What Should a Self-Employed Person Know Before Obtaining a Digital Nomad Residence Permit?

In the previous article, we discussed who can become a digital nomad. We mentioned that the conditions for self-employed individuals might differ slightly from those for employees. Today, we’ll dive into these differences.

What Are the Main Differences Between a Self-Employed Person and an Employee?

First, an employee cannot apply for a Digital Nomad visa and residence permit without a special certificate from the Social Security Fund. Except for EU countries, such certificates are issued only by Russia. Obtaining it through your online account can be challenging, so we recommend you get the document from the Social Security Fund in person at the registered address of your self-employment.

In the European Union, this is the A1 certificate. However, although many other countries have social security agreements, they simply do not issue certificates to remote workers.

Furthermore, when relocating as a hired digital nomad, you must remember that you cannot work in Spain, unlike freelance nomads. Self-employed individuals are allowed to work for a Spanish company, but with one condition: the income from this work must not exceed 20% of the total income.

After relocating as a self-employed person, you’ll need to register as an Autónomo in Spain and pay contributions according to the local tax rate (€80 during the first year, then on a progressive scale). You can also work with various clients, as long as they meet all the program’s requirements.

Does This Mean That Being a Self-Employed Nomad Is More Difficult?

Of course not 🙂 Although you might have to spend a bit more time and effort on properly handling all the paperwork, freelancing has its perks: independence and the ability to work from anywhere.

And to ensure that your application is correct, we recommend you seek assistance from us, El Pomogator! Our messages are always open for you.

See you in the next articles!