# Regarding residency



## greenfingers (Feb 18, 2014)

Hi everyone 

We are currently considering a move to Portugal, but want to be cautious and do everything legally. 

Could you please advise what is required of us. 

We currently live self sufficiently in the UK with very small financial requirements. 

We have lived this way for a long time and know the ins and outs well in the UK. 

We are set to receive an inheritance and our thoughts are that we would like to buy a house with some land in Portugal - the weather being the draw. 

My question is I understand to gain residency that we need to each have a passport, prove we have health cover and show that we can financially support ourselves. 

Because we live self sufficiently we do not work, but also do not require a lot of money to live off. 

With this fact in mind what would Portuguals authorities require us to prove we have financially to support ourselves. ie in the bank. 

I assume after applying for residency in year 1, upon showing "X amount" in the bank account . If little of it was used, it would still be ok for applying for residency the next year and so on. 

Finally could you please confirm if the amount the authorities require you to prove you have is for a single person or couple. 

Thank you


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## canoeman (Mar 3, 2011)

"My question is I understand to gain residency that we need to each have a passport, prove we have health cover and show that we can financially support ourselves. "

If you are EU Citizen then you can move to work, live, study, retire in Portugal

In practice you go to the department at your Camara that does Residencia and supply Passport, proof of a Portuguese address (Astestado) from your Junta (Parish Council), part of form you sign says that you are financially independent and not a burden to the Portuguese State.
In practice this isn't even mentioned, if you were asked to provide proof of income then I believe that it cannot be more than the minimum wage.
Health Insurance is chicken & egg until you are a Registered Resident but still a UK Resident then you are covered by EHIC but once registered as a Resident you're not but are then entitled to register with the Portuguese NHS

Residency is not a year to year thing, you must Register if staying longer than 3 months, it is then valid for 5 years (unless you cancel it and leave country) at 5 years of legal Residency you change status to a "permanent" Resident that like a Passport is renewed every 10 years because it bears a picture


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## greenfingers (Feb 18, 2014)

Thank you for your reply, that has opened my eyes, I was obviously mistaken on quite a number of issues there.

Could I please ask what the minimum wage currently is for Portugal.

How does tax and national insurance affect us in Portugal, bearing in mind we live self sufficiently and not working in the traditional way.

We currently sell surplus fruit, veg, seeds etc in the Uk, do you know to what value we would be allowed to sell in Portugal before becoming required to pay tax or national insurance, or do you have to pay tax and national insurance straight away?

Thank you again


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## canoeman (Mar 3, 2011)

Currently 485€ pm but I'm not certain that this is actually the correct figure, I think it's actually a bit less, it's one of those difficult to find bits of information

Tax Returns, if you earn (as in earnings/pensions) less than 293€ pm pp you do not need to file a tax Return +293€ pm pp you do
National Insurance = Social Security afraid a grey area if you work you pay Social Security which covers you and your family for all related issues
There is a Voluntary Contribution option but again information hard to come by and to be honest I've not tried to 

Selling, It goes back to the 293€ pm pp if you're below this no need to file a tax return but you would be safer registering for Social Security but having an exemption because your earnings would be below NI limits and it makes you legal with no issues to health care etc.

There are other issues like license's and if you wish to be legal it's an area that you should really get good professional advice from the outset


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## greenfingers (Feb 18, 2014)

Thank you so much, I feel I have learned so much today, I am so very grateful.

Regarding Social Security, with an exemption, would you be able to explain more? Do you know how this would work and what we would need to do? If not would you be able to point in us in the right direction to find out.

Also regarding license's, would that be for the selling of our extra produce? and do you know who we should approach to get professional advise?

Sorry to ask another question - do you know how Portugal feels about polytunnels? Are you aware of any legislation on this issue? If not do you know who we should approach?

I can not thank you enough!


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## canoeman (Mar 3, 2011)

Polytunnels quite happy about them

Advice generally an accountant not expensive here but versed in what's reguired as regards tax & Social Security
Licences are normally from Junta, really not sure what you'd reguire for seeds & vegetables every town has a local market at least once a week, lots of ladies selling excess produce whether they have a licence or not? doubt it but it might be part of the "pitch" fee, as a "foreigner" you might well need one, also car boot/organics markets around generally un governed but occasionally get raided

Social Security payments are as a self employed person 1st year free, your earnings as declared in a tax return are then used as the basis for Social Security contributions, what's important is that if your earnings are going to be below a contribution level then you still register but fill the form in for an exemption from Social Security payments
http://www1.seg-social.pt/ social security site but Engligh option very limited information you need to use a translate option on browser to get information


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## greenfingers (Feb 18, 2014)

Thank you so much Canoeman, you have provided us with so much help and useful information.

I will take your advise, and seek some advise from an accountant and have a look at the website you recommend.

A massive thank you.


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## maidentales (Mar 29, 2010)

Canoeman has come forward with some relevant ground level information, although to add:

Our local Camera asked for a copy of friends' bank account statement when they applied for their residency permit. 

The Camera was not interested in taking any notice of what was in the bank account, i.e., what balance was in the account, nor were they interested in the income our friends' received - it appeared the Camera just wanted a piece of paper that showed our friends held a bank account of some sort although why it's not known.

I have the feeling that each Camera (Town Hall) can be different in its interpretation of what to provide although I would expect the basics remain the same as Canoeman described.

As for an accountant, I went to my local town whose grandson of the person who owned a neighbouring house advised me in clear English and without charge for my own personal situation.

As for self sufficiency, Portugal has areas that are thriving with this lifestyle, with some local Portuguese in our village and surrounding villages living with little or no money, no electricity, without indoor running water or bathroom facilities and living off their own resources although it's becoming rare as their offspring move out of the rural areas and into the towns and cities for work and a different lifestyle.

This may be especially so if you go into the hills and smaller villages where the Portuguese in abundance keep their own livestock and grow their own veg., so good luck with the move!


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## siobhanwf (Mar 20, 2009)

_The Camera was not interested in taking any notice of what was in the bank account, i.e., what balance was in the account, nor were they interested in the income our friends' received - it appeared the Camera just wanted a piece of paper that showed our friends held a bank account of some sort although why it's not known
I have the feeling that each Camera (Town Hall) can be different in its interpretation of what to provide although I would expect the basics remain the same as Canoeman d
_
AS IN ANY OTHER COUNTY THEY NEED TO KNOW THAT YOU CAN FINANCIALLY SUPPORT YOURSELF AND WILL NOT BE A BURDEN ON THE STATE


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## notlongnow (May 21, 2009)

They took a really good look at our statements, and photocopied some!


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## canoeman (Mar 3, 2011)

Pleased to say though that now times have changed and it's extremely unusual to hear of Camaras insisting on any proof of income or savings and as I said even mentioning the financial independence statement that should be part of registration, just always worthwhile being prepared in case it comes up.


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## MarkandRose (Feb 12, 2014)

Just wanted to say a big thank you to canoeman, all this Information is a massive help to all of us taking the plunge and upping sticks to Portugal. Mark


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