Spain’s Startups Law has now been completely ratified by the Spanish Senate and on Thursday December 1st was voted in definitively by Spain’s Parliament in one final vote, meaning that there are no more obstacles for the legislation to jump through.
In other words, it is a reality and there is no looking back or toing and froing for a law which has continued to receive support from all sides of the political spectrum in these very final stages.
In these last stages, the Spanish Senate added several amendments relating to better perks for serial entrepreneurs (people who start multiple businesses), incentives for startups in rural communities of Spain and denying the condition of “startup” to companies that have partners that “present risks”.
In a nutshell, Spain’s Startups Law is considered a first in Europe, with lots of incentives and tax benefits for foreign startups, less bureaucratic obstacles overall and favourable conditions for non-EU remote workers and digital nomads, including a residency visa.
The following two articles cover everything that you should know if you’re looking to benefit from the new law as a startup in Spain, but in this article our focus will be on non-EU remote workers and digital nomads and what to consider with a move to Spain.
Here is a list of what digital nomads should consider if they’re thinking of taking advantage of Spain’s new legislation.
Spanish residency and taxes
The new digital nomad visa is particularly promising for non-EU digital nomads from countries such as the UK, US or Australia for example, as until now getting a residency permit for remote work hasn’t been at all easy, with the best option being to apply for the self-employment visa which requires a business plan, proof of guaranteed earnings and more. It will also be available for remote workers with a contract for an overseas company.
Digital nomads will be able to benefit from Spain’s Non-Residents Tax (IRNR) at a reduced tax rate of 15 percent for the first four years, even though they can spend more than 183 days a year in Spain and are therefore technically fiscal residents.
You can read in more detail about what digital nomads stand to gain in terms of taxes and a residency visa in the article directly below.
READ MORE: Spain’s new digital nomad visa – Everything we know so far
Where to move to in Spain as a digital nomad
This will be one of the most important decisions that you have to make, but again we have you covered.
From the best places for co-working and digital nomad culture to the best place for cost of living and for integrating into Spanish culture, the article below gives you an overview of some of the most popular destinations for nómadas digitales.
FIND OUT: Ten of the best cities for digital nomads to move to in Spain
Then again, you may be interested in enjoying a quieter life in rural Spain. You’ll sometimes see news stories about the offer of free accommodation in quaint Spanish villages that want remote workers, but these quickly get filled.
One of the best ways of finding the right place is by searching yourself, the article below explains how to do it.
FIND OUT: How to find Spanish villages that are helping people to move there
And do you really know what life in rural Spain will be like? Here are some points to consider.
READ MORE: Nine things you should know before moving to rural Spain
Rental costs
Spain is generally seen as having a very affordable cost of living, but it greatly depends on where you move to in the country.
According to Spain’s leading property search portal Idealista, who released a report earlier this year, the most expensive cities to rent in Spain are San Sebastián and Bilbao at around €901 a month, followed by Barcelona and Madrid with €875 and €848 a month respectively.
The Balearics, the rest of the Basque Country and the area around Marbella also have above-average rental prices.
The cheapest places to rent are in the interior of the country around Teruel, Cuenca, Ciudad Real, Zamora and Palencia, while Almería and Huelva were the cheapest coastal cities averaging €504 and €477 a month.
As inflation rises, rents are increasing, so you may find that they are higher come January 2023.
You’ll also have to consider temporary accommodation for when you first arrive in Spain, the article below should help you with that.
READ MORE: How to find temporary accommodation in Spain when you first arrive
General costs of living
As with rent, the general cost of living varies greatly, depending on where you want to base yourself within Spain. Barcelona, Madrid and places in the Basque Country generally have the highest cost of living, while places in central Spain and inland Andalusia have some of the lowest prices.
It’s worth keeping in mind that if you choose Barcelona, the cost of living has risen by 31 percent in the last five years. According to the annual report by the Metropolitan Area of Barcelona (AMB), the minimum wage needed to be able to live comfortably in Barcelona is €1,435 gross per month.
You will need similar amounts for Madrid and the major Basque cities but will be able to get away with earning less in some of the smaller towns and cities.
Keep in mind as well that Spain is yet to disclose what the minimum income will be for digital nomads to be able to access the visa.
Costs of co-working spaces
You’ll find co-working spaces all over Spain, mostly in the main cities but, even in small villages that are trying to attract more people because of depopulation.
According to the latest report on the Status of Coworking in Spain in 2020-2021, Barcelona has the most coworking spaces, followed by Madrid.
Málaga, Seville and Granada, however, have the greatest offer of coworking spaces at the most affordable prices.
Co-working spaces are available to rent in Spain by the hour, day or month and also have the option for private offices for meetings and calls.
According to the report, in 2021 the average price of a desk in a co-working space was €188 per month.
If you want to find out more about renting in Spain, check out The Local’s page on renting here.
Internet speeds
Internet speeds are generally good in Spain, across much of the country, even in small villages.
According to the Speedtest Global Index, Spain has an average broadband download speed of 154Mbps and an upload speed of 107Mbps.
For mobile speeds, the average download speed was 35Mbps and the upload speed was 10Mbps. Phone internet speeds were slightly faster in the bigger cities such as Barcelona and Madrid.
Healthcare in Spain
Even though the Startups Law will not be tweaked anymore and all that needs to happen is that it comes into force, one of the matters that still hasn’t been mentioned by Spanish authorities is what healthcare options will be available to holders of digital nomad visas.
Will they need to get a private healthcare scheme as is required for non-lucrative visa applicants which can be expensive especially if you have pre-existing conditions? Will they be able to pay social security fees or the convenio especial pay-in scheme to access public healthcare?
Whatever the outcome, Spanish healthcare has a good reputation although in recent times there have been protests about the lack of doctors and health workers in the country and consequently longer waiting times.
Private healthcare options are affordable for people with no pre-existing health conditions.
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