So… You Want to Retire in Spain?
Who hasn’t dreamed of sunshine, tapas, and slowing life down by the Mediterranean? Spain makes it easy—great weather, affordable living, top-notch healthcare, and a thriving expat scene. But before you pack your bags, there are visas, taxes, and a few details to sort out. Don’t worry—we’ve got you. This guide walks you through everything you need to know about retiring in Spain without the stress. Let’s dive in.
1. Why Spain Is the Ideal Retirement Haven
Spain continues to attract retirees from all over the world, and it’s easy to see why, especially in coastal regions like the Costa del Sol:
- Low Cost of Living: On average, the cost of living in Spain is over 20-25% lower than in the U.K.
- Fantastic Climate: Enjoy 300+ days of sunshine annually in areas like Costa del Sol.
- Amazing Cuisine: Think fresh seafood, tapas, paella, and local cheeses.
- Safe and Secure: Spain has low crime rates and a strong sense of community.
- Vibrant Expat Network: You’re never far from fellow retirees, making socialising easier.
2. Visa Options for Retiring in Spain
The Non-Lucrative Visa (NLV) is the go-to choice for most retirees looking to settle in Spain. To qualify, you must be a non-EU citizen and show proof of financial means—at least €28,800 per year (400% of IPREM) for the main applicant, plus €7,200 per year (100% of IPREM) for each dependent. In addition, you’ll need private health insurance valid in Spain, a clean criminal record, a medical certificate, and proof of accommodation. The visa is initially valid for one year and can then be renewed for two years, followed by another two-year renewal. After five years, you can apply for permanent residency, and after ten years, you may even become eligible for Spanish citizenship.
3. Taxes in Spain: What Retirees Should Know
Before you settle into your dream retirement, it’s important to know how Spain’s tax system could affect your income and savings. In Spain, anyone who spends 183 days or more in the country within a calendar year is considered a tax resident. For 2025, income tax rates are as follows:
| Income (EUR) | Tax Rate |
| Up to €12,450 | 19% |
| €12,450–€20,200 | 24% |
| €20,200–€35,200 | 30% |
| €35,200–€60,000 | 37% |
| €60,000–€300,000 | 45% |
| Over €300,000 | 47% |
Capital gains and savings are taxed between 19% and 30%.
4. Healthcare in Spain for Retirees
Spain is known for its excellent and affordable healthcare, making it a popular choice for retirees. If you move on a non-lucrative visa, you’ll need private health insurance at first. Costs are usually between €50 and €200 per month, depending on age and coverage, and this gives you access to English-speaking doctors, shorter wait times, and modern hospitals. After five years of living in Spain, you can apply for permanent residency, which allows you to use the public healthcare system (SNS).
5. Cost of Living in Spain for Retirees
How much does it cost to retire in Spain? It depends on your lifestyle and location, but overall, living costs are much lower than in many other European countries. A one-bedroom apartment in the city centre can range from €900–€1,100, while living on the outskirts is cheaper at around €650–€850. Utilities like electricity, water, and heating usually fall between €80 and €220, and a monthly public transport pass costs about €40–€60. Dining out is also affordable, with dinner for two at a mid-range restaurant priced between €35 and €80. Private health insurance averages €50–€150 per month. Altogether, single retirees can live comfortably on €1,200–€1,800 monthly, while couples should plan for about €2,000–€2,800.
Some retirees even choose to purchase property instead of renting. If you’re considering that option, here’s our full guide on buying a holiday home in Spain.
6. Best Places to Retire in Spain
Spain offers something for every personality—beach lovers, city dwellers, and countryside dreamers.
- Marbella
- Málaga
- Estepona
- Benalmádena
- Fuengirola
- Nerja
7. Making Friends Abroad: Building Your Tribe in Spain
One of the biggest challenges of moving abroad is building a new social circle—but in Spain, it’s easier than you might think. You can connect with others through expat groups or Facebook communities, sign up for Spanish language classes, and take part in local events, festivals, or even cooking workshops. Volunteering or joining clubs, such as walking groups or art collectives, is another great way to meet people. Apps like Meetup, Internations, or Tandem also make it simple to expand your network. Plus, learning some Spanish goes a long way in helping you integrate—and locals truly value the effort.
Final Thoughts: Your Best Years Could Be Waiting in Spain
Retiring in Spain isn’t just about beaches and tapas (though those help). It’s about slowing down, living well, and actually enjoying your days, not just getting through them.
Yes, there’s paperwork. Yes, taxes and visas can be a pain. But once you’re settled in, the lifestyle, the people, the food, the sunshine—it’s all worth it.
So if Spain’s calling, maybe it’s time to stop saying “someday” and start planning your “right now.” Your future self, relaxed, sun-kissed, and sipping café con leche in a Spanish plaza, will thank you.
FAQs
How Long Can I Stay in Spain Without a Visa?
If you’re from a visa-exempt country like the U.S. or Canada, you can stay up to 90 days in any 180-day period. Beyond that, you’ll need a visa.
Do I Need to Speak Fluent Spanish to Settle Down in Spain?
Not fluently—but knowing the basics really helps. In tourist-heavy areas, many locals speak English, but a little Spanish goes a long way for daily tasks and deeper connections.
Can I Open a Bank Account in Spain as a Retiree?
Yes—you’ll need one to pay rent, utilities, and show financial proof for visas. Most major banks offer non-resident accounts, and many have English-speaking staff.