Move to Norway from the USA and retire there: what my parents learned about UDI’s income requirement
Written by Hans Goldstein, licensed insurance agent · CA 4273294Short answer: Norway has no retirement visa, so a single American cannot retire in Norway on income alone; a couple where one spouse is a Norwegian citizen moves through family immigration, and the 2026 income test is on the Norwegian spouse (the sponsor) alone: NOK 436,957 a year before tax under the ordinary 3.2 G rule (about $45,300), or NOK 243,759 (about $25,300) for a pensioner sponsor, the figure UDI gave my parents in writing. The American spouse’s own income does not count unless he or she works legally in Norway, and bank savings never count. Lifelong pensions and “periodical benefits (insurance payments or similar)” do, so a life-only immediate annuity in the sponsor’s name, bought while you still live in the US, can close the gap. An annuity from a US insurer never licensed in Norway is also outside Norway’s wealth tax.
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My mom is Norwegian. My dad is American. They have been married for decades, raised their kids in the US, and are now planning to move to Norway from the USA and retire there. I am an annuity agent, so I assumed this would be simple. It was not. It took the better part of two years of written questions to UDI (the Norwegian Directorate of Immigration), Skatteetaten (the Norwegian Tax Administration), lawyers and banks before the picture was clear.
In UDI’s language my mom is the reference person (referanseperson), the sponsor, and my dad is the applicant. The income requirement is tested on her income, not his. Under utlendingsforskriften § 10-8 the applicant’s own income counts only if the applicant is in lawful work in Norway, and my dad is a retired American. That one rule shaped everything else: any lifetime income meant to meet the test has to be in my mom’s name.
I am writing this to help others in the same boat as my parents: a Norwegian spouse, an American spouse, real savings, and a rule that says savings do not count.
The problem in one paragraph
Norway does not have a retirement or passive-income visa. A US citizen without a Norwegian job or family has no residence route at all, only Schengen visits of 90 days in any 180. The door that is open is family immigration: the American applies as the spouse of a Norwegian citizen. That application has an income requirement (underholdskrav) that the Norwegian spouse must meet, and UDI says plainly that “own funds (money in an account)” do not count toward it. So a couple can have a paid-off house and a healthy portfolio and still fail the test.
Single or married: how much income you need to move to Norway
| Your situation | Income needed (2026, before tax) | About in USD | Who must earn it |
|---|---|---|---|
| Single American, no Norwegian spouse or job | No income route: Norway has no retiree visa | n/a | n/a |
| Couple, Norwegian sponsor under the ordinary rule (3.2 G) | NOK 436,957 a year | $45,300 a year, $3,774 a month | The Norwegian spouse (sponsor) alone |
| Couple, sponsor on a NAV old-age pension below the full minimum level | NOK 243,759 a year total income (UDI’s written answer to my parents) | $25,300 a year, $2,105 a month | The sponsor alone |
| Each additional family member | The regulation sets one figure (3.2 G); it does not add an amount per person | n/a | The sponsor |
The American spouse’s Social Security, pension or annuity does not help the sponsor pass, unless the American is in lawful work in Norway (§ 10-8, third paragraph). A third-party guarantee is not allowed for spouses (§ 10-8, third paragraph, letter c). So a couple cannot simply “combine” incomes: what matters is income in the Norwegian spouse’s name. Having Norwegian children, adult or not, does not create an exception in the regulation, and there is no blanket exemption just because the sponsor is a Norwegian citizen.
When the sponsor is not the breadwinner
This is the most common trap I see. In many couples moving to Norway from the USA, the Norwegian spouse is the lower earner or has no income of their own, and the American spouse holds the Social Security, the IRA and the savings. UDI tests the sponsor’s income, so none of the American’s money helps directly. The fix is to put lifetime income in the sponsor’s name:
- Owner and annuitant: the sponsor. A life-only SPIA owned by the Norwegian spouse, on the sponsor’s life, paying the sponsor. A joint and survivor annuity with the sponsor as a payee also works, at a lower payout per dollar.
