Strategic Research Brief
Italy’s Elective Residency Visa
Italy has a oldest and long standing cultural heritage formed over 2,500 years, combined with its world-famous art, music, and food culture, gives Italy an unparalleled quality of life. Italy is ranked 1st at a global level for UNESCO World Heritage sites (53 as of 2017), and it is one of the world’s top tourism destinations, with over 50 million visitors each year. Italy offers goods and services with a strong ‘Made in Italy’ character are primarily appreciated for their quality and uniqueness.
Italy is a key gateway to the European Single Market and its 500 million consumers but is also close to Northern Africa and the Middle East. Italy is the 3rd largest economy in the Eurozone and the 8th largest in the world, with a GDP of about 2 trillion dollars.
Location:
Europe
Capital city:
Rome
Total area:
301,340,000 sq km
Languages:
Italian
Currency:
Euro (€)
Population:
62,400,000
Government type:
Parliamentary Republic
Time difference:
UTC +1 8 hrs ahead of NY
Into Italy
A country full of wonders
Introduction to Italy’s
Elective Residency Visa
Introduction to Italy’s Elective Residency Visa
What is it?
The Italian Elective Residence Visa is for foreigners – retired persons, persons with high self-sustaining incomes and financial assets like HNWIs – who can support themselves autonomously, without having to rely on employment while in Italy.
How do you qualify?
Passive Income of €32,000/year
For the Elective Residence Visa Italy, you have to demonstrate to have “passive incomes,” so amounts of money you received without doing anything actively. Commons examples are dividends, pensions, royalties, rents, stable incomes from a long-term investment, etc. It doesn’t matter how much savings you have in your bank account or own a big company to earn millions. These are considered “active incomes,” where you earn because of active work.
Requirements
- Italy's elective residence visa does not require any investment like the investor visa. Instead, you will need to show your ability to support yourself and have accommodations in Italy. This can be done by renting or buying property.
- You will need to show documentation of stable income (e.g., a pension). This can also be done by transferring a year's worth of money into an Italian bank account to cover your expenses. For a single person, the minimum financial requirement is EUR 32,000. For a married couple, it is EUR 38,000. An additional 20% is necessary for each dependent child.
- Be aware that to guarantee approval, it's generally recommended to show a lot more income. It's advisable to have double at the beginning of each year in an Italian bank account.
Conditions
To qualify for the Italy elective residence visa, you will need to first meet the financial and accommodation requirements discussed above. In addition, you will need to provide:
- A police certificate from the last country or residence
- Proof of valid health insurance
- Proof of Accommodations
The initial permit is valid for one year and can be renewed every year provided that the same original requirements are met. You will have to spend most of the year in Italy (183 days) to renew your permit.
Under the Italy elective residence visa, the applicant is allowed to add his spouse and children who are under 21. Older children, parents and other relatives can also apply for elective residence by having their living costs covered by the main applicant.
Application Process
Week 1
To qualify for the Italy elective residence visa, you will need to first meet the financial and accommodation requirements discussed above. In addition, you will need to provide:
Week 2
Sign client agreement, complete government forms and provide supporting documentation.
Week 4
Visit local U.S. consulate and submit application
Week 9
You will be given an appointment to show your documents and give your biometric data.
Week 10
Pick up your resident permit.
Week 12
Once in Italy, you will need to open a bank account, transfer funds in it and rent or buy accommodations. Once you have done these gather all the documents and apply
Key Benefits of Italy's Elective
Residency Visa
Freedom of movement (but not settlement) in Schengen
No investment or donation requirement
Path to citizenship
Permits dual/multiple citizenship
Lower cost of living
Warm climate
Enhanced business access to large economies and education opportunities
Short processing time (~90 days)
Elective Residency Visa
(Residenza Elettiva)
Elective Residency Visa (Residenza Elettiva)
Gorgeous landscapes and friendly people. A rich history and culture, with a reasonable cost of living. And of course, the world’s most loved cuisine, which you can enjoy at its source, all makes Italy an ideal retirement destination. Fortunately for retirees and other people who can demonstrate their financial self- sufficiency, Italy does have a program designed for those who do not plan to work there.
You will need to prove that you can support yourself (and any dependents you bring) without engaging in any employment during your stay.
All applications must be processed through your local Italian embassy or consulate. And the minimum financial requirements to qualify under this visa vary quite a bit, depending on which Italian consulate you visit.
- The official requirement is to show at least €31,159 per year for single applicants. Add 20% on top of that for each dependent you bring with you. But think of this as the bare minimum.
- To qualify, you must prove that your income is stable, i.e. not likely to disappear in the future. Sources that usually qualify include pensions, annuities, rental income, dividends, etc. Demonstrating enough savings in a bank should also work.
RequirementItalian consulates rarely approve applicants who show the minimum or close to minimum income/savings. In most cases, they want to see much larger sums. s
Most consulates require significantly higher amounts €5,000 per month, plus 20% per dependent. That translates to €60,000 per year.
How much you will need to pay for your health insurance will depend on your income declared in Italy:
7.5% of your annual income if your it does not exceed €20,658 (~$25,000); 4% of your income between €20,658 and €51,645 (~$61,000).
The more developed and economically successful northern region is noticeably pricier to live in than the relaxed southern parts of the country.
Italy may be struggling economically, but it is still the third-largest economy in the EU. And this makes it one of the more expensive countries you will find in Southern Europe.