Located in the Caribbean, Barbados is mostly associated with white sand beaches, crystal clear waters and luxurious holidays in the middle of nowhere. However, the country is also a popular choice for those interested in a more stable financial system.
The coronavirus pandemic has seriously altered its economy due to the travel restrictions that prevented pretty much everyone from coming over. In order to recover, the government has introduced a Barbados digital nomad visa – the opportunity to live in Barbados, while working for a company abroad.
The program is known as the Barbados Welcome Stamp and was released in the summer of 2020. Barbados was the first country in the Caribbean to provide access to such a visa. Others followed soon after.
All in all, here is everything you need to know if you are interested in this visa.
Main differences between the Barbados digital nomad visa and the tourist visa
The digital nomad visa in Barbados allows you to stay in a heavenly country and work for a company abroad. You can also work locally, yet most people who apply for it are interested in earning an international income.
The visa is given for 12 months. Since Barbados was a first in the Caribbean, lots of professionals have rushed to get there within the first few waves of the pandemic. When tourist visits generate more income than anything else, the move helped the economy get back on its feet.
Now, if you do not want the Barbados digital nomad visa, you may as well apply for a tourist visa. The tourist visa gives you six months in Barbados, which is still plenty of time – especially if you like to travel a lot.
The difference is the tourist visa does not allow you to work in Barbados. What did people do before the digital nomad visa was introduced? They simply ignored the rules. You only need a laptop and an Internet connection to work – no one checked on anyone to see what they are doing in Barbados.
Simply put, the Barbados digital nomad visa legalizes work for foreigners.
A few details about Barbados and the cost of living
Barbados is an island country measuring 169 square miles. It is a relatively small country that brings in a unique community feel. The population is just under 300,000, with the capital – Bridgetown – counting over 110,000 people.
English is an official language in Barbados, as well as Bajan Creole – a local language. The climate is tropical and humid. Temperatures are quite high, but not exaggerated – expect around 30 degrees Celsius throughout the day.
The Bajan dollar is the local currency – also known as the Barbadian dollar. An American dollar is about two Bajan dollars, but as you may know, these rates can fluctuate a little. Since Barbados is not such a major economy, fluctuations are mild and insignificant.
Barbados brings in fiber optic, and the results are astonishing, especially for such a remote place. Download speeds go up to 56Mbps, and further improvements are being made. Four out of five locals have access to the Internet.
Finding wireless networks is a piece of cake.
The cost of living is just as important when planning to move to a different country. If you think Barbados is one of those places where everyone can feel rich, you are wrong. The high influx of professionals and exclusive tourism deals have kept prices high.
Compared to other countries in the Caribbean, Barbados is not that expensive. But then, if you come from some part of the USA, you will find prices a bit higher. You might find the cost of living similar to some European countries as well.
Accommodation is not cheap either, but you will get better deals if you commit to long term contracts.
Food and other goods are also expensive – not just because the island attracts rich people, but also because of the high taxes on imports. Pretty much everything is imported, so these taxes are transferred to the average buyer.
Advantages of the Barbados digital nomad visa
Barbados is ideal from many points of view, and the possibility to live on a Caribbean Island is by far the most significant one. What can be more exciting than working in a beach bungalow or a hotel, only to spend the rest of the day on a beach? However, there is more than that.
Barbados has simplified everything, despite being the first country in the Caribbean with such a visa. Take the arrival time, for example. You can get to Barbados up to a year after being approved. You could get accepted in September and arrive next year, in July – up to you.
To keep it simple, the digital nomad visa does not begin when you are approved. You do not have to rush or buy last minute flights. Instead, the government allows you to set everything up for a year before the visa is canceled – just in case you do not show up.
Furthermore, it makes no difference who you work for. You can choose to work remotely, keep your job and do everything online. There is no need to go through all sorts of procedures or face bureaucracy – no need to create separate entities locally either.
Now, when you think about a beautiful island in the middle of nowhere, chances are you imagine poor connectivity, disruptions and all sorts of infrastructure-related problems. Wrong! Barbados has a good fiber optic coverage, and speeds can compete against what you can find in some well-developed places.
Worried about what might happen if you get sick? Forget about it. With so many foreigners in Barbados, the healthcare system is quite impressive. There are local hospitals and good overall service, so you will be in good hands.
As for the climate, you probably know it already – perfect.
