🇮🇸 Iceland Digital nomad visa

All requirements in detail

Official name

Long-term visa for remote workers and their family members (Útlendingastofnun / Directorate of Immigration)

Visa type

Digital nomad visa

Status

Active

Income requirement (original currency)

1,000,000 ISK / month

Income basis

Salary / employment contract

Legal basis

Official requirement: monthly income equivalent to ISK 1,000,000 for a single applicant, or ISK 1,300,000 if also applying together with an accompanying spouse/cohabiting partner (and/or children under 18). Income is proven with an employment contract / pay statements (employees) or a contract for the project(s) with agreed payments (self-employed); large savings alone do not qualify. EUR conversion at 144.2 ISK/EUR (0.006935 EUR per ISK, 15 Jun 2026): ISK 1,000,000 = EUR 6,935; ISK 1,300,000 = EUR 9,015. No separate proof-of-savings/funds figure is published. Thresholds confirmed against tier-1 government sources (Work in Iceland portal, Government of Iceland Oct-2024 amendment notice, island.is application page).

Family surcharges

Income threshold rises to ISK 1,300,000/month (EUR 9,015) when applying together with a spouse or cohabiting partner; children under 18 may accompany under the same higher figure. No separate per-child income amount is published.

Working for local clients

Not allowed

Path to citizenship

No

Where to apply

In country

Processing time

2–4 weeks

Tax residency trigger

183 days

Insurance requirement, verbatim intent: Health insurance is a mandatory supporting document. The applicant must submit detailed information on their insurance coverage while in Iceland/the Schengen area, including where and for how long it is valid; it must cover the entire intended stay. If the applicant lacks insurance from an Icelandic provider, foreign coverage valid in Iceland/the Schengen area is required. Public Icelandic Health Insurance is NOT available to visa holders (no kennitala, under 6 months legal residence), so private cover is effectively compulsory. The Directorate of Immigration and island.is guidance does not state a numeric minimum coverage amount; several secondary guides cite a minimum of ISK 2,000,000 (about EUR 13,870 at 144.2 ISK/EUR), but this could not be confirmed against any official source, so no minimum coverage figure is published here. Several secondary sources also state that travel insurance is not accepted and that only long-term residency health insurance qualifies; the official text only requires adequate coverage valid for the stay, so both international health insurance and travel insurance are listed as potentially acceptable pending official confirmation.

Tax notes: No Icelandic tax-authority source was read that grants this visa a specific foreign-income exemption, so the regime is recorded as unclear rather than as a formal exempt-foreign regime. In practice the visa is capped at up to 180 days and the holder is not issued an Icelandic ID number (kennitala). General Icelandic tax residency is triggered by staying 183+ days within a 12-month period, so a remote-work-visa holder normally does not become an Icelandic tax resident, and foreign-sourced remote-work income is generally not taxed in Iceland. Holders may not work for local employers or otherwise participate in the Icelandic labour market. This is a general summary, not tax advice; individual treaty and home-country obligations still apply. The 183-day trigger comes from general Icelandic tax-residency rules, not from a visa-specific tax provision.

Beyond the visa

Iceland — the rest of the move

The visa is step one. Here is the rest of what it takes to live here — each researched and sourced.