How you can retire in Europe with Portugal’s passive income visa

livemint.com:

Subscribe to enjoy similar stories. Retirement planning not just involves planning the finances for adequate retirement corpus, but also planning your retirement home. But what if you want to plan a retirement outside India? The planning then can be more complex.

Apart from making the adequate financial provisions, you would also need to check which countries offer suitable residency programmes. Portugal’s D7 visa offers an option for retirees to gain residency if they meet certain passive income requirements. Mint takes you through what you need to apply for the D7 visa, which is also known as Portugal’s passive income visa.

As mentioned earlier, the D7 visa requires applicants to meet certain minimum passive income thresholds. These incomes could be from various streams: rentals, dividend, interest income, pension, etc. The minimum income requirement is linked to the minimum wages in Portugal.

While the minimum wage in Portugal now is €820 per month, it is recommended that an applicant maintain a passive income of €1,000 per month ( ₹93,000), as the minimum wage keeps fluctuating. On an annual basis, this amounts to €12,000 ( ₹11.16 lakh). If the spouse needs to be added in the application, the passive income requirement goes up by 50%.

So, the total passive income requirement for a couple adds up to €1,500 ( ₹1.39 lakh) per month, or €18,000 ( ₹16.74 lakh) per year. But given that these figures are linked to minimum wages in Portugal you may need a higher income stream depending on your living costs and lifestyle needs. So, higher the income stream the better.