local police or immigration service and obtain a certificate of registration as an EU citizen. In this case, you will need to confirm your financial solvency. You should also confirm the availability of health insurance.
If you are a citizen of the UK, USA, Australia, or another country outside the EU, you need to obtain a special NLV visa Spain — the long-term stay visa — as it is the most suitable option.
Also, citizens of third countries must obtain a foreigner's identification number. You will also require a Spanish bank account for key activities such as purchasing property and interacting with government institutions.
Spain requires confirmation that the pensioner has a stable income sufficient for living without having to work. In 2025, the minimum monthly income for one person is approximately 2,400 EUR. For a spouse, approximately 600 EUR is added. You can prove income through a pension, rental income, investment income, or savings.
For non-EU retirees, the most popular option is a non-profit visa. Spain retirement visa requirements — a stable income that allows you to live in Spain without having to work. The main requirements include:
To apply for a Spain residence visa for retirees, you need to fill out a special application through the consulate in your country. Employees can review it from 1 to 3 months. After your non-lucrative visa is approved, you need to arrive in Spain and apply for a residence permit.
EU citizens are exempt from the visa requirement but must register as residents of Spain. Residents of non-EU countries are required to undergo a comprehensive visa process, which includes financial checks and medical examinations.
The financial component is one of the primary factors to consider when choosing a country for retirement. You should research all the potential pitfalls of retiring to Spain. This will ensure you have complete information. Calculating the base costs will also help you avoid surprises:
The final costs will depend on the chosen region. For instance, living expenses are higher in Madrid or Barcelona than in Valencia or Alicante.
Spain offers one of the best public healthcare systems in Europe. A pensioner is entitled to free or partially covered healthcare. To access the municipal system, you must register. You must also obtain a health insurance card.
Healthcare for retirees in Spain includes:
While public healthcare is affordable and effective, many expatriates also opt for private health insurance. The cost varies from €50 to €150 per month, depending on age and health status.
The Spanish government partially subsidizes prescription drugs. Depending on your income, you can pay from 10% to 60% of the cost of a drug. For pensioners with a minimum income, drugs are practically free.
Opening a bank account is a crucial step in organizing your daily life, especially if you plan to stay for a long time here. To open a Spanish bank account, you will need to provide the following documents:
Spain has two types of accounts: one for residents and another for non-residents. The first is available to you after getting residency in Spain. You can open the second account before obtaining residency status, but you will need additional documents.
Spain has both large national banks and international branches. The most popular among expats are:
To make managing your finances in Spain as easy as possible, choose banks with an English-language service or multilingual apps. You should also open accounts with a free service or the lowest commissions. If you plan to make international transfers, consider services with minimal fees (Wise or Revolut).
To ensure a comfortable retirement, it is essential to understand the Spanish tax system. If you live in the country for more than 183 days a year, you are considered a tax resident and must declare all worldwide income, including pensions and investments abroad.
The Spanish Tax Agency requires that you file an annual income tax return. Income taxes in Spain are progressive and are as follows:
Taxes are often not applied to state pensions, but their payment is always obligatory in cases of private pensions and other types of income.
Spain has double taxation agreements with numerous countries, including the United Kingdom, the United States, Canada, and most European Union countries. This means that retirees who receive income from abroad generally avoid paying taxes in both countries.
However, it is essential to consult a tax advisor to avoid mistakes and misunderstandings and to prevent paying additional taxes on retirement in Spain for Non-EU citizens.
The government taxes interest on deposits and dividends at rates ranging from 19% to 28%. Assets, like real estate, are subject to taxation when sold.
Spain's allure extends beyond its culinary delights and balmy climes. Here, retirees can lead an active and fulfilling life. Most large cities and tourist areas have clubs for seniors, hobby groups, dances, and foreign language schools. Often, these clubs are funded by municipalities, and participation is either free or at a minimal cost.
Many retirees find meaning and joy in volunteer work: helping charities, working in animal shelters, or participating in cultural projects. Spain is famous for its festivals, from the popular La Tomatina to the traditional Semana Santa. Each region has its unique holidays and places that appeal to art lovers, including museums, theaters, and concerts.
In the most attractive regions, there are English-speaking communities where joint dinners, excursions, and even sporting events are organized. This helps avoid loneliness and facilitates quick adaptation to a new life.
Transferring pensions to an account in Spain is an easy process if you know the basic rules. To have retirement in Spain for EU citizens, you need to take the following steps:
To withdraw money, it is more profitable to use specialized services such as Wise, Revolut, or CurrencyFair.
For citizens of non-EU countries, the pension fund may require annual proof of life, for example, through a consulate or notary. It is also important to check in advance whether the country's pension system supports international transfers, as not all funds send payments abroad. In some cases, you will need to open an account with a bank in the source country and independently transfer funds to Spain through international payment services.
If you are now considered a tax resident of Spain, your pension could be subject to taxation in Spain, even if it was earned abroad.
Spain has a system of compulsory inheritance. You are required to pass on part of your property to your closest relatives. This rule applies to residents of Spain. It is valid regardless of their nationality.
A separate Spanish will must be created by foreigners living in Spain. This will help to avoid conflicts between the laws of different countries and simplify the inheritance process.
The amount of inheritance tax depends on the degree of kinship. It also varies depending on the amount of the inheritance. The region of Spain will play a role as well. Close relatives are provided with significant benefits. In some autonomous communities, the tax is minimal or even abolished for close relatives.
When planning an inheritance, you should consult a lawyer who specializes in international law in advance. In the will, state which laws will govern the distribution of the estate and draw up the document in Spanish and your native language.
Spain remains one of the best destinations for retirement. Its main advantages include a warm climate, affordable cost of living, and excellent healthcare. However, foreigners need to consider the complexities of bureaucracy, tax obligations, the nuances of inheritance law, and the cost of retiring in Spain.
By choosing Spain, you get the opportunity to enjoy life in a beautiful country with a rich culture and hospitable people. The main thing is to think through all the steps in advance, draw up the documents, and don't be afraid to seek professional legal and financial help from Migrun experts.
By planning everything, you can turn your retirement in Spain into truly golden years.
What is a retirement visa option for Spain?
Spain offers the Non-Lucrative Visa (NLV) as the primary retirement visa for non-EU citizens. It allows you to live in Spain without working, provided you have sufficient financial means. The visa is usually valid for one year and can be renewed for two more years at a time. After five years, you may apply for long-term residency.
What are the pros and cons of retiring in Spain?
Pros include a warm climate, excellent healthcare, affordable cost of living, and a relaxed lifestyle. Spain also offers a rich cultural scene and easy travel within the EU. Cons can include bureaucracy, language barriers, and potential tax implications for foreign income. Some areas may also experience seasonal crowds or rising property prices.
What level of income do I need to get the NLV visa in Spain in 2025?
In 2025, you’ll need to show proof of financial means equal to at least 400% of the IPREM, which is around €2,400 per month or €28,800 per year for the main applicant. For each dependent, an additional €600/month (or €7,200/year) is required. These amounts may vary slightly depending on official updates.
What are the income tax rates in Spain?
Spain’s income tax rates are progressive, ranging from 19% to 47%, depending on income level and region. Most retirees fall into the 19%–30% range. Both national and regional taxes apply, and tax residency is triggered if you spend more than 183 days in a year in the country. Spain also has double taxation agreements with many countries to avoid being taxed twice on the same income.
