Non-profit residence in Andorra
The non-lucrative residence in Andorra, also known as residence without gainful activity or passive residence, is an authorization designed for individuals who wish to establish their residence in the Principality without engaging in any professional or employment activity in the country, either independently or for an employer. It is a particularly attractive solution for investors, families with international assets, rentiers, and profiles seeking stability, legal security, and a high quality of life in a competitive European environment.
This type of residence allows individuals to live in Andorra, organize their assets, maintain investments, and receive income or returns from abroad, always within the applicable legal framework. However, it is important to note that it does not authorize the holder to engage in professional activity in Andorra, and any asset or corporate structure must be designed to be compatible with the granted authorization.
One of the main advantages of this authorization is the flexibility it offers to the applicant, as it requires a minimum presence of 90 days per year in Andorra. Nevertheless, non-lucrative residence does not automatically confer tax residency in the country. Tax residency must be assessed independently, taking into account factors such as actual presence, the center of economic and personal interests, and the applicable regulations in each case.
We set out below the Requirements for Non-Lucrative Residence in Andorra requirements for access to this type of residence
- Demonstrate sufficient economic solvency.
- Have a residence in Andorra.
- Maintain adequate health coverage.
- Make the investment required by the current regulations.
- Maintain a minimum effective residence in the Principality of 90 days per year.
- Make a non-refundable deposit of €50,000 with the Andorran Financial Authority (AFA).
- Make a non-refundable deposit of €12,000 for each dependent who also obtains the status of non-lucrative resident.
- Have sufficient financial means equivalent to 300% of the current annual minimum wage for the main applicant, increased by an additional 100% for each dependent.
- Have a residence in Andorra, either owned or rented.
Health insurance coverage in the Principality and, if applicable, with the complementary coverages required by the applicable regulations.
Minimum Investment Required in 2026
- A permanent and effective investment of at least €1,000,000* in Andorran assets admitted by law, including:
- Real estate**
- Shares in resident companies
- Certain debt or financial instruments issued by resident entities
- Andorran public debt
- Life insurance
- Debt or financial instruments issued by resident entities and certain Andorran collective investment funds may count for this purpose. In these cases, there is a maximum limit of 36 months, after which the investment must be redirected to other types of Andorran assets to continue counting under the applicable legal framework.
*The minimum investment may be reduced to €400,000 if it is made directly or indirectly, permanently and effectively, in the Fons d’Habitatge.
**When the investment is made fully or partially in real estate, the law requires allocating more than €800,000 per acquired property unit. Therefore, it is no longer correct to claim that acquiring a property worth €400,000 is sufficient to meet this requirement. This threshold does not refer to an individual property purchase but to the legal exception linked to the Fons d’Habitatge, once it is created and operational.
A Residence Designed for International Profiles
Non-lucrative residence in Andorra is particularly suitable for individuals who do not need to integrate into the Andorran labor market to develop their life project. It allows establishing residence in a stable, secure country with a competitive tax system, while facilitating proper asset organization and efficient international planning.
It is an especially attractive option for those who wish to live in Andorra with a solid asset structure, benefit from legal security, and enjoy a high quality of life without giving up an international projection. However, the suitability of this route should always be analyzed on a case-by-case basis, taking into account the applicant’s profile, country of origin, the nature of their assets, and the potential interaction between migration residence and tax residence.
At Augé Legal & Fiscal, we analyze each case individually to design the most appropriate migratory, asset, and tax structure according to the personal and business objectives of each client.