Retiring in Spain from the U.S.: the Visa, the Money, the First Year

The visa: residence without work

The Non-Lucrative Visa gives you residence in Spain on one condition.  You support yourself without working, in Spain or remotely for anyone.  Retirement income is exactly what it was designed for.

You apply before you move, in person, at the Spanish consulate that covers the state where you live.  Most consulates take the appointment through their BLS visa centre.  You hand in the file yourself.  I prepare it in your consulate’s order and go through the appointment with you beforehand.

The first permit lasts one year.  After that you renew in Spain for two years at a time, and after five years you can apply for long-term residence.  The full Non-Lucrative Visa guide covers the process step by step.

How much money you need

In 2026 the line is €28,800 a year for you and €7,200 for each family member who comes with you, so €36,000 for a couple.  The consulates publish it in dollars as about $32,000 and $8,000, but the rule is in euros, and so is the reading.

What counts.

• Social Security, a pension or an annuity.
• Dividends, interest and rent.
• Savings you can reach, in the bank or a brokerage account.

Most retirees combine a monthly benefit with savings.  A couple with $2,400 a month of Social Security and $20,000 in the bank clears the line comfortably at today’s rates.  A couple counting only on a $2,800 monthly pension falls short once the dollar is converted, and some consulates read income net of tax, Houston among them.  I prepare every file at least 15% above the euro line.  The means calculator runs your own numbers.

A 401(k) or an IRA you cannot draw from without a penalty counts for less than cash.  Money moved into your account in the last month or two reads differently from money that has been there all year, because the bank letter shows a twelve-month average.  If you are going to move savings around, do it early.

Social Security from Spain

The Social Security Administration pays benefits to U.S. citizens living in Spain.  You can keep the deposit going to your U.S. account or have it paid into a Spanish one.  Moving abroad does not stop your benefit, but tell the SSA your new address once you are settled.

For the visa, the benefit verification letter is one of the strongest documents you can bring.  You download it from your my Social Security account, and it goes with a sworn translation into Spanish.

Not yet claiming?  The visa does not require you to.  Savings alone can carry the file, as long as they clear the line for the year.

Health insurance, and why Medicare is not enough

Medicare does not pay for care outside the United States.  For the visa you need private health insurance from an insurer authorised to operate in Spain, with full cover, no copays and no waiting periods, for the whole year.  Travel insurance is refused.

Premiums rise with age, and some insurers stop accepting new members past a certain age.  Ask before you set your heart on one.  The health insurance guide covers what consulates accept.

Whether to keep Medicare Part B is a separate decision.  Some retirees keep it for treatment on visits home, and dropping it can mean a late-enrolment penalty if you come back.  Weigh it with the premium.

Taxes, briefly

Living in Spain more than 183 days a year usually makes you a Spanish tax resident, taxed on your worldwide income.  You also keep filing a U.S. return, as every American abroad does.  The U.S.–Spain tax treaty decides which country taxes each kind of income, and its reading on Social Security is not settled among advisers.

The Beckham regime, the flat tax people read about, is not available on this visa.  Spain also has a wealth tax, set region by region.  Speak to a cross-border tax adviser before you decide where to settle.  I handle the immigration side, not the tax filings.

The documents you will gather

A typical retiree’s file has about twenty papers.  The ones that take planning:

• An FBI background check with a federal apostille, recent at the appointment, and a police certificate from any other country you lived in during the last five years.
• A medical certificate under the International Health Regulations 2005, signed by your doctor.  The medical certificate guide has the wording.
• A bank letter with the twelve-month average balance and the balance on 31 December, and the bank letter guide has wording to ask for.
• Your benefit or pension letters and your last tax return.
• A marriage certificate with a state apostille, if your spouse comes with you.

Several of these go stale after about three months, so timing matters as much as the list.  The checklist tool dates each one back from your appointment.

Your first year in Spain

Once the visa is in your passport you have three months to enter Spain.  In the first month after you arrive you register at the town hall, the empadronamiento, and apply for your foreigner identity card, the TIE, with your fingerprints.

Then you live.  Open a Spanish bank account, keep your boarding passes, and keep an eye on your days: the renewal needs more than 183 days in Spain in each calendar year, and long summers back in the U.S. are the usual way people lose it.  The 183-day counter keeps the count for you.

About sixty days before the year ends, the renewal opens.  I file it for you in Spain, with your means for the next two years and proof that you lived there.

Where to start

Tell me in the free assessment what you will live on, who is moving with you and where you live now.  I reply in writing within 24 hours with your consulate, whether your numbers clear the line and what to do first.

Sources: Ley Orgánica 4/2000 (BOE) · Reglamento de Extranjería, RD 1155/2024 (BOE) · Social Security payments abroad (SSA) · Medicare and travel outside the U.S. · Every figure on this site, with its source.