- Priced on the sponsor. The payout depends on the sponsor’s age and sex, not the American’s.
- Bought while you still live in the US, with payments starting well before the application so they show in the sponsor’s own records.
- US gift rules, in general terms. Between two US-citizen spouses, gifts are unlimited. If the Norwegian spouse is not a US citizen, there is no unlimited marital deduction: the 2026 annual exclusion for gifts to a non-citizen spouse is $194,000 (IRS Rev. Proc. 2025-32). Above that, a Form 709 gift tax return is filed and the excess uses part of the lifetime exemption, so tax is generally not due. Confirm your own case with a tax adviser before moving money.
The 2026 numbers at a glance
| Rule | 2026 figure | About in USD |
|---|---|---|
| Ordinary sponsor, future income (3.2 G, from 1 May 2026) | NOK 436,957 a year before tax | $45,300 a year ($3,774 a month) |
| Ordinary sponsor, prior-year income (2025 income year) | NOK 409,972 | $42,500 |
| Pensioner sponsor on a NAV old-age pension at least at the full minimum pension level | Requirement met, no prior-year test (UDI’s page has cited NOK 255,191 for those born before 1954; confirm the current figure with UDI) | about $26,400 |
| Pensioner sponsor with a lower pension: total income needed (UDI’s written answer to my parents) | NOK 243,759 a year before tax | $25,300 ($2,105 a month) |
| Bank savings, investment balances | Do not count as income | n/a |
| Norway wealth tax 2026 | 1.0% of net wealth above NOK 1.9 million per person (1.1% above NOK 21.5 million) | Threshold about $197,000 |
USD figures use USD/NOK 9.6494 (Norges Bank, 2 October 2026). G, the Norwegian basic amount, is NOK 136,549 from 1 May 2026 and is adjusted every May, so the requirement moves every year. Details: UDI income requirement 2026, explained.
What my parents ran into, step by step
1. The phone said one thing, the written answer said another
Early on, a UDI phone call left us believing there was no income requirement in their situation because of the long marriage and the adult Norwegian children. That was wrong. UDI’s written answer, and an immigration lawyer, both made clear that adult children do not create any exception to the income requirement. The lesson I now give everyone: phone advice is not binding. Ask UDI through its written contact form and keep the reply.
2. The pensioner rule changed the math
Because my mom is the sponsor and a pensioner, UDI confirmed in writing that the lower pensioner figure applied to her: NOK 243,759 a year before tax, instead of the ordinary 3.2 G figure. The pensioner route also has no prior-year income test. That one written answer did more for the plan than months of modeling. If the Norwegian spouse is retired, read family immigration with a US spouse (pensioner sponsor) first.
3. Savings never count, and the wealth exception needs Norwegian tax records
UDI can make a discretionary exception (utlendingsforskriften § 10-11) when the sponsor is “obviously” able to support the couple. In writing, UDI told us wealth helps only when it shows on Norwegian tax assessments for the last two years, and that real estate does not count. Someone who has lived in the US for decades has no Norwegian assessments, so that route is effectively closed by the book. It is discretionary, slower, and nobody would put odds on it.
4. Only lifelong income counts
Our first idea was a 5-year income annuity to “prove income.” UDI’s written answers killed it: time-limited annuities (5-year, 12-year) do not count. Lifelong private or foreign pensions and lifetime annuities (livrenter) can count, and UDI said this kind of income should show in the Norwegian tax settlement. That is the core of the strategy below.
5. Norwegian banks had no true lifetime annuity
We asked Norwegian banks for a lifetime annuity. What they offered had a 12-year minimum term, a low guaranteed rate, and would be wealth-taxed. None paid for life. A US life-only single premium immediate annuity (SPIA) became the tool: it pays for as long as the annuitant lives, it is exactly the kind of “periodical benefit” UDI lists, and an annuity from a US insurer that has never been licensed in Norway is not taxable wealth under Norwegian law.
