Nomad Visa Hub

Panama Short Stay Visa for Remote Workers 2026

Panama's Short Stay Visa for Remote Workers offers a straightforward pathway for digital nomads to live in this Central American hub for 9 months, extendable for another 9 months (maximum 18 months total)[reference:28]. The income requirement is approximately $3,000 per month from foreign sources. Panama operates a territorial tax system, meaning foreign income is not taxed – only Panama-sourced income is subject to local tax. Panama City offers modern infrastructure, excellent internet, a thriving international business community, and the use of the US dollar as currency, making financial management simple. With its strategic location, tropical climate, and the famous Panama Canal, it's an ideal base for nomads who want to explore both Central and South America.
Min Income
$3000/mo
Max Duration
9 months
Application Fee
$250
Processing Time
2-3 weeks

⚠️ Mandatory Health Insurance

Panama requires comprehensive travel health insurance without co-pays. Our top pick: SafetyWing Nomad Insurance — compliant, affordable, and trusted by nomads worldwide.

Tax Rules for Digital Nomads

Tax rate under this visa: Tax-free for foreign income (territorial system)

How to Apply

1

Prepare your documents

Gather a passport valid for at least 6 months, proof of remote employment with a foreign company, bank statements showing $3,000+/month income, health insurance (SafetyWing Nomad Insurance), and 5 passport-size photos.

2

Apply at a Panamanian consulate or in Panama

Submit your application at a Panamanian embassy or directly at the National Immigration Service in Panama City. Pay the fee (approx. $250). The application is relatively simple and fast.

3

Receive your visa and register locally

Processing takes 2–3 weeks. Once approved, you receive a short-stay visa valid for 9 months. You can apply for a 9-month extension before expiry, giving a maximum of 18 months. You must register with the local authorities upon arrival.

Frequently Asked Questions

Do I pay tax in Panama as a digital nomad?

No, Panama operates a territorial tax system. Only income sourced within Panama is taxable. As a digital nomad working for foreign employers, your income is entirely tax-free in Panama.

Can I stay longer than 9 months?

Yes, the visa is valid for 9 months and can be renewed once for another 9 months, giving you a maximum stay of 18 months. For longer stays, you can explore other residency options.

What health insurance is required?

You must have health insurance valid in Panama. SafetyWing Nomad Insurance meets this requirement and provides comprehensive coverage for medical emergencies and routine care.