The Digital Nomad’s All-In-One Guide to Portugal

Making up your mind to work remotely as a digital nomad in Portugal?

Perfect decision!

 

With its pleasant weather, stable internet connections, numerous coworking spaces, and lush landscape, Portugal is becoming a hotspot for digital nomads.

With all modern amenities to meet your remote-working needs and diverse options to explore and travel the country, you can expect to live a digital nomad’s dream in Portugal.

But before you get to it, here’s a comprehensive guide on everything you need to know before hopping on to the digital nomad Portugal bandwagon, plus answers to common questions!

Table of Contents


What Makes Portugal Ideal For Digital Nomads?

Let’s dive deeper into the aspects that make Portugal ideal for digital nomads working remotely.

Climate

Portugal enjoys nice and warm weather, with dry summers and wet winters. The highest temperatures usually average slightly over 71 °F (ca. 22 °C).

Natural Beauty

Portugal is home to a diverse landscape. Rolling plains, sandy beaches, massive mountains, and dense forests are a few of its magnificent features.

Cost Of Living

Portugal is arguably the cheapest country to live in Western Europe. From groceries to accommodation, you can find everything at reasonable costs, so your stay is fun while being light on the pocket.

There’s More … 

Added to the above, Portugal has business-friendly policies and is one of the safest countries in the world. Plus, its friendly locals are always ready to welcome new people. 

As the cherry on the cake, Forbes has ranked Portugal as one of the top 3 nations to live in!

 

How To Become A Digital Nomad, Plus Work Remotely In Portugal

To become a digital nomad in Portugal, you firstly need to fulfill its entry requirements and the visa process, which will be discussed in the next section.

Once you’re there, you need accommodation. For that purpose, you can consider our coliving spaces  or other fully-furnished flats made explicitly for remote workers. Plus, there are many hotels, hostels, coliving spaces, and guesthouses to live in.

>For your banking needs, you can register with Portugal’s international banking system. Getting around is cheap and easily accessible through transportation, such as buses, trains, and taxis.

Plus, Portuguese cuisine is absolutely delicious, and with its vibrant nightlife and adventurous outdoor activities, you can expect to have a memorable stay as a digital nomad in Portugal!

 

Portugal grants visas for remote workers, including digital nomads, entrepreneurs, and freelancers.

 
These visas can be classified into two categories:

  1. Temporary Stay Visa

This visa is for digital nomads who plan to stay and work remotely in Portugal for up to 1 year. 

You are eligible for the temporary stay visa if you can show proof of earning at least €635 per month — a minimum amount you’d need to meet ends in Portugal. The fee for its processing is €75.

To apply, the documentation you will need includes your official form, passport and tickets, valid travel insurance, a clean criminal record, and the contract of your remote work.

  1. Residency Visa

The residency visa is for digital nomads looking for stability and longer stays, particularly exceeding 1 year.

This visa is valid for 4 months. During this time period, you are expected to apply for a residency permit with SEF, which will let you live in Portugal for 2 years. The fee for its processing is €90.

A Residency visa is classified into two types:

  • Portugal D2 Visa: This type is for digital nomads wishing to carry out business activities in Portugal.

  • Portugal D7 Visa: This is for digital nomads who do not wish to invest or create a business presence but rather want to work independently. 

To file a visa application, you must first fill out and sign the required form. To find out where to lodge your visa application, click here!

Do Digital Nomads Need Visas At All?

Portugal is a part of the EU (European Union) and the Schengen agreement. So, if you’re from one of the EU countries, you don’t need a visa at all to enter Portugal (with a stay of up to 90 days)!

 

How Do Digital Nomads Pay Tax?

You will be subject to Portuguese personal income tax under any of the following circumstances:

  • You stay more than 183 days in Portugal during a 12-month period

  • You occupy Portugal as a habitual abode

In either scenario, you will be considered a Portuguese tax resident and will have to pay the relevant taxes. 

