In short
Most American retirees use the D7 passive income visa. In 2026 you need regular passive income — pensions, Social Security, rents or investments — of at least €920 a month (the minimum wage), plus €460 for a spouse and €276 per child, and consulates usually expect about 12 months of that (€11,040 single, €16,560 couple) in a Portuguese bank. You also need a NIF, a 12-month lease or deed, insurance and an FBI check, and you apply through VFS. The visa is valid 4 months; AIMA then issues a 2-year permit, renewable for 3. Spouses should apply together: since October 2025 D7 holders wait 2 years to bring family. NHR has closed, so new residents pay normal progressive rates (12.5–48%) on pensions; US Social Security can be taxed by Portugal with a credit for US tax. Citizenship now needs 10 years.
Retiring in Portugal: key facts
Last verified 28 September 2026| D7 passive income visa | Passive income of at least €920 a month in 2026 (+50% for a spouse, +30% per child); consulates usually expect about 12 months of that (€11,040) in a Portuguese bank# Source: What Portugal's 2026 Minimum Wage Rise Means for Visas: Portugalist · Portugalist: D7 visa requirements 2026 |
|---|---|
| Minimum wage 2026 | €920 a month (Decree-Law 139/2025)# Source: Salario minimo nacional para 2026 fixado em EUR 920: APCMC |
| Residence permit | A 4-month entry visa, then a 2-year permit renewable for 3 years at a time; it can be cancelled after 6 consecutive or 8 non-consecutive months abroad# Source: A DEEP DIVE Into Portugal's D8 Requirements: Portugalist · Lei 23/2007 art. 75 (PGD Lisboa) |
| Family reunification | Since October 2025 most permit holders must live in Portugal 2 years before bringing family (exceptions for minor children, highly qualified workers and golden visa investors)# Source: Alteracoes a Lei de Estrangeiros: Cuatrecasas · MCS: Family reunification after 22 April 2026 |
| Immigration agency | AIMA replaced SEF in October 2023; residence permit processing often takes 6–12 months or more in 2026# Source: Portugal immigration updates: Jobbatical · AIMA assegura que imigrantes estao regulares: Renascenca |
| Pensions | New residents pay normal progressive rates on foreign pensions — the old 10% NHR rate is gone# Source: Portugal's new tax reality 2026: Portugal Resident |
| US Social Security | Under the US–Portugal treaty both countries may tax it; Portugal taxes it as your country of residence and gives a credit for US tax# Source: US-Portugal Income Tax Convention: IRS |
| NHR regime | Closed to new applicants since 1 January 2024; existing holders keep it for their 10 years# Source: Portugal's new tax reality 2026: Portugal Resident · CMS: The end of the Portuguese NHR regime |
| Income tax | 12.5% to 48% in 2026 (top rate above €86,634), plus a 2.5% / 5% solidarity surcharge above €80,000 / €250,000# Source: PwC Tax Summaries: Portugal individual · CIRS art. 68-A: Portal das Financas |
| Inheritance | 10% stamp duty on inherited Portuguese assets; spouses, children and parents are exempt# Source: Blevins Franks: Portugal estate planning |
| Healthcare | Legal residents can use the public SNS with a user number; private hospital plans cost about €13–77 a month at age 40# Source: gov.pt: Pedir o número de utente do SNS · DECO PROteste: Seguros de saúde Multicare, Médis |
| Permanent residence | After 5 years of temporary residence, with A2 Portuguese, means of support and accommodation# Source: Lei 23/2007 art. 75 (PGD Lisboa) |
| Citizenship | Since 19 May 2026: 10 years of legal residence (7 for EU and Portuguese-speaking countries), counted from when the first permit is issued; applications pending before then keep the old 5-year rule# Source: Lei Organica n.o 1/2026: Diario da Republica · Portugal Citizenship Law Published: LiveinPT |
Not American?
Canadians, Australians, Brits and other non-EU citizens: the same rules apply
The D7 works the same for all non-EU retirees. A few points differ:
- Canada
- Australia
- New Zealand
- United Kingdom
- Japan
- South Korea
- + other visa-free countries
| EU citizens | Need no visa; they register for a residence certificate after 3 months. |
|---|---|
| Pension tax | US Social Security follows the US–Portugal treaty; other countries' treaties set their own rules. |
| Citizenship | 10 years for Americans; 7 for citizens of Portuguese-speaking countries. |
| Documents from abroad | Need an apostille; the US, Canada (since 11 Jan 2024), the UK, Australia and NZ issue them.Source: HCCH: Apostille Convention status table |
Why Portugal
Why Retire in Portugal?
