The cost of living in Benidorm is generally affordable, with daily expenses for food and drink in casual spots ranging from £3-£15, while a single person's monthly costs (excluding rent) might be around €670, suggesting a comfortable budget of €1,200-€1,500 monthly including rent. Property prices average around €3,030/m² (as of early 2025), making rent a key factor, but essentials like supermarket water are very cheap (€1 for 5L).
The cost of living in Benidorm is quite affordable compared to other Spanish cities, making it a popular destination for retirees and expats. On average, to live comfortably in Benidorm, you'll need around €1,200 to €1,800 per month, depending on your lifestyle and accommodation choices.
How Much Money Do You Need? For non-EU citizens—including Britons post-Brexit—the minimum required income is €2,400 per month or €28,800 per year. This is based on the IPREM (Indicador Público de Renta de Efectos Múltiples), which remains at €600 per month in 2025.
The retirement visa income requirement remains €28,800 (~$31,050) annually, with an extra €7,200 (~$7,763) per dependent. Spain's tax rates for 2025 range from 19% to 47% for ordinary income and 19% to 30% for savings income.
What paperwork you need to obtain Spanish Residency Your NIE. The form S1 if you are a pensioner or proof of health insurance if not. Confirmation of payment for the residency in the bank. The completed residency application form.
Can I retire in Spain and collect social security?
Normally, persons who are not U.S. citizens may receive U.S. Social Security benefits while outside the U.S. only if they meet certain requirements. Under the agreement, however, you may receive benefits as long as you reside in Spain regardless of your nationality.
The new regulation defines and broadens five forms of arraigo: Social arraigo – requires a minimum of 2 years' stay in Spain and a job offer or proof of financial means. Labour arraigo – for those who have worked at least 6 months and resided in Spain for 2 years.
What is the minimum income to retire in Spain from UK?
An EU citizen can live, work, study, and retire in Spain without restrictions. If you are a non-EU or US citizen, you need to have a residence permit, which is a Non-Lucrative retirement visa. Spain's retirement visa requires a minimum of €2,400 monthly income, €28,800 annual income.
However, a single person can comfortably live on just €1,000 per month. This budget encompasses all daily expenses, from renting a cozy apartment in a Spanish city to indulging in delicious tapas at local bars.
Except for prescriptions for medicine, access to the public healthcare system, including primary care, specialised care, hospital treatments and emergency care, is free of charge, without co-payments.
Financial Independence: Proof of sufficient passive income, such as pensions, rental income, or savings, is essential. Applicants need at least €2,400 per month (400% of IPREM) for a single applicant, or €28,800 annually.
Where is the cheapest and nicest place to live in Spain?
The cheapest and nicest place to live in Spain by the sea is Alicante or Torrevieja, both offer low rent and great quality of life. They rank high for cheapest places to rent in Spain near the coast.
The "3 drink rule" in Spain refers to the Balearic Islands' law limiting all-inclusive guests to six alcoholic drinks per day (three with lunch, three with dinner), aimed at curbing excessive partying, with bans on pub crawls, happy hours, and late-night alcohol sales in shops. While technically it's a six-drink-per-day limit in specific "party zones" like parts of Mallorca and Ibiza, not Benidorm itself (which has its own local rules), the concept is similar: tighter control on all-inclusive drinks to combat antisocial behavior, though Benidorm's main focus is on public drinking bans and fines rather than strictly limiting hotel AI packages like the Balearics.
How much money do I need in the bank for Spanish residency?
💰 How much money do I need to have in the bank in order to apply for residency? In the case of a family of 5, the primary claimant must have a bank balance of €19,625.48 or an annual salary equal to that amount. You need to pay the €12 application tax before your consultation.
The "Beckham Loophole" (or Beckham Law) in Spain is a special tax regime for skilled foreign workers, named after David Beckham, allowing them to pay a flat 24% tax on Spanish income (up to €600k) for six years, treating them as non-residents to avoid higher progressive rates and generally exempting foreign income, with recent updates expanding eligibility to remote workers and entrepreneurs. This "loophole" allows expats to significantly reduce their tax burden by paying non-resident rates on Spanish income, while foreign earnings remain untaxed in Spain, a major advantage over standard resident taxation.
(You will still need to formally make an application for permanent residency). Even before Brexit, many British expats living in Spain chose to just have permanent residency in Spain and keep their British citizenship alongside their Spanish residency.
You can keep claiming your UK State Pension overseas. But it might not increase every year as it would in the UK. You'll only get any annual increases if you live in either: any European Economic Area country, Gibraltar or Switzerland.
If you are retired and want to live in Spain, you should know that your tax obligations will depend on your residence status and the type of income you receive. Even if you are not working, you may be required to file a tax return or pay taxes based on your pensions, capital gains or property.
Benidorm, known for its luxurious villas, offers rental options that can reach up to 20,000€ per month. Average Rent in Costa Blanca: Considering these variations, an average rent in the Costa Blanca can be between 500€ and 900€ per month, depending on the locality, size, and quality of the property.
