Andorra is a tiny principality in the Pyrenees between France and Spain. Despite its modest size, the country attracts wealthy retirees and entrepreneurs from all over the world. The reasons are obvious: a favorable tax system, a high level of security, a pleasant climate, and a stable economy.
Andorran Residence Permit for Retirees
In 2025, Andorra offers one of the most attractive programs for retirees who want to live in Europe with comfort and tax benefits.
Requirements for Obtaining a Retiree Residence Permit
- Confirmed stable income (pension, investments, or dividends).
- Availability of housing in Andorra (purchase or rental).
- Deposit placed in an Andorran bank.
- No criminal record and no serious illnesses.
Required Documents
- Passport.
- Certificate of pension amount or income sources.
- Health insurance.
- Housing documents (rental or purchase agreement).
Benefits for Retirees
- Life in an environmentally clean mountain country with a mild climate.
- High-quality healthcare and access to European clinics.
- Low income tax and no inheritance tax.
- A calm, safe environment ideal for life after retirement.
Andorran Residence Permit for Entrepreneurs
For entrepreneurs and investors, Andorra in 2025 provides opportunities not only for favorable taxation but also for integration into a stable European economy.
Business and Investment Requirements
- Company registration in Andorra.
- Minimum investments in the local economy.
- Contribution to business development and job creation.
Documents Required
- Company incorporation documents.
- Financial plan or business project.
- Proof of capital sources.
- Bank account in Andorra.
Tax Benefits for Entrepreneurs
- Corporate tax — maximum 10%.
- No dividend tax for companies.
- Possibility of tax optimization through double taxation treaties.
- Simple accounting system and transparent business rules.
Life in Andorra After Obtaining a Residence Permit
After obtaining residency, Andorran residents gain access to a modern healthcare system, ranked among the best in Europe. The standard of living here is high, while the cost of living is significantly lower than in Monaco or Switzerland. The tax burden remains minimal: personal income tax does not exceed 10%, and there are no inheritance or gift taxes.
Frequently Asked Questions (FAQ)
- Can I obtain Andorran residency without investments? Yes, retirees can apply if they have confirmed passive income.
- How much do I need to invest for an entrepreneur’s residency? The minimum threshold depends on the business project, on average from €50,000.
- How long does it take to process residency? On average, 2–4 months with proper document preparation.
- Can I obtain citizenship after residency? Yes, but only after long-term residence (from 20 years).
- What taxes do retirees pay in Andorra? Pension income is often exempt from double taxation.
- Is a personal visit required for application? Yes, submitting documents requires personal presence.
Conclusion
In 2025, Andorra remains one of the best countries for retirees and entrepreneurs to obtain residency. Tax benefits, high security, and a comfortable lifestyle make it an attractive choice.
If you are considering relocation, take advantage of the Andorra Residency Permit Service — specialists will help you prepare the documents and go through the entire process with minimal risk.