Residence in Andorra: Types of residence and their differences

Residence in Andorra continues to be one of the most attractive options in Europe for people seeking stability, an excellent quality of life, and a favourable environment both personally and professionally.

Understanding the different types of residence is the first step to learning how the Andorran system works and determining which option best suits each individual profile. Although the requirements vary depending on the type of permit, there are several conditions that apply to almost every residence application in Andorra.

What does it mean to be a resident of Andorra?

Being a resident of Andorra means having legal authorisation to live in the country on a permanent basis.

Depending on the type of permit, an Andorran resident can:

• Live legally in the Principality
• Work or carry out an economic activity
• Set up a company
• Establish tax residency
• Access certain public services and administrative procedures

There are currently several types of residence permits in Andorra designed to suit different personal and professional profiles.

Types of residence in Andorra

Active residence in Andorra

Active residence is intended for people who work or carry out an economic activity within the country. It is one of the most common ways to become a resident of Andorra.

• Active residence as an employee

This type of permit is intended for individuals employed by Andorran companies. It is common among professionals who wish to relocate to Andorra for long-term employment.

• Active residence as a self-employed person

Self-employed active residence is currently one of the most popular options for entrepreneurs and digital professionals. It allows individuals to establish and manage a business activity in Andorra.

Passive residence in Andorra

Passive residence is intended for people who do not work directly for Andorran companies but wish to live in the country. It is widely used by international residents whose income is generated outside Andorra.

• Passive residence for investors

Designed for individuals who make investments in Andorra and wish to become residents. It is one of the best-known forms of passive residence.

• Passive residence for international professionals

This category is specifically aimed at professionals who work with foreign clients or companies. In recent years, this type of residence in Andorra has become increasingly popular thanks to the rise of remote working.

• Passive residence for cultural, scientific or sporting interest

Intended for individuals with recognised achievements or relevant activity in specific fields, such as athletes, artists, researchers or cultural professionals.