Do I have to live in Paraguay full time?

For residency, no. During temporary residency (the first 2 years) you must enter at least once a year. With permanent residency, one entry every 3 years is enough. For later citizenship, however, you should have a genuine center of life in Paraguay, typically 6 to 9 months a year. Note that Paraguayan tax residency is a separate test and generally requires around 120 days a year.

How exactly does the tax work?

Paraguay has a territorial tax system: only income earned inside Paraguay is taxable (max. 10%). Income from abroad (clients overseas, international platforms or foreign companies) is taxed at 0%. Important: for your income to clearly count as foreign-source, correct structuring matters. Many of our clients use a foreign company structure such as a US LLC. We help you find the right setup for your situation.

Do US citizens really pay 0%?

No, not automatically. The United States taxes its citizens and green-card holders on worldwide income regardless of where they live (citizenship-based taxation). Paraguay residency does not remove your US filing obligation or tax liability; only renouncing citizenship does, with a possible exit tax. The Foreign Earned Income Exclusion only helps partially. If you are a US person, speak to a US-qualified advisor and read our dedicated US-citizens guide.

What does it cost to live in Paraguay?

A comfortable lifestyle in Asunción costs roughly $1,200 to $1,700 per month. That includes rent for a modern apartment ($500-800), groceries, internet, transport and leisure. Compared with most major Western cities, you save around 50 to 60%.

Do I need to speak Spanish?

Not for the residency process. We and our partners on the ground speak German, English and Spanish. For daily life, some Spanish helps, but many expats get by with English at first. Learning Spanish naturally makes life richer.

How long does the whole process take?

You typically receive Paraguayan residency with a cédula within 8 to 16 weeks of applying. The standard route runs through temporary residency, which converts to permanent after 2 years. Direct permanent residency is possible in some cases (for example investors) but has higher requirements. You can apply for Paraguayan citizenship after 3 years of permanent residency, so usually around 5 years after your first cédula. Citizenship requires basic Spanish and some knowledge of Paraguay's history and civics.

What about health insurance?

Paraguay has good private clinics (Sanatorio Migone, Hospital Italiano). International health insurance for expats runs roughly $110 to $400 per month depending on age and coverage. Local policies with providers such as Asismed or Migone Salud start at around $110 per month.

Can I retire to Paraguay?

Absolutely. Paraguay is popular with retirees. Thanks to the territorial tax system, a foreign pension is treated as foreign income and taxed at 0% in Paraguay in principle. Whether your home country still taxes that pension depends on its own rules, so check your side too. The low cost of living makes for a relaxed retirement.

Asunción is considered one of the safest capitals in South America. As anywhere, take normal precautions, but the crime rate is significantly lower than in many other Latin American metros.

Do I need to worry about my home country's tax?

Possibly. Your home country may tax you until you properly break tax residence there, and some countries have exit taxes or trailing-tax rules on business owners. This is separate from Paraguay's 0% and needs to be checked in your jurisdiction. We help with the Paraguay side and can point you to a qualified advisor for your home country.

You pay by bank transfer in USD (also internationally via Wise) or with crypto stablecoins (USDC/USDT, handled via Kast, no surcharge). Typically 50% on order and 50% when you receive your Residencia Precaria, never everything up front. The official residency fees in Paraguay (Migraciones, cédula) are included in the package prices; the apostille in your home country is your own cost. Our money-back guarantee applies if you are refused through no fault of your own. Full details are on the Payment page.

The process

Your path to residency, step by step

The full process for each package, from preparation to permanent residency. Pick your package and see exactly which appointments fall when.

Choose your package

STEP 01Home

Intro call (free)

A video call about your options, the requirements, and the package that fits.

A look at your situation and goals

Clarity on residency, taxes, and the process

A personal roadmap for your move

Day 1

STEP 02Home

Preparation at home

You obtain and apostille your documents and send them to us. We handle the certified translations, before you travel.

Passport, birth certificate, and police clearance (plus a marriage certificate if you are married)

Request and apostille the police clearance shortly before you leave: older than about 90 days is often rejected, and it is needed for the cédula

Apostille from the competent authority in your home country (cost varies by country)

Send the documents to us; we arrange the certified translations

Deregister your home-country residence if that applies (can be done before you leave)

5 to 7 weeks

The relocation preparation checklist

STEP 03Travel

Arrival in Paraguay

Most nationalities enter visa-free with 90 days on arrival. The residency application follows on the ground (next step).

No direct flights; usually via São Paulo, Buenos Aires, or Madrid

Roughly 18 to 24 hours of travel

Visa-free entry with 90 days (check your nationality)

1 travel day

Which nationalities need a visa first

STEP 04ParaguayTrip 1

Trip to Asunción, every appointment bundled

One slightly longer stay with personal support. The cédula appointments that would otherwise need a second trip are pulled forward here, so the second flight is not needed.

Migraciones: temporary-residency application, fingerprints, photo

Local antecedentes: Policía Nacional (para extranjeros) and Interpol Paraguay

Certificado de vida y residencia (proof of residence + two Paraguayan witnesses), for the cédula

Residencia Precaria as the provisional approval

Cédula biometrics at Identificaciones already now (otherwise only on the second trip)

Optional: bank account and apartment search

about 1 to 2 weeks

Your first 30 days in Paraguay

STEP 05Paraguay

Cédula, then the RUC tax number

The carnet and cédula are issued in the usual time frame; we handle the RUC afterward. No second flight, because the on-site appointments were already pulled forward.

Carnet de Residencia Temporal, then the cédula (a prerequisite for the RUC)

RUC tax number after the cédula is issued (included in the package)

No second on-site appointment needed, as it was already pulled forward

Temporary residency for 2 years; 0% tax on foreign income (territorial system)

about 3 to 4 months

What sets the two paths apart?

The order is always the same: first the Carnet de Residencia Temporal, then the cédula, then the RUC tax number (the RUC requires the cédula). With the All-in package we pull forward the appointments that would otherwise make up the second trip (the cédula biometrics), so everything is done in a single stay and the RUC is included; the processing times stay the same. With the Starter package, only the application is filed on the first trip; the cédula needs a second on-site appointment after approval, and the RUC is not included there. Important: the police clearance is valid for only about 90 days and is needed for the cédula, so on the 2-trip package that window can lapse before the second trip (a repeat risk), which is why we recommend the 1-trip package. Accelerated issuance (carnet about 30 to 45 days, cédula a few days) is available as an optional add-on. Support all the way to permanent residency, with staggered trips after year 1 and year 2, is included only in the Premium package. One caveat that never changes: US citizens and green-card holders are taxed by the IRS on worldwide income regardless of residency, so take US-qualified advice if that applies to you.

See packages and pricing

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