If you’ve ever dreamed of relocating to Europe, enjoying a Mediterranean lifestyle, and living off your passive income, Portugal’s D7 Visa might be your golden ticket. As someone who has navigated this process, I’m here to share insights into the D7 Visa—what it is, how to apply, and, most importantly, the nuances of its passive income requirements.
Understanding the D7 Visa
Introduced in 2007, the D7 Visa, often referred to as the “Passive Income Visa” or “Retirement Visa,” is designed for non-EU/EEA/Swiss citizens who have a stable passive income. This visa allows individuals to reside in Portugal without the need to engage in active employment, making it ideal for retirees, investors, and others with steady income streams.
Key Benefits:
- Residency Rights: Live in Portugal with access to healthcare, education, and the ability to work if desired.
- Schengen Travel: Enjoy visa-free travel across the Schengen Area.
- Path to Citizenship: After five years of legal residency, you can apply for permanent residency or Portuguese citizenship
Application and Renewal Requirements
Eligibility Criteria:
- Non-EU/EEA/Swiss Citizenship: Applicants must not be citizens of these regions.
- Stable Passive Income: Demonstrate a consistent income that meets or exceeds the Portuguese minimum wage.
- Accommodation in Portugal: Provide proof of residence, such as a rental agreement or property deed.
- Clean Criminal Record: Submit a criminal background check from your country of residence.
- Health Insurance: Obtain valid health insurance coverage in Portugal.
- Portuguese Tax Number (NIF): Secure a NIF and open a Portuguese bank account
Renewal Process:
The initial D7 Visa is valid for two years and can be renewed for successive three-year periods. To maintain residency, you must spend at least 16 months in Portugal during the first two years and 28 months during the subsequent three-year period
The Heart of the Matter: Passive Income Requirements
At the core of the D7 Visa is the requirement to have a stable passive income. As of 2025, the minimum income thresholds are:
- Main Applicant: €10,440 per year (€870 per month).
- Spouse or Partner: Additional €5,220 per year (50% of the main applicant’s requirement).
- Dependent Child: Additional €3,132 per year (30% of the main applicant’s requirement)
These figures are based on the Portuguese minimum wage and are subject to change.
What Qualifies as Passive Income?
Passive income refers to earnings that do not require active involvement. For the D7 Visa, acceptable sources include:
- Pensions: Government or private retirement benefits.
- Rental Income: Earnings from property leases.
- Dividends: Profits from shares in companies.
- Interest: Income from savings accounts or bonds.
- Royalties: Payments from intellectual property rights.
- Annuities: Regular payments from financial products
It’s crucial to provide documentation, such as bank statements, tax returns, or contracts, to verify these income sources.
Income Sources That May Not Qualify
Not all income streams are considered acceptable for the D7 Visa. Typically excluded are:
- Active Income: Salaries, freelance work, or business profits requiring active participation.
- Irregular Income: One-time earnings, such as the sale of assets.
- Undocumented Income: Earnings without proper documentation or legal proof .
If your income doesn’t fit the passive criteria, consider alternative visas, such as the Digital Nomad Visa, which caters to remote workers with active income streams
Final Thoughts
Portugal’s D7 Visa offers a viable pathway for individuals with passive income to enjoy the country’s rich culture, favorable climate, and high quality of life. By understanding the requirements and ensuring your income sources align with the visa’s criteria, you can embark on a new chapter in one of Europe’s most inviting destinations.