Passive Income
What It Means, What Qualifies, and How to Prove It for EU Residency
This page exists to remove confusion, reduce unqualified applications, and clearly explain what passive income actually means in the context of European residency programs — particularly Portugal's D7 Visa, Spain's Non-Lucrative Visa, Italy's Elective Residence Visa, and Greece FIP Visa.
Many applicants mistakenly believe that salary, remote work income, business revenue, or bank savings qualify as passive income. They do not. This guide explains the difference, what is acceptable, and how applicants can evidence their income correctly.
This page exists to remove confusion, reduce unqualified applications, and clearly explain what passive income actually means in the context of European residency programs — particularly Portugal's D7 Visa, Spain's Non-Lucrative Visa, Italy's Elective Residence Visa, and Greece FIP Visa.
Many applicants mistakenly believe that salary, remote work income, business revenue, or bank savings qualify as passive income. They do not. This guide explains the difference, what is acceptable, and how applicants can evidence their income correctly.
This page exists to remove confusion, reduce unqualified applications, and clearly explain what passive income actually means in the context of European residency programs — particularly Portugal's D7 Visa, Spain's Non-Lucrative Visa, Italy's Elective Residence Visa, and Greece FIP Visa.
Many applicants mistakenly believe that salary, remote work income, business revenue, or bank savings qualify as passive income. They do not. This guide explains the difference, what is acceptable, and how applicants can evidence their income correctly.
Definition
Definition
What is Passive Income
Definition
Definition
What is Passive Income
Passive income is recurring income that continues to be generated without active daily work or employment. It is typically derived from assets, investments, or long-term income arrangements rather than personal labour or ongoing business activity.
Key characteristics of genuine passive income:
Passive income is recurring income that continues to be generated without active daily work or employment. It is typically derived from assets, investments, or long-term income arrangements rather than personal labour or ongoing business activity.
Key characteristics of genuine passive income:
Passive income is recurring income that continues to be generated without active daily work or employment. It is typically derived from assets, investments, or long-term income arrangements rather than personal labour or ongoing business activity.
Key characteristics of genuine passive income:
Predictable and recurring
Predictable and recurring
Independent of daily work or time input
Independent of daily work or time input
Verifiable through financial documentation
Verifiable through financial documentation
Sustainable over time
Sustainable over time
Paid from assets, investments, or structured income sources
Paid from assets, investments, or structured income sources
Passive income demonstrates financial independence and long-term stability — which is why it is required for non-working residency visas.
Approved
Approved
Qualifying Passive Income Source
The following income sources typically qualify when properly documented and stable:
Rental Income
Rental Income
Dividends and Investment Income
Dividends and Investment Income
Pension/Retirement Income
Pension/Retirement Income
Interest Income
Interest Income
Paid from assets, investments, or structured income sources
Paid from assets, investments, or structured income sources
Trust Distributions
Trust Distributions
Royalties
Royalties
Passive income demonstrates financial independence and long-term stability — which is why it is required for non-working residency visas.
Not Approved
Approved
Not Approved
What Does NOT Qualify as Passive Income
Qualifying Passive Income Source
The following income sources typically qualify when properly documented and stable:
Rental Income
Rental Income
Dividends and Investment Income
Dividends and Investment Income
Pension/Retirement Income
Pension/Retirement Income
Interest Income
Interest Income
Paid from assets, investments, or structured income sources
Paid from assets, investments, or structured income sources
Trust Distributions
Trust Distributions
Royalties
Royalties
Passive income demonstrates financial independence and long-term stability — which is why it is required for non-working residency visas.
Not Approved
Not Approved
What Does NOT Qualify as Passive Income
The following income types do NOT qualify for Passive Income:
Employment / Salary Income
Employment / Salary Income
Employment / Salary Income
Freelance or Contract Income
Freelance or Contract Income
Freelance or Contract Income
Business Trading Income
Business Trading Income
Business Trading Income
Savings / Bank Balance Only
Savings / Bank Balance Only
Savings / Bank Balance Only
Not Approved
Not Approved
Proof
How To Prove Passive Income
For passive income–based residency programs, applicants must demonstrate that their income is stable, recurring, and independently verifiable. Authorities assess not only the income amount, but also its consistency, sustainability, and legal source to ensure applicants can support themselves long-term without reliance on employment or active business activity.
Common examples of documentation can include:
For passive income–based residency programs, applicants must demonstrate that their income is stable, recurring, and independently verifiable. Authorities assess not only the income amount, but also its consistency, sustainability, and legal source to ensure applicants can support themselves long-term without reliance on employment or active business activity.
Common examples of documentation can include:
6-12 month bank statements
6-12 month bank statements
Lease Agreements
Lease Agreements
Investment Statement
Investment Statement
Pension Documents
Pension Documents
Trust Documentation
Trust Documentation
Proof of recurring deposits
Proof of recurring deposits
6-12 month bank statements
6-12 month bank statements
Lease Agreements
Lease Agreements
Investment Statement
Investment Statement
Pension Documents
Pension Documents
Trust Documentation
Trust Documentation
Proof of recurring deposits
Proof of recurring deposits
For passive income–based residency programs, applicants must demonstrate that their income is stable, recurring, and independently verifiable. Authorities assess not only the income amount, but also its consistency, sustainability, and legal source to ensure applicants can support themselves long-term without reliance on employment or active business activity.
Common examples of documentation can include:
Predictable and recurring
Predictable and recurring
Independent of daily work or time input
Independent of daily work or time input
Verifiable through financial documentation
Verifiable through financial documentation
Sustainable over time
Sustainable over time
Paid from assets, investments, or structured income sources
Paid from assets, investments, or structured income sources
Passive income demonstrates financial independence and long-term stability — which is why it is required for non-working residency visas.
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