Demystifying Digital Nomad Visas: Why You Need One in 2025


Researching and applying for digital nomad visas is something that brings me joy…

NOT!!

If you're a nomad, or a ‘slomad’, like me, you'll understand the pain of having to sift through hundreds of sites, communities and chats to get a grasp of how you will be able to legally live in a certain country for an extended period.

In recent years, the digital nomad lifestyle has surged in popularity, driven by the growing desire for flexibility, adventure, and a better work-life balance. As remote work becomes increasingly common, more and more countries are recognising the need to accommodate this new breed of worker. 

As of today, there are 44 proper Digital Nomad Visas (DNVs) worldwide, and in the last six months alone, new DNVs have been released or announced in Italy, Thailand, Indonesia, South Africa, Japan, and Turkey. This trend highlights the increasing accessibility of these visas, yet misconceptions persist about their necessity and benefits.

What Exactly Is a Digital Nomad Visa (and Why It Matters)

A digital nomad visa is a type of residence permit that allows remote workers to live legally in a foreign country while working for a non-local employer or running an online business. Unlike tourist visas, these permits typically allow for longer stays (6–24 months), legal work status, and access to housing, services, and sometimes even tax benefits.

With over 50 countries now offering digital nomad visas, including Spain, Portugal, Croatia, Costa Rica, and Estonia, remote workers have more freedom than ever to choose where they want to live—without worrying about visa runs, border restrictions, or breaking local laws.

Top 5 Digital Nomad Visa Destinations: At a Glance

1. Spain

Spain’s digital nomad visa, launched under the Startup Act, allows remote workers to live in the country for up to 3 years, with renewals possible. Minimum income required: €2,700/month. Bonus: Tax incentives for new residents.

2. Portugal

Portugal offers the popular D8 visa for digital nomads, with an initial stay of 1 year and renewable options. It requires proof of remote income and offers tax residency under the NHR (Non-Habitual Resident) regime.

3. Estonia

Estonia was a pioneer in the digital nomad visa space. To qualify, applicants must earn at least €3,500/month and have a contract with a company outside Estonia or freelance clients abroad.

4. Croatia

Croatia’s visa allows nomads to stay for up to 12 months. It’s affordable (around €60–€100 to apply) and offers tax exemption on foreign income.

5. Costa Rica

Costa Rica offers a two-year digital nomad visa for remote workers earning at least $3,000/month. You won’t be taxed on your remote income and can even open a local bank account.

Typical Eligibility Criteria & Costs

Most digital nomad visa programs share some common requirements:

  • Be at least 18 years old

  • Show proof of remote employment or self-employment

  • Meet a minimum income requirement (usually between $2,000 and $5,000/month)

  • Provide proof of health insurance

  • Hold a valid passport (usually with 6–12 months of validity remaining)

Application fees vary, but most range from €60 to €500, depending on the country and whether you’re applying solo or with family members.

Benefits Beyond Time—Why Digital Nomad Visas Are Worth It

Sure, you could travel on a tourist visa—but here’s why digital nomad visas are a smarter, more sustainable choice:

  • Longer stays: Most visas let you remain in one country for 6–12 months, or even longer with renewals.

  • Tax advantages: Many countries offer favorable tax treatment for foreign income, meaning you keep more of what you earn.

  • Legal stability: You won’t need to worry about overstaying, illegal work penalties, or getting denied re-entry.

  • Local access: Open a local bank account, lease long-term housing, register utilities—live like a local, legally.

How to Apply: Step-by-Step Guide

Applying for a digital nomad visa might sound intimidating—but it’s often a simple, well-documented process. Here’s how to do it:

  1. Choose your destination based on visa length, cost of living, tax rules, and income requirement.

  2. Prepare your documents—typically: proof of income, employer contract, bank statements, insurance coverage, and passport.

  3. Apply online or at a local embassy—check the official website for your chosen country for exact instructions.

  4. Pay the application fee—ranges from €60 to €500 depending on the country.

  5. Wait for approval, then fly out and register locally (you may need to apply for a residence permit once you arrive).

Most Common Misconceptions about Digital Nomad Visas

Misconception #1: I don't need a digital nomad visa if I'm not planning to stay in the country for a year or longer

Reality: Most tourist visas or visa-free entries last up to 60 or 90 days. If you plan to stay in a country longer, a digital nomad visa not only extends your stay but also legalizes it, moving you out of the legal grey area that many remote workers find themselves in.