6. Buy it while you still have a US address
US insurers sell where they are licensed, to people living in those states. Once you have moved abroad, buying a new SPIA becomes hard or impossible. My parents have not bought one yet; the plan is to buy while they still live in the US, start payments well before the application, and keep a US bank account for the deposits.
7. The American spouse applies from the US
We had planned to file from inside Norway during a visit. Our immigration lawyer, citing UDI’s guidance, told us that does not work: a spouse in Norway on a visitor stay cannot apply from Norway (utlendingsforskriften § 10-1 lets spouses apply from Norway, but not when the stay rests on a Schengen visa). So the American files from the US through the embassy process and the visa application center (VFS), with biometrics there. Confirm your own case with UDI. On the phone UDI estimated about 17 to 18 months of processing. The American spouse may not work in Norway, including remote work for a US employer, until the permit is granted.
In the same boat? Let’s run your numbers
See roughly what a lifetime annuity would cost to close your income gap, then get my personal read by email. I can help while you still live in the US.
Estimates use the September 9, 2026 ImmediateAnnuities.com payout survey (life only) and a 15% cushion. Illustrative, not a quote.
How a lifetime annuity closes the income gap
The fix is simple to state. Take part of the savings UDI ignores, buy a life-only SPIA from a US insurer while you still live in the US, and turn it into monthly income UDI counts. The sponsor’s Social Security, any NAV pension, and the annuity are added together.
| Example (pensioner sponsor, NOK 243,759 rule) | Amount |
|---|---|
| Requirement, monthly in USD | $2,105 |
| Target with 15% headroom for FX swings and yearly G increases | $2,421 |
| Sponsor’s Social Security (example) | $1,500 |
| Monthly gap the annuity must fill | $921 |
| Premium at 70, woman, life-only, survey average ($662 per $100,000) | about $139,000 |
| Premium at 70, man, life-only, survey average ($714 per $100,000) | about $129,000 |
Payouts are from the ImmediateAnnuities.com survey of September 9, 2026 ($100,000 premium, life-only). Illustrative, not a quote. Under the ordinary 3.2 G rule the gap is much larger; see the sizing table on the 2026 requirement page.
Practical points that matter for UDI:
- Lifetime wording. The insurer’s letter should state the monthly amount, that it is paid “for the lifetime of the annuitant,” and the start date. No cash-out or commutation rider.
- Start early. Start payments months before applying so there are bank statements showing deposits. UDI also looks at prior-year income in many cases; ask UDI in writing how a newly started annuity is treated.
- Whose income. The requirement is the sponsor’s. In my family that means the annuity would be my mom’s: she owns it, she is the annuitant, and the payments are her income. An annuity in my dad’s name would not count toward her test. Confirm the structure with UDI in writing.
- Plan for US withholding. Since January 1, 2026, a US citizen whose residence address is outside the US cannot opt out of federal withholding on annuity payments, even if they go to a US bank account (IRC § 3405(e)(13), Treas. Reg. 31.3405(e)-1). Withholding is a prepayment of US tax, not extra tax. A US bank account is still the simplest place for the deposits.
Which annuity counts for UDI
A life-only single premium immediate annuity (SPIA), or a joint and survivor SPIA with the sponsor as an annuitant, pays for life and fits the rule. So does an existing deferred annuity or MYGA once it is converted to lifetime payments. What does not: period-certain annuities (UDI told my parents in writing that time-limited 5-year and 12-year annuities do not count), annuities still accumulating, and income riders (GLWB) on a deferred annuity where an account value can still be cashed out. Those read as savings, not lifetime income.
The trade-offs, once and plainly: a life-only SPIA is irreversible, pays a level amount unless you buy an inflation rider, and pays in dollars while the requirement is in kroner. Sizing with headroom handles most of that. More: what income counts for UDI, and how an annuity qualifies.
