Living in Andorra
Living in Andorra: pros, cons and everyday life
Living in Andorra means settling in a mountain country of about 90,000 inhabitants, with moderate taxes on consumption and free state schools. It also means coping with scarce housing, strict rules for foreign nationals and Catalan to learn. These guides describe everyday life as it is, backed by official sources.
- inhabitants at 31 July 2026
- 90,021
- parishes, each administered by its comú
- 7
- free state school systems
- 3
- inflation over one year (August 2026)
- +4.8%
The 12 guides to living in Andorra
Each guide is based on official Andorran texts (the Constitution, laws published in the BOPA) and on statistics from the Departament d’Estadística, the CASS and the Govern. Where no official data exist, for example on the price of groceries, we say so rather than put forward a figure.
Daily life
6 guides
The country
6 guides
The pros and cons of living in Andorra
The advantages of living in Andorra lie mainly in its taxation, free schooling and very low unemployment; the drawbacks, in housing, the conditions for settling there and life in the mountains. Each line links to the guide that covers it in detail, backed by official sources.
Advantages
What works in Andorra’s favour
- Light income tax: nothing up to €24,000 of net tax base, then an effective rate of 5% up to €40,000 and 10% above that on earned income (income tax in Andorra).
- Low taxes on consumption: IGI of 4.5% at the general rate and 1% on food, compared with VAT of 20% at the standard rate in France (cost of living in Andorra compared with France).
- Free state schooling in all three systems, Andorran, French and Spanish; the French system runs from nursery school to the Lycée Comte de Foix (French schools in Andorra).
- Free buses for residents: the Govern funds 100% of a monthly pass for unlimited journeys on regular routes (free bus pass).
- Very little unemployment: 1.3% of the labour force in 2025, according to the official labour force survey (unemployment in Andorra).
- Falling crime: 4,009 criminal offences recorded in 2025, 2.5% fewer than in 2024 (safety in Andorra).
Drawbacks
What weighs on daily life
- Scarce and expensive housing: average monthly rent of €13.0/m² for households that had moved in less than a year earlier (2024, +11.4% in one year), and €4,569.7/m² for a flat sold in the second quarter of 2026 (average rent in Andorra, price per m² of flats).
- Settling there comes with conditions: even a European needs a residence permit, and the October 2026 quota limits work permits to 900 until 30 April 2027 (2026 immigration quotas).
- Catalan required: level A1 at the first renewal of a residence and work permit, A2 at the second (language spoken in Andorra).
- Healthcare only partly reimbursed: the CASS reimburses 75% of consultations with a referring GP, 33% outside this pathway, and based on its own tariffs (social security in Andorra).
- Higher inflation than in France: 4.8% over one year in August 2026, compared with 2.4% in France (inflation in Andorra).
- The mountains and their constraints: no railway station or airport, and winter equipment compulsory on all roads from 1 November to 15 May (how to get to Andorra).
- No right to vote in national elections for foreign nationals, who made up 55.4% of residents at 31 July 2026 (who governs Andorra).
Figures verified on 11 October 2026: Departament d’Estadística (2024 rents, sale prices for the second quarter of 2026, August 2026 inflation, 2025 labour force survey), Andorran tax laws, CASS and Govern d’Andorra.
Who can live in Andorra? The conditions in brief
Every foreign national, Europeans included, needs a residence permit, and it is the planned activity that determines which one: a job with an Andorran employer (work permit, within the limits of the quota), an Andorran company in which you hold more than 34% (self-employed residency, a non-refundable €50,000 paid to the AFA), clients abroad (international professional, refundable deposit of €47,500) or no activity (passive residency, €1,000,000 invested in Andorra). You also need housing, health insurance and sufficient resources.
The details, status by status, are in the conditions for living in Andorra. To find out who can live in Andorra in your situation, follow the pathways by profile, including the one for moving to Andorra as a family, or take the test: which permit to live in Andorra?
What budget do you need to live in Andorra?
Housing is what drives the budget. In 2024, households that had moved in less than a year earlier paid an average rent of €13.0/m² a month, excluding charges, according to the Departament d’Estadística: €910 for 70 m² (indicative calculation: 70 × €13.0). Against this, the minimum wage has been €1,568.67 gross a month since 1 July 2026, and the median salary declared to the CASS reached €2,235.35 gross in June 2026.
