How to Retire in Portugal: What Americans Need to Know About the D7 Visa

Save this storySave StorySave this story Beautiful, affordable, and culturally rich, Portugal is often ranked as the top choice for Americans who want to move abroad. And while its golden and digital nomad visas are a popular residency pathway for international investors and remote workers, if you’re a retiree dreaming of spending your golden years between the Algarve’s sun-soaked beaches and Lisbon’s mosaic-lined streets, Portugal’s D7 visa, also known as the “Passive Income Visa", may be a better fit.

The southwestern European country was named Global Citizen Solutions’ (GCS) best destination for retirees in 2025, in part because of the D7 visa. The program serves as a residency gateway for foreigners with steady passive income: After five years, visa holders can apply for permanent residency; and after 10 years, they can pursue Portuguese citizenship, according to GCS.

Thanks to Portugal’s European Union membership, D7 visa holders can also travel freely across the 28 other Schengen Area countries. But travel benefits aside, the visa is popular, in part, for its relative affordability. To qualify, your passive income must be equivalent to Portugal’s minimum monthly salary, which is currently 920 euros (about $1,055 per month), according to the government’s Ministry of Foreign Affairs. That threshold increases by an extra 50% for additional adult applicants and 30% for every child or dependent.

As for what qualifies as “passive income”, think of avenues like pension, rental income, and investment dividends, but not a traditional 9-to-5 salary or freelancing gigs. In addition, you’ll also need at least €11,040 (about $12,659) in savings in a Portuguese bank. If you want to bring another adult, you’ll need €16,560 (about $18,939); add a kid, and it’ll be €19,872 (about $22,728).