Costa Rica’s Digital Nomad Visa lets UK remote workers live and work in paradise for up to two years, tax-free on foreign income. Here’s what you need to know:

  • Eligibility: Earn at least $3,000/month (£2,450) or $4,000/month (£3,260) if applying with dependents.
  • Duration: Stay for 12 months, extendable for another year.
  • Benefits:
    • No Costa Rican income tax on foreign earnings.
    • Open a local bank account.
    • Waive import taxes on work equipment.
    • Bring family members (spouses, children under 25, or dependent relatives).
  • Living Costs: Expect monthly expenses of £1,200–£2,000, with rent, utilities, and food being affordable compared to the UK.
  • How to Apply:
    1. Submit proof of income (bank statements or certified income letter).
    2. Pay a $100 (£82) fee.
    3. Have private health insurance covering $50,000 (£40,800).
    4. Apply online via the Trámite Ya platform.

This visa is ideal for freelancers, remote employees, and business owners earning abroad. Enjoy Costa Rica’s beaches, warm climate, and relaxed lifestyle while keeping your UK income intact.

Visa Requirements and How to Apply

Income Requirements

To qualify, you must have a stable monthly income of at least US $3,000 from sources outside Costa Rica. If you're applying with dependents, this amount increases to US $4,000.

Required Documents

You'll need to provide one of the following to prove your income:

  • Bank statements accompanied by an affidavit confirming their accuracy
  • Income letter certified by a public accountant or notary public and properly apostilled

Visa Duration and Renewal

The Digital Nomad Visa allows you to stay in Costa Rica for up to 12 months initially. You can extend this for another year if needed. To renew, submit your application at least 30 days before your current visa expires, along with updated proof of income.

With these requirements and documents sorted, the next step is understanding the visa's key benefits.

Benefits and Money Matters

Main Visa Perks

The Digital Nomad Visa for Costa Rica offers several key benefits:

  • Stay for up to two years
  • Open a local bank account to simplify transactions and reduce foreign exchange fees
  • Waive import taxes on work-related equipment like laptops and phones

These perks make it easier to settle in and focus on your work.

Tax Rules and Income

Here’s what you need to know about taxes:

  • Foreign earnings are completely exempt from Costa Rican income tax
  • You’ll still need to fulfil your UK tax obligations
  • Tax exemptions don’t apply to family members who accompany you

These rules can help you manage your finances effectively while working remotely.

Living Costs vs UK

Once you’ve sorted out taxes, it’s time to plan your budget. Here’s a breakdown of common expenses in Costa Rica:

  • One-bedroom flat in the city centre: £579
  • Basic utilities for an 85 m² flat: £66
  • Internet (60 Mbps or higher): £41
  • Monthly public transport pass: £37
  • Non-rent expenses for one person: Around £681
  • Family of four’s non-rent expenses: Around £2,478
  • Inexpensive meal at a local restaurant: £7
  • Three-course dinner for two at a mid-range restaurant: £44

This cost-of-living comparison can help you see how far your income might stretch compared to the UK.

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Moving to Costa Rica: Step-by-Step

Considering costs and tax benefits? Here's how to secure your visa and settle in Costa Rica smoothly.

  • Ensure your passport is valid for the entire duration of your stay.
  • Have private health insurance with a minimum coverage of $50,000.
  • Translate all necessary documents into Spanish using a certified translator.
  • Submit your visa application via the Trámite Ya platform, include proof of income, and pay the $100 fee.
  • Complete a background check, including criminal and police records.

Housing and Basic Setup

After submitting your application, here are some tips to make your money go further in Costa Rica:

  • Open a Costa Rican savings account to avoid unnecessary currency exchange fees.
  • Save on daily costs by using local prepaid SIM cards and public transport passes.

Daily Life in Costa Rica

Local Life and Customs

Life in Costa Rica moves at an easy-going pace, so don’t expect strict schedules. People value friendliness - start conversations with a cheerful "¡Buenos días!" and don’t shy away from using light humour to navigate social slip-ups. Embracing these customs not only helps you settle in but also makes daily interactions smoother and more enjoyable.

Up next, we'll cover key tips on staying healthy, staying safe, and navigating the area efficiently.

Summary

The Costa Rica Digital Nomad Visa allows UK professionals to work remotely in a tropical setting for up to two years, all while keeping their foreign income exempt from local taxes. With living costs typically ranging from £1,200 to £2,000 per month, the programme appeals to remote workers looking for a balance between affordability and an improved lifestyle.

According to government estimates, each digital nomad contributes approximately £19,200 annually to the local economy through spending on services and daily expenses. Costa Rica's established expat community and friendly atmosphere make it an attractive destination for UK professionals seeking to maintain their income while enjoying a fresh cultural experience.

Below, you'll find answers to common questions about relocating to Costa Rica with this visa.

FAQs

Q: How long does the visa application process take?
A: Applying online tends to be faster than in person. Once approved, you have three months to apply for your residency permit. This requires submitting biometric data, passport photos, and certified documents.

Q: What type of health insurance is required?
A: You'll need valid health insurance for the entire duration of your stay. This must cover medical treatment within Costa Rica.

Q: Can I work for Costa Rican companies with this visa?
A: No, this visa is designed for individuals earning income from abroad. It does not permit local employment.