Our cost of living guide answers the question what salary do you need to live in Andorra, with the method item by item and a worked example; the France–Andorra tax comparison shows what difference tax makes.
Living in Andorra in retirement
It is possible, but without any professional activity: a retiree who does not work falls under passive residency. It requires €1,000,000 invested in Andorra, a non-refundable €50,000 paid to the AFA, at least 90 days of presence a year, health insurance and resources of more than three times the annual minimum wage, i.e. about €56,500 in 2026.
A private pension becomes taxable in Andorra if you are tax resident there, at 0 to 10%; a public-sector pension remains taxed in France. The full pathway: living in Andorra in retirement.
Living in Andorra and working in France
It all depends on your Andorran residence permit: passive residency, for example, rules out any professional activity, including remote work for foreign clients. On the tax side, the salary from work carried out in France in principle remains taxable in France, under the France–Andorra tax treaty.
The possible statuses, tax and commuting are covered in detail on our page living in Andorra and working in France, which also deals with the reverse case: the October 2026 quota provides for 198 cross-border work authorisations for people who live in France or Spain and work in Andorra.
Frequently asked questions
What are the advantages of living in Andorra?
Above all, light taxation: income tax is nil up to €24,000 of net tax base for earned income, then capped at 10%, and IGI, Andorra’s VAT, is 4.5% at the general rate. On top of this come free state schools, including in French, free buses for residents and very low unemployment, at 1.3% in 2025.
What are the disadvantages of living in Andorra?
The first is housing: in 2024, households that had moved in less than a year earlier paid an average rent of €13.0/m² a month, 11.4% more than a year before. On top of this come a residence permit subject to a quota, Catalan required at renewals, healthcare only partly reimbursed by the CASS, inflation of 4.8% over one year in August 2026 and the constraints of the mountains in winter.
Read: Renting a home › How much does rent cost in Andorra? Official figures and listings
What are the conditions for living in Andorra?
You need a residence permit, including as a citizen of the European Union. Its type depends on the planned activity: employment in Andorra (work permit, subject to quota), an Andorran company (self-employed residency), clients abroad (international professional) or no activity (passive residency, €1,000,000 invested). Housing, insurance and resources are always required.
Can you live in Andorra in retirement?
Yes, with passive residency if you do not work: €1,000,000 invested in Andorra, a non-refundable €50,000 paid to the AFA, at least 90 days of presence a year, insurance covering 100% of medical costs in Andorra and resources of about €56,500 a year in 2026 for a single person.
Can you live in Andorra and work in France?
It all depends on your Andorran residence permit: passive residency, for example, rules out any professional activity, including remote work. On the tax side, the salary from work carried out in France in principle remains taxable in France, under the France–Andorra tax treaty. The statuses and tax rules are set out on our page dedicated to cross-border workers.
Is housing hard to find in Andorra?
Yes. Supply is scarce and the market is tightly regulated: statutory extensions of leases have applied since 2019, and Llei 11/2026 organises a gradual return to the ordinary rules between 2027 and 2030. According to the Departament d’Estadística, the average rent paid reached €9.5/m² a month in 2024, and €13.0/m² for households that had moved in less than a year earlier: you need to start looking early and on the spot.
Read: Renting a home › Why is it so hard to find housing in Andorra?
Is life cheaper in Andorra than in France?
Not overall. Taxes on consumption are lower (IGI of 4.5% at the general rate and 1% on food), but housing is expensive and inflation reached 4.8% over one year in August 2026. A household’s budget depends first and foremost on its rent.
Can you send your children to school in French in Andorra?
Yes. The French education system is present in all seven parishes, from nursery school to the Lycée Comte de Foix, and it is state-run and free. Pupils there also take lessons in Catalan and Andorran culture.
Read: Schools and education › How does the French school system work in Andorra?
Is Catalan required of new residents?
Not to obtain a first permit. However, the holder of a residence and work permit must prove level A1 in Catalan at their first renewal, then level A2 at the second. Llei 6/2024 provides for extending this requirement to other statuses, including passive residency, within five years of its entry into force.
Read: Languages and integration › Catalan required to renew your permit
Which status suits you?
Four questions to identify the residency status to look into, and its conditions.
Take the test