Now, here is a major advantage that most entrepreneurs will find extraordinary.
Barbados gives you the opportunity to pay no income tax locally for the duration of the visa – one year. In other words, unless your employer pays local tax on your income, you will not be charged at all, which is a major benefit.
This situation is even better for those who are self-employed or work as freelancers. Imagine your income with a 20% addition – or whatever local income tax in your country is. You will have the opportunity to keep everything.
Disadvantages of the Barbados digital nomad visa
No digital nomad visa program is perfect, and Barbados makes no exception either. Indeed, what works for some people will not work for everyone else, but here are a few potential drawbacks you should be aware of before applying.
First of all, this visa is not given for free. It is not one of those cheap visas either – the type where you pay an insignificant amount and gets the visa. There are more fees that may apply. However, there is one good thing about these expenses – most of them are payable if and after you are approved.
Second, the cost of living can be quite high. Just because Barbados does not have skyscrapers on the beach and the latest supercars, it does not mean that you can live there for free. In fact, the cost of living is higher than in some well-developed countries in Europe.
On a more positive note, if you have been to other Caribbean countries, there are no major differences.
Finally, the Barbados digital nomad visa is only available for a year. To freelancers who enjoy traveling, this is more than enough. For someone who just cannot get enough sun, more is better. The good news is you can extend the visa later on.
A few words about taxes in Barbados
Those on the Barbados digital nomad visa will not be asked to pay any local income taxes. After all, they work for a remote employer in a different country. The same goes for freelancers or self-employed individuals.
There is 0% local tax on capital gains or your income. The law is crystal clear and leaves no room for mistakes. The employer or the employee will not be charged anything throughout the duration of this stamp.
However, it is important to know that you cannot get income from local businesses.
When it comes to import taxes, things are a bit different – you may need to prove the age of certain things. For example, you will obviously need to bring a few things over – some clothing, electronics and so on.
You can get in touch with the local customers in advance and get a single shipment of used household stuff imported into the country. Keep in mind that motor vehicles cannot be imported like this, though. The age of your stuff makes the difference.
Items older than a year will not be taxed. There will be no duty on them. On the other hand, newer items will be taxed. They are considered new and will face different taxes. With these thoughts in mind, it may pay off keeping some bills or proof that your stuff is old if you do not want to pay tax.
Getting back to the income tax, it is important to know that Barbados expects you to pay some sort of income tax in your home country – wherever you are resident. No one will bother, though. No one will ask you for any documentation.
You can, however, show some evidence as proof of funds – not mandatory, though.
Whether it comes to you – the employee – or your employer, you will not need to register in Barbados, get some sort of social security number or have a payroll. What does this mean for your relationship with the employer?
There are no extra requirements for them. There are no issues whatsoever. In fact, your employer may not even know that you are in Barbados if you work remotely anyway. On another hand, it will make it easier for employees to negotiate to work abroad.
However, it is important to know that this visa will not clear out all the potential duties of employers. The duty of care is one of them for example, not to mention the permanent establishment – such rules vary from one country to another.
Requirements for the Barbados digital nomad visa
Now, what do you need to apply for this visa? The way it works is fairly simple to understand. You are not a national of Barbados, and you work in a different country – you can then apply for the visa. Unlike other countries, Barbados has no requirements in terms of nationality.
Paperwork requirements are more sophisticated, though, but you can still navigate through them without too much hassle. You will need a passport-style picture of you – 2x2 inches. Make sure your head is centred, and your face is neutral.
Your passport should also be valid – check the expiry date as well. Your bio data might be required – if you have a modern passport, it will be extracted from it. A birth certificate is required as well, so bring it over with you.
If you are applying for others, too – such as your spouse or perhaps your children, you will need to prove the relationship. For instance, for your whole family, you will need birth certificates for everyone or adoption documents, as well as a marriage certificate.
An existing entry visa will be needed for some countries.
The proof of income is what might keep some people out of Barbados because the requirement is quite high compared to other countries, but way lower compared to others. All in all, you need to prove that you make at least $50,000 a year.
You will also have to prove that your income is generated outside Barbados. You may need employment paperwork or perhaps contracts – a bit more difficult for freelancers, but still totally doable. If in doubt, get in touch with the authorities and ask.
You will need valid health insurance that should cover you for the duration of the visa. Even if you only plan to stay for six months instead of a year, the health insurance should cover you for a year. This is one of the last things you may need to ensure you do not lose any days.