Low income threshold
€920 a month for one person in 2026 — far below most Western European retirement routes.
Safety
Level 1 US travel advisory and 7th in the 2026 Global Peace Index.
Cheaper outside Lisbon
Single-person totals with central rent of about €1,440–1,570 in Coimbra, Braga or Faro.
Free transport for older residents
Lisbon residents over 65 ride on the Navegante network for free.
Requirements
Portugal D7 Visa: Document Checklist
| Requirement | What consulates expect in 2026 |
|---|---|
| Passive income | At least €920 a month; +€460 spouse or dependent parent; +€276 per child |
| Savings | About 12 months of the minimum — €11,040 single, €16,560 couple — in a Portuguese bank |
| NIF and bank account | Portuguese tax number and account opened before applying |
| Accommodation | A 12-month lease, deed or hosting declaration (short-term rentals are rarely accepted) |
| Insurance | Travel insurance with medical and repatriation cover (usually €30,000); health insurance for the AIMA stage |
| FBI background check | About 48 hours electronically or 10 days by mail, then apostille |
Minimum wage €920 (Decree-Law 139/2025); family percentages from Portaria 1563/2007. Source: MNE: residence visa documents
How It Works
The D7 Application Process & Timeline
NIF, bank account and housing
Arrange these first — a lawyer can request your NIF online.
Apply through VFS
At the centre for the Portuguese consulate covering your state; the legal decision period is 60 days.
Travel within 4 months
The D7 visa is valid 120 days; AIMA appointments have come up to 6 months after it expires.
Residence permit
AIMA issues a 2-year permit, often 8–10 months or more after arrival; renewals are 3 years.
Permanent residence
After 5 years, with A2 Portuguese.
Since October 2025 most permit holders must live in Portugal 2 years before bringing family (exceptions for minor children, highly qualified workers and golden visa investors). Spouses should apply for their own D7 visas at the same time rather than through reunification later.
Tax
How Retirees Are Taxed in Portugal
As a resident you are taxed on worldwide income at 12.5%–48% in 2026. NHR — which taxed foreign pensions at 10% for people arriving after 2020 — closed to new applicants on 1 January 2024, and its successor IFICI does not cover pensions.
| Income | How it is taxed |
|---|---|
| US Social Security | Both countries may tax it under treaty Article 20(1)(b); Portugal taxes it as your country of residence and credits US tax |
| Private pensions, IRA and 401(k) payouts | Taxed in Portugal as your country of residence (Article 20(1)(a)); the US still taxes you as a citizen, with a foreign tax credit |
| Inheritance of Portuguese assets | 10% stamp duty; spouses, children and parents exempt |
US–Portugal income tax treaty (1994). Source: IRS: Portugal tax treaty documents
FBAR if foreign accounts exceed $10,000 at any time; Form 8938 from $200,000 at year-end ($300,000 at any time) for a single filer living abroad. In force since 1 August 1989 — self-employed people living in Portugal usually pay Portuguese social security only.
Daily Life
Life in Portugal as a D7 Resident
Legal residents can use the public SNS with a user number. Many retirees also buy private cover, but many Portuguese insurers stop accepting new customers at 55–65, so older expats often need international plans. Rents for new leases average €17.42/m² in Lisbon, €10.71 in the Algarve and €9.46 nationally (INE, Q1 2026).
Portugal could work for your retirement if
- You have at least €920 a month of regular passive income (more for a couple).
- You plan to live in Portugal most of the year.
- You have arranged health insurance that accepts your age.
- You are comfortable with normal Portuguese tax rates on your pensions.
FAQ
Frequently asked questions
What is the minimum income for the D7 in 2026?
€920 a month for the main applicant (the minimum wage), plus €460 for a spouse and €276 per child. Consulates usually also expect about 12 months of that in savings.
How is US Social Security taxed if I live in Portugal?
Under Article 20(1)(b) of the US–Portugal treaty both countries may tax it; Portugal taxes it as your country of residence and gives a credit for any US tax.
Is NHR still available for retirees?
No. It closed to new applicants on 1 January 2024, and IFICI does not cover pensions. New residents pay normal rates of 12.5–48%.
How long until Portuguese citizenship on a D7?
Since 19 May 2026, 10 years of legal residence counted from your first permit. Permanent residence is possible after 5 years.
Can my spouse join me later?
Since October 2025 most D7 holders must wait 2 years before family reunification (15 months if you lived together 18 months before arriving). Applying together avoids this.
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