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Moving to Spain from the USA means a national visa from the Spanish consulate for your state, then a residence card in Spain, and two tax systems for the rest of your life there. Retirees and savers generally go the non-lucrative route; people keeping a US job or US clients generally choose the digital nomad visa. The bigger questions come after: how the US–Spain tax treaty treats your pension and Social Security, what you still owe the IRS, and how you’ll pay for healthcare once Medicare stops being useful.
This guide follows those questions in order, using the treaty text, the IRS, the Social Security Administration and Spanish sources, and marks the points where you need an adviser.
Moving to Spain from the USA: which visa?
A US passport gets you short Schengen visits without a visa (EU visa list), but settling in Spain needs a national visa. Spain has consulates in Boston, Chicago, Houston, Los Angeles, Miami, New York, San Francisco and San Juan, plus a consular section in Washington, each covering certain states.
| Your income | Visa | The test |
|---|---|---|
| Retirement savings, pensions, Social Security, investments | Non-lucrative visa | €28,800 yearly for a single applicant (2026), no work |
| Remote work for a US employer or US clients | Digital nomad visa | At least €2,442 monthly from that work (2026) |
The non-lucrative visa guide and digital nomad visa guide cover each route in full. Americans applying in Los Angeles pay a $140 non-lucrative visa fee and supply an FBI background check with a federal apostille. Check your own consulate’s list, since requirements are set post by post.
How the US–Spain tax treaty treats your income
The treaty decides which country taxes each kind of income, but its savings clause lets the US tax its citizens as if the treaty didn’t exist (US–Spain convention, article 1). The 2013 protocol entered into force in 2019 (Treasury).
| Income | What the treaty says |
|---|---|
| Pensions for past employment | Taxable only in your country of residence (article 20); how 401(k) and IRA payouts are classified needs advice |
| US government-service pensions | Taxable only by the US, unless you’re a Spanish resident and national (article 21) |
| Social Security | “May be taxed” by the US as the paying country (article 20); the text doesn’t say “only” |
| Everything, for US citizens | Still reportable and taxable in the US under the savings clause, with credits for Spanish tax |
Some sites say Spain can’t tax US Social Security. The treaty wording doesn’t say that, and we found no Spanish guidance confirming it, so treat it as a question for a cross-border tax adviser. Public-scheme pensions and pension-plan benefits count as work income in Spain and go into the general tax base, taxed on a state scale of 9.5% to 24.5% plus a regional scale set by each region (Ley 35/2006).
A worked example: a retired couple with an IRA and Social Security
Take a couple from Arizona with $2,800 a month in Social Security and $1,500 a month from an IRA. At the ECB rate of October 23, 2026 that’s about €3,840 a month, comfortably above the €3,000 couple threshold for the non-lucrative visa. Once they’re Spanish tax residents, Spain is likely to claim the IRA withdrawals as their country of residence, though how Spain classifies them needs advice, while their Social Security sits in the unsettled area above. As US citizens they also keep filing with the IRS and claim credits for Spanish tax.
What you still owe the IRS
US citizens are taxed on worldwide income wherever they live and generally follow the same filing rules as at home (IRS). Living in Spain adds reporting on both sides:
- FBAR: required once your non-US accounts together pass $10,000 at any moment of the year.
- Form 8938: for taxpayers living abroad, required above $200,000 at year-end or $300,000 at any time if single, and $400,000 or $600,000 if married filing jointly (IRS).
- Modelo 720 in Spain: Spain’s return listing assets held outside Spain, due when a category tops €50,000; for most Americans that means their US brokerage and bank accounts.
Spanish tax residence begins once you pass 183 days in the country in a calendar year or your economic interests are centred there; our Spain relocation guide covers that alongside wealth tax.
Social Security and Medicare
The SSA lists Spain among its international direct deposit countries, so benefits can go straight into a Spanish account (SSA). A US–Spain totalization agreement has been in effect since April 1, 1988 (SSA), which coordinates Social Security coverage between the two countries.
Outside the US, original Medicare generally pays nothing (Medicare). Part B still costs $202.90 a month in 2026 if you keep it; cancel and re-enrol later, and the premium usually rises by 10% of the standard premium for each full 12 months you could have had it, typically for as long as you have Part B, unless a special enrollment period applies (Medicare penalties). In Spain, non-lucrative visa holders start on private insurance, and after twelve months living in Spain and registered locally may join public healthcare via the convenio especial (€60 monthly below 65, €157 at 65 and over).
Driving, pets and practical steps
A foreign licence is valid in Spain for six months after you become resident; Spain exchanges licences only from countries it has an agreement with, and the US doesn’t appear on the DGT’s list (DGT). Plan to get a Spanish licence within those six months if you’ll keep driving.
Dogs and cats from the US follow general EU rules: a microchip before the rabies vaccine, a 21-day wait after the first vaccination, and an EU health certificate endorsed by USDA (APHIS). For a household budget, see what Spanish households spend in our Spain cost of living breakdown.
Frequently asked questions
What Americans ask most before moving to Spain.
Can a US citizen move to Spain?
Yes, with a Spanish national visa: non-lucrative for savers and retirees, digital nomad for remote employees and freelancers.
Do Americans living in Spain pay US taxes?
Yes. US citizens file with the IRS wherever they live, and claim credits for Spanish tax under the treaty.
Is US Social Security taxed in Spain?
The treaty says Social Security “may be taxed” by the US but doesn’t say only by the US. Get advice before assuming Spain won’t tax it.
Can I get my Social Security paid in Spain?
Spain is on the SSA’s international direct deposit list, so payments can go to a Spanish account if you’re eligible.
Does Medicare cover me in Spain?
Generally no. Plan for private insurance, then the convenio especial or other public cover once you qualify.
Can I drive in Spain with a US licence?
For six months after becoming resident. The US isn’t on Spain’s licence-exchange list, so plan to get a Spanish licence.
Moving to Spain from the USA works best when you settle the visa, the treaty and healthcare before you go: match your income to the non-lucrative or digital nomad visa, get advice on how Spain will tax your pensions and Social Security, keep up US filings, and arrange insurance and a Spanish licence early.
Sources
- United States–Spain income tax convention
- Protocol to the US–Spain tax treaty enters into force
- Effective date: U.S.–Spanish Social Security agreement
- International direct deposit countries
- U.S. citizens and resident aliens abroad
- Summary of FATCA reporting for U.S. taxpayers
- Ley 35/2006 (Personal Income Tax Act)
- Medicare: travel outside the U.S.
- Avoid late enrollment penalties
- Exchange of foreign driving licences
- Pet travel from the US to Spain
- Report of Foreign Bank and Financial Accounts (FBAR)
- Convenio especial (special agreement for healthcare)
- Non-lucrative residence visa (Los Angeles)
- Regulation (EU) 2018/1806 (visa list), Annex II
This guide is general information, not legal, tax or financial advice. Immigration and tax rules change often and depend on your circumstances. Check the official sources above and speak to a licensed professional before you apply or move. Read how we research and review in our editorial guidelines.
