Working remotely for a foreign company while living in Spain

Updated: October 2026

Keeping your job with a company in the UK, Germany, the US or elsewhere while living in Spain sounds simple: open the laptop and work. In practice it raises three questions – are you allowed to live here, where do you pay income tax, and who pays your Social Security? This guide explains how it works for employees and freelancers, and the mistakes that cause problems later.

First: your right to live in Spain

• EU, EEA and Swiss citizens: you can live and work in Spain freely, but if you stay more than three months you must register and get your registration certificate. See how to become a legal resident in Spain.
• Non-EU citizens: a tourist stay does not allow you to work, even remotely for a foreign employer. The usual route is the international teleworker permit, better known as the digital nomad visa, which has its own income and employment requirements.

Once you are living here, the practical questions below apply to everyone – EU and non-EU alike.

Income tax: when Spain taxes your salary

You generally become a Spanish tax resident if you spend more than 183 days in Spain in a calendar year, or if the main base of your business or economic interests is here. Spain also presumes residence if your spouse and minor children live here. As a tax resident, you pay Spanish income tax (IRPF) on your worldwide income – including the salary from your foreign employer – regardless of where the money is paid into.

• No Spanish withholding: a foreign employer with no permanent establishment in Spain is generally not obliged to withhold Spanish income tax from your salary. That means you declare the income and pay the tax yourself in your annual return – set money aside during the year.
• Stop paying in the old country: tell your employer and home tax office that you have moved. Double tax treaties decide which country can tax the salary; for full-time work physically done in Spain, it is usually Spain. If tax is still withheld abroad, you may need to claim it back there.
• Foreign assets: tax residents with accounts, investments or property abroad above certain thresholds must report them on the information return modelo 720.

The special regime for new arrivals (Beckham law)

Remote workers who move to Spain can often opt into the special tax regime for workers relocated to Spain, nicknamed the “Beckham law”. Since the 2022 Startup Law it explicitly covers international teleworkers. Main points:

• You must not have been tax resident in Spain in the five years before you move.
• Employment income is taxed at a flat 24% up to €600,000, and 47% above that.
• It applies for the year you become resident plus the following five years.
• You opt in with modelo 149, generally within six months of the start of your activity as shown in your Social Security registration. Miss that window and you lose the option.

Ordinary freelancers usually do not qualify; the entrepreneur route is limited to activities officially classed as innovative. For higher earners the regime can make a big difference, so discuss it with a tax adviser before you arrive.

Social Security: who pays and where

This is the part many remote workers overlook. If you work from Spain, Spanish Social Security registration is the starting point, and the options depend on whether you are an employee or a freelancer.

If you are an employee of the foreign company

• Employer registers in Spain: the foreign company registers with Spanish Social Security as an employer without an establishment in Spain, and enrols you in the general scheme. The employer pays its share and deducts yours from your salary.
• Keep home-country cover: possible only in specific cases – for example, a temporary posting within the EU with an A1 certificate, or under a bilateral social security agreement with a certificate confirming you are covered while in Spain. Permanent, full-time remote work from Spain normally means Spanish Social Security applies.
• Employer of record (EOR): some companies use a Spanish EOR provider that formally employs you, runs Spanish payroll and handles contributions and withholding.

If you work as a freelancer for the company

If you invoice the foreign company as a contractor, you register as autónomo in Spain: with the tax agency (modelo 036) and with Social Security (RETA), where you pay monthly contributions based on your income. You file quarterly VAT and income tax returns. Invoices to business clients in other EU countries are normally issued without Spanish VAT under the reverse charge, which requires registration in the EU VAT register (ROI/VIES). The government’s teleworker FAQ notes that, for the digital nomad permit, a self-employed teleworker needs a contract with the foreign company of at least three months. Full steps are in our guide to becoming autónomo in Spain in 2026.

Practical checklist before you start

1. Check your residence status and register at your town hall (padrón).
2. Tell your employer you live in Spain – HR needs to know for tax, Social Security and its own legal risk (a permanent establishment in Spain can create obligations for the company).
3. Agree in writing whether you are an employee or a contractor, and who handles Spanish Social Security.
4. Decide on the Beckham regime within the six-month window if you qualify.
5. Arrange healthcare: Social Security registration gives you public healthcare; otherwise you need private insurance. See healthcare for foreign residents.
6. Open a Spanish bank account for tax payments and direct debits.

Common mistakes to avoid

• “My salary is paid abroad, so Spain can’t tax it.” As a tax resident, Spain taxes your worldwide income.
• Staying “under the radar” on a tourist stay. For non-EU citizens this is not legal work, and it can damage future permit applications.
• Forgetting Social Security. For digital nomad permit holders, missing registration can lead to the permit being withdrawn.
• Missing the modelo 149 deadline. The six-month window is strict.

If you are still choosing where to settle, read why Málaga is popular with remote workers.

Useful links

• Agencia Tributaria: special regime for workers relocated to Spain
• Agencia Tributaria: modelo 149
• Ministry of Inclusion: FAQ for international teleworkers (Spanish)
• Spain’s digital nomad visa in 2026
• Understanding the tax system in Spain

FAQ: remote work from Spain

Does my foreign employer need a Spanish company to employ me?

No. It can register with Spanish Social Security as a foreign employer without an establishment in Spain, or use an employer of record. It should still check whether your work creates a permanent establishment.

I am an EU citizen. Can I keep paying social security at home?

Only in limited cases, such as a temporary posting covered by an A1 certificate. If you have moved to Spain and work from here permanently, Spanish Social Security normally applies.

Will I pay tax twice?

Double tax treaties are designed to prevent that, but you must tell your home country you have left and claim any credits or refunds. A cross-border tax adviser can sort out the first year.

Can I use the Beckham law as a freelancer?

Usually not. It is mainly for employees and certain directors, and for entrepreneurs whose activity is officially classed as innovative. Ordinary freelance work generally does not qualify.

Disclaimer: This article is general information only and is not legal or tax advice. Cross-border tax and Social Security depend on your nationality, contract and home country – speak to a tax adviser, gestor or immigration lawyer before you act.