Visa runs—leaving a country briefly to reset your tourist status— are a common go-to for a lot of digital nomads. But be aware that countries can change their policies without notice and you might suddenly face hurdles such as being questioned by immigration or even denied re-entry. Not to mention the additional hassle of having to leave the country every other month and the added travel expenses.

For those eyeing the Schengen Area, visa runs are essentially impossible. The Schengen rules allow for only a 90-day stay within any 180-day period. A digital nomad visa offers a solution to this. For instance, with a DNV for Spain, you can live there as long as your visa is valid (and extendable) and travel around the rest of the Schengen Area as a tourist.

An example itinerary could be:

  • 3 months in Spain

  • 3 months visiting other Schengen countries

  • 3 months back in Spain

  • 3 months visiting different Schengen countries.

To maintain your DNV, you must spend at least 6 months per year in the issuing country. Extending your visa requires proof of residence, such as rental agreements, utility bills, or even a local gym subscription, demonstrating that the country is your primary residence.

Misconception #2: DNVs have high income requirements

Reality: Out of the 44 digital nomad visas available worldwide, 35 do have an income requirement, however the average annual income requirement is $39,405. 

This figure is taking into account both the highest requirement ($93,000 for Iceland) and the lowest ($15,300 for Ecuador). On top of that, the income requirement is usually in line with the cost of living in the country, so if your remote income is on the lower end, you can always choose to travel to a destination with a lower cost of living.

Misconception #3: DNVs require a lot of paperwork and take months to obtain

Reality: While applying for a visa is not always straightforward, it is not as daunting as it seems. The biggest challenge often lies in finding reliable information, communicating with authorities, and preparing the correct paperwork.

The application process isn’t always incredibly long, either! Depending on the country, it can take from a few weeks to a few months, with an average processing time of around one month. The key is to determine your eligibility, understand the specific document requirements, and apply well in advance to avoid stress!

 
Digital nomad visa length
 

Other Benefits of Digital Nomad Visas

Digital nomad visas offer more than just the ability to stay in a country longer; they come with additional perks that can enhance your experience and lifestyle abroad.

For instance, certain countries (such as Croatia) provide tax breaks and advantages to digital nomads, making it financially beneficial to reside there. Additionally, having a long-term visa can unlock access to services typically reserved for residents, such as specific rental agreements, national health insurance plans, and more.

Moreover, for digital nomads who might fall in love with a country and wish to stay long-term, digital nomad visas can be a pathway to permanent residency. In countries like Spain and Portugal, after residing for five years as a digital nomad, you become eligible for permanent residency. Beyond that, these countries even offer the possibility of citizenship after several years spent living there legally as a digital nomad. This can open up a whole new range of opportunities and allow you to fully integrate into your chosen community.

In Conclusion

Digital nomad visas are becoming more prevalent and accessible, offering DNS and remote workers a legal and convenient way to live and work abroad. They allow for extended stays, ensure compliance with local laws, and provide a sense of stability that visa runs simply cannot offer.

If navigating the visa application process seems overwhelming, services like Wandra can assist with visa support, helping you streamline the process and focus on what truly matters—your work and your adventure.

Embrace the digital nomad lifestyle with confidence, knowing that the right visa can open up a world of possibilities.


But before you can become a digital nomad… You'll need a remote job, right? 😉

HELP ME GET REMOTE WORK!

Stay rebellious,
Michelle

*This week’s article is credited to Wandra—a platform that simplifies international travel with clear visa guidance, essential travel products, and destination insights. Need help with your visa? Explore Wandra today!


 
 

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FAQ

  • Not always. Most countries won’t tax your foreign income—but it’s important to confirm with a local accountant. Some countries offer tax holidays or special expat regimes.

  • Yes. Many digital nomad visas allow you to include partners and dependents. You’ll usually need to show extra income and submit marriage/birth certificates.

  • Some countries, like Spain and Portugal, allow renewals. Others are non-renewable but can be followed by switching to another visa or nomad-friendly country.

  • Overstaying or working outside the visa’s conditions can result in fines, deportation, or being barred from re-entering. Always stay compliant and renew before your visa expires.

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