You can make timely payments using the international bank account you’ve registered. If you own a physical bank account in a Portuguese bank already, that will do. In both cases, it’s always handy to download the mobile app for your concerned bank, so you can pay your taxes conveniently and quickly.

However, there are also legal ways you can not pay tax as a digital nomad in Portugal!

How To Not Pay Taxes Legally

You definitely don’t want to be double-taxed — once in your home country and then in Portugal. 

To avoid this double taxation, you must provide a tax residency certificate to the Portuguese Tax Authority. Alternatively, you can become a tax non-resident in your home country.

Either way, you’ll be paying taxes only in one area.

 

Lisbon As A Digital Nomad Destination

The capital of Portugal and its largest city, Lisbon, has recently been flocked with digital nomads and remote workers.

Compared to other capitals in European countries, Lisbon is cheap in terms of living costs.

With high lookout points, buzzing partying options, many coworking spaces, and fast internet speeds, Lisbon welcomes digital nomads looking for the ultimate remote-working experience

Plus, Lisbon has a great climate, with almost 300 sunny days per year. The winters are milder than the teeth-cluttering cold seasons of the North, and there are plenty of good accommodation options.

FAQs

  • How many digital nomads are there in Lisbon?

Ever since the pandemic hit, Lisbon has seen an influx of digital nomads. The Lisbon Digital Nomads & Expats Facebook group alone has a whopping 22,000 members — you see, there’s a large community of remote workers mingling together!

  • Is Lisbon good for digital nomads?

With all the amenities a digital nomad needs, affordable prices, plus lots of like-minded people around, Lisbon is a fantastic place for digital nomads. It’s especially a great destination if you’re looking for other digital nomads to interact and share coworking spaces with.

  • Where should I live in Lisbon as a digital nomad?

If you’re looking for cheap options, you can consider reasonable Airbnbs in Lisbon. If you’d like more luxurious stays, opt for high-end hotels. And if you’re someone who fears the loneliness that comes with remote working, coliving spaces in Lisbon are a great place to live and mingle with people of your type.

 

Other Cities You Can Count On As A Digital Nomad

In addition to Lisbon, here are a few other cities that are perfect for digital nomads:

  • Porto: Porto is arguably the second-best destination for digital nomads after Lisbon. Compared to the latter, it is cheaper and less crowded. Plus, it has colorful streets, inexpensive wines, and an excellent healthcare system.

  • Madeira: This is a perfect destination wishing to experience the island life of Portugal. It has a cozy temperature year-round and many English-speaking folks, so you don’t struggle to communicate.

  • The Algarve: The Algarve offers a peaceful environment, stunning views of a beautiful coastline, and loads of water-based activities. Although you won’t find many digital nomads here, there are a reasonable number of coworking spaces you can join.

  • Braga: With a rich history, some of Portugal’s oldest cathedrals, and a bright nightlife, Braga is another excellent option for digital nomads looking for cheap places to live in Portugal.>

Is Being A Digital Nomad Illegal?

Many people hesitate to start the digital nomadic life because they fear it’s illegal. Perhaps, this owes to the fact that digital nomads weren’t given the necessary legal standing to work for the longest time.

If that’s something that worries you, fret not. The plain answer is - no, being a digital nomad in Portugal is not illegal, provided you are doing everything the right way.

In fact, Portugal, amongst other European countries, designed the temporary residence visa while keeping in mind digital nomads, freelancers, entrepreneurs, and independent workers. 

Portugal has been encouraging people that meet the requirements to choose its vibrant cities as their next stop on their digital nomad journey!

Join The Club, Digital Nomad Portugal!

Portugal, along with its welcoming locals, digital nomad-friendly amenities, and business-friendly policies, has the potential to be one of the top places for digital nomads.

If you’re in for the remote-working lifestyle, pack your bags, get that visa, and head to Lisbon to have a once-in-a-lifetime experience - the digital nomad Portugal club awaits you!

 

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