Should we move to Spain? The whole tax and economic situation of Spain makes us doubt.

Last Updated on March 18, 2026 by Bruno Bianchi

Question

My husband and I loved Valencia and thought of moving there next year (from Germany) but the whole tax and economic situation of Spain lets us doubt a little, if it will be a good idea. We heard that you pay very high taxes in Spain (and they might even increase), whether you are self-employed, have a company or when you have invested (capital tax) – how do you feel about it/ how’s it truly like? How’s the economy in Valencia? We would be so grateful for any advice or comment! Thank you so much!

Answers

These are the answers of some Facebook group members:

“That depends where you are from. if you’re from the us, taxes are high everywhere,but so are social securities. for me as german, health insurance is ridiculously cheap and the percentage of taxes is ‘normal’… for example: minimum i would pay for private health insurance (state health insurance almost same) as a 41 year old self employed male in germany are around 380€/month. if u start a business in VLC you pay 60€/month for the first year…’how’s the economy’ depends on your job”

“If you say where you pay taxes and social Security now you’ll get relevant replies. I moved from France 13 years ago and I have a better standard of living here, my life doesn’t revolve around reducing tax anymore.”

“Look at the net income you’ll have and what that buys you in Spain. Most of us have a better standard of living here. It’s cheap to go out, even the opera is one of the cheapest outside Italy.”

“I’m from the U.K., I still don’t live in Valencia but I have an apartment there and did all the research into moving, taxes etcTaxes are higher but the cost of living is much lower. Quality of life is much higher and services like healthcare are better. Overall it worksPlus there are many deductions that can be made. You will need a good spanish tax accountant to ensure you report correctly as the fines are harsh for wrong reporting”

“We looked into moving full time to Spain, income and social taxes wouldn’t put me off but wealth tax was the turn off. We would have to sell assets to pay the tax, with consequent loss of income from the asset. I stayed as tax resident of the UK. We can spend 6 months in EU per year with travel to other places outside EU.”

“I think you pay Tax on your Worldwide income if you spend more than 183 days in any tax year (Jan Dec) in a particular country. Same the world over.”

“Honestly the best thing you can do is speak to a tax advisor in Spain who knows Germany too. It’s a minefield and impossible to get all answers online.”

“I highly recommend Almudena and Bea from albea tax. 20 years experience in expats taxation. You can get a free 15 minute consultation with them, which could be really helpful to explore your situation if you decide to move to Spain: https://spainguru.es/albea-tax-advisors-and-global-mobility/“

“You get what you pay for in life .Good public services and infrastructure costs money. The sun here is free of charge and the cost of living is fantastic.”

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Shaheen Samavati

Shaheen Samavati is a pivotal figure at SpainGuru, where she brings her profound understanding of Spanish immigration to the forefront. Her journey in Spain began when she arrived in Madrid to pursue her studies at IE Business School. Over the years, Shaheen has not only immersed herself in the Spanish culture but has also become a trusted resource for expats. Through her active participation in the "American Expats in Spain" Facebook group and her role as a content manager for Spotahome.com, she has consistently provided invaluable insights to the expat community.

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