Retiring to Italy: the Elective Residence Visa explained

Who it's for

The Elective Residence Visa (ERV) is for people who can support themselves in Italy without working: retirees with pensions or Social Security, and people living on rental or investment income.

Income requirements

• About €31,000 a year in passive income for one person
• About €38,000 for a couple, plus roughly 5% per dependent child
• Salary doesn't count, and neither does remote work. Consulates want stable, recurring passive income, and some also want to see substantial savings

Steps

• Secure accommodation in Italy (a registered lease or deed) before your consulate appointment.
• Gather proof of income (pension letters, SSA statements, brokerage statements), health insurance and your passport.
• Apply at the consulate for your US jurisdiction. Decisions usually take about 90 days.
• Within 8 days of arriving in Italy, apply for your permesso di soggiorno at the post office ('kit postale').
• Register residence at the comune, then enroll in the national health service (SSN) or keep private insurance.

Pair it with the 7% flat tax

Retirees with foreign pensions who settle in a southern town with fewer than 20,000 residents can elect a 7% flat tax on all foreign income for 10 years. For many American retirees this is the most tax-efficient setup in Europe. Check the US-side interaction with a CPA.