Finally, there is an application form you have to complete – just a formality.
How to apply for the Barbados digital nomad visa
The process is straightforward. Despite being the first country in the Caribbean to introduce this type of visa, Barbados has smashed it – no room for mistakes. First of all, make sure you gather all the documents required. This is probably the most time-consuming part in the process.
Second, there is an application to complete. It is available on the official website of this visa. It will ask you all sorts of questions – personal details, what you do for a living and so on. It should not take too long to complete.
All applications are processed within 48 hours, making Barbados one of the most efficient countries in the world. Besides, you will get a confirmation within five days – whether it is accepted or denied, yet there should be no reasons to be denied if you meet the requirements and complete the form correctly.
You will get an email with the decision.
Once you get the approval, you will need to make the payment. There is no rush – you have 28 days to complete the application with the payment. Unlike other countries, Barbados does not require a return ticket to accept your visa.
Assuming everything is complete, you have a year to get to Barbados and enjoy your visa. The visa becomes valid when you arrive. However, you need to ensure you get to Barbados within a year after its approval.
Fees associated with the Barbados digital nomad visa
Fees are not too bad considering where you are about to live for a year. However, you can find cheaper options out there. All in all, if you apply as a single individual, you will need to prepare $2,000 for your application.
Things are even better if you bring your spouse over or you have a family. The government has introduced a family bundle that costs $3,000 – good value for money, but more documents are required in the process.
Facilities to expect in Barbados
The health insurance requirement can and will help you should any unexpected situations arise. However, you should know that you can only access private medical facilities. Of course, you can also go to public hospitals and clinics, but they come with extra fees for nonresidents – even with your insurance.
The health insurance does not necessarily have to be purchased upfront. Sometimes, getting such long health insurance might be difficult in your home country, or perhaps the costs are too high. Barbados will also offer local health insurance policies on request.
Apart from the medical aspect, you are probably interested in education and schools too if you bring your kids over. Your kids can access both private and public schools with no restrictions whatsoever. However, there are fees to pay.
Whether you go public or private, you will need to check the fees.
Most commonly, public institutions will have lower fees than private ones.
In terms of traveling, the visa will not restrict you at all. You can go in and out of Barbados as often as you want. Going out for a long period of time? You do not necessarily need to hold the accommodation – it would be a waste of time.
However, you should find accommodation before returning to Barbados.
While not a requirement, it might be a good idea to get in touch with the local immigration system if you change your address. Follow all the rules and go the extra mile – you are more likely to be treated better, especially if you want to renew the visa.
FAQs
Still undecided about the Barbados digital nomad visa?
Will this visa give me residency?
No. The digital nomad visa is meant to be temporary – even if you can extend it. It will not pave the way to residency or citizenship. You can extend this visa if you want to spend more than a year working in Barbados.
If you are interested in residency, you can apply for a classic work visa. This work visa will lead to residency, which will also bring in citizenship. The process is more complicated than for the temporary digital nomad permit, though.
Do I have to prove tax residency in another country?
No. The local government will not be bothered about your tax residency – or whether or not you pay tax. This is your problem – or your government's problem. You only need to prove employment or self-employment.
Tax documents could help proving your funds though.
How long does it take to get the Barbados digital nomad visa?
Processing times are surprisingly low. Barbados is one of the fastest countries in the world when it comes to offering a digital nomad visa. Forget about spending weeks or months – the whole job will be completed within a week.
Basically, authorities will need 48 hours to process your application.
Then, it takes five days to get the decision by email.
Other countries in the Caribbean providing digital nomad visas
It is not just the Caribbean countries providing digital nomad visas. You may as well go for Malta in Europe, Seychelles in Africa or perhaps Sri Lanka in Asia. The point is – you do have options if a tropical place is your main priority.
When it comes to the Caribbean, there are lots of different options – each of them with unique specs:
- Anguilla
- Antigua & Barbuda
- Cayman Islands
- Bahamas
- Grenada
- Dominica
- Bermuda
- Montserrat
- Curacao
- Saint Lucia
Conclusion
Bottom line, the Barbados digital nomad visa will take you to paradise and allow you to make money while being on holiday – what else can you ask for? The government has focused on making this visa easily accessible for everyone, with minimum requirements and quick processing times.