Example: a 62-year-old American couple retiring in Norway
Take a couple where the Norwegian spouse, the sponsor, is 62. The premium below is what it takes for a life-only SPIA on the sponsor to cover the whole monthly bar, and then the bar minus $1,500 of the sponsor’s own Social Security (which can start at 62). Premium = monthly gap / payout per $100,000 x $100,000.
| Sponsor at 62 | Monthly bar | Premium, no other income | Premium with $1,500 Social Security |
|---|---|---|---|
| Man, ordinary rule (3.2 G) | $3,774 | about $626,000 | about $377,000 |
| Woman, ordinary rule (3.2 G) | $3,774 | about $648,000 | about $391,000 |
| Man, pensioner figure (NOK 243,759) | $2,105 | about $349,000 | about $100,000 |
| Woman, pensioner figure (NOK 243,759) | $2,105 | about $362,000 | about $104,000 |
| Couple, joint and survivor on both lives | Same bar | Pays less per dollar than single life, so the premium is higher; get a quote | |
Payouts at 62, life-only, survey average per $100,000 a month: man $603, woman $582 (ImmediateAnnuities.com, September 9, 2026; best quotes ran $660 and $637, which lowers the premium). USD/NOK 9.6494. Illustrative, not a quote, and before the 10 to 25% headroom I recommend. The pensioner figure is written around a NAV old-age pension, so a 62-year-old sponsor without one should expect the ordinary rule unless UDI says otherwise in writing.
Does Norway have a wealth tax? Yes, and a US annuity is outside it
Norway taxes residents on worldwide net wealth: 1.0% above NOK 1.9 million per person in 2026. Skatteloven § 4-2(2) brings annuity insurance into the wealth base only if the insurer “has or has had” a license to do insurance business in Norway. Skatteetaten’s own handbook (Skatte-ABC F-24-2.1) says it directly: an annuity from an insurer never licensed in Norway is not taxable wealth. The price is that each payment is taxed in full as ordinary income (22%), including the part that is your own premium coming back. For a couple who would otherwise park savings in Norway and pay wealth tax on them every year, that trade is often worth it. Run your own case; Skatteetaten offers binding advance rulings for certainty. Full detail: Norway wealth tax for Americans and the US annuity exception.
How the annuity is taxed
US side. As a US citizen you stay taxable on worldwide income wherever you live. A US single premium immediate annuity bought with after-tax savings is taxed under IRC 72: an exclusion ratio makes part of each payment a non-taxable return of your premium until the premium is recovered. If you bought it with IRA money, every payment is taxable. The foreign earned income exclusion does not cover annuities (IRC 911(b)(1)(B)(i)). Since January 1, 2026, a US citizen with a foreign residence address cannot opt out of federal withholding, even if payments go to a US account (IRC 3405(e)(13), Treas. Reg. 31.3405(e)-1); withholding is a prepayment, not extra tax. An annuity from a US insurer is not reported on FBAR or Form 8938, and it is not a PFIC.
Treaty. Under the 1971 US-Norway income tax convention, annuities paid to a resident of Norway are taxable only in Norway (Article 18(2)), but the saving clause (Article 22(3)) lets the US tax its citizens anyway. The treaty has no rule that re-sources a US annuity to Norway, so the US generally cannot credit Norwegian tax on it. Instead, Article 23(2)(b) has Norway credit US tax on income both countries may tax. Confirm how that works on your return with a Norwegian tax adviser.
Norway side. An annuity from an insurer never licensed in Norway is taxed on the gross payment, including the part that is your own premium coming back (Skatte-ABC F-24-2.1 and F-24-5.1, skatteloven § 5-1). It is general income at 22% in 2026. A privately bought annuity is not part of an employment pension scheme, so it should fall outside personal income (skatteloven § 12-2) and escape bracket tax and the 5.1% national insurance contribution; confirm with a Norwegian tax adviser.
Net result. Norway’s 22% on the gross payment is usually the binding tax, with the smaller US tax on the taxable slice credited against it in Norway if the credit works as Article 23(2)(b) reads. Income tax on the annuity is the cost; the gain is that the money no longer sits in the wealth tax base and it counts for UDI.
One more date to remember: Norwegian wealth is measured on December 31. Becoming resident on December 30 means wealth tax for that whole year.
The rest of the map
| Topic | Key rule | Guide |
|---|---|---|
| Tax residence | More than 183 days in 12 months, or more than 270 days in 36 months | US taxes while living in Norway |
| Social Security | Taxed only by the US under the treaty (Art. 19), even for a Norway resident | US taxes in Norway |
| Exit tax | Moves from 20 March 2024: NOK 3 million deduction, IRAs and 401(k)s listed as covered assets | Norway exit tax |
| Dual citizenship | Allowed since 1 January 2020; former citizens can often reacquire by declaration | Dual citizenship |
| Elderly parents | Only if the parent is over 60 with no spouse or relatives at home | Bringing parents to Norway |
| Going the other way | US spouse visa: Form I-864 at 125% of poverty line ($27,050 for two) | Norway to USA |
Lessons I would pass on
- Get every answer in writing. UDI’s written replies settled more than months of phone calls and AI chat output, which gave us income figures that disagreed with each other.
- Find out which income rule applies before you plan. Ordinary 3.2 G and the pensioner figure are far apart.
- Do not count on savings. Plan on income UDI counts by rule, not on a discretionary exception.
- Only lifelong income. A period-certain annuity fails the test.
- Buy the annuity while you still live in the US, and start payments well before filing.
- Order documents early. A Norwegian marriage certificate took us about six weeks; some Norwegian paperwork cannot be done online from the US.
- Watch December 31 for wealth tax, and the 183/270-day counts for tax residence.
Norsk: guider på norsk
- Underholdskrav familieinnvandring 2026
- Formuesskatt og livrente fra utenlandsk forsikringsselskap
- Flytte til Norge fra USA som pensjonist
Comparing Norway with other high-barrier countries such as Sweden, Switzerland, Italy and Spain? Start at the moving abroad on a fixed income hub.
In the same boat as my parents? Let’s run your numbers. I can help while you still live in the US; the annuity has to be bought before you move.
All Norway guides
På norsk
Married? Make the income outlive either of you. In Norway only the sponsoring spouse’s income counts, so the annuity is owned by and pays the sponsor. A joint and survivor payout then keeps paying the other spouse after the sponsor dies. If a single-life annuity is on one spouse and that spouse dies first, the payments stop, and the surviving spouse may have to show income of their own at the next renewal. A joint and survivor annuity, which keeps paying until the second death, or a separate annuity on each spouse closes that gap. Joint and survivor pays less per dollar than single life, so ask for both quotes and compare.
Experts we point readers to
- The Norwegian American: the Norwegian-American newspaper, published since 1889
- Greenback Expat Tax Services: US expat tax preparers; Norway expat tax guide
We link to these because their guides are among the most useful we found. We receive nothing for listing them and are not affiliated. All experts by country.
Frequently asked questions
Related reading
- Moving abroad on a fixed income: income rules by country
- UDI income requirement 2026, explained
- Family immigration with a US spouse (pensioner sponsor)
- What income counts for UDI, and how an annuity qualifies
- Norway wealth tax and the US annuity exception
- Norway exit tax on IRAs and 401(k)s
- US taxes while living in Norway
- Dual citizenship Norway and USA
- Moving from Norway to the USA
- Bringing parents to Norway
Sources
- UDI: Income requirement in family immigration cases
- UDI: The reference person receives a disability pension or retirement pension
- Utlendingsforskriften chapter 10 (sections 10-1, 10-8, 10-9, 10-11, 10-12), Lovdata
- FOR-2025-01-10-18: income requirement raised to 3.2 G, Lovdata
- NAV: Grunnbelopet (the basic amount G)
- NAV: Minstepensjon (minimum pension rates from 1 May 2026)
- Utlendingsloven chapter 6 (sections 40, 41 a, 46, 47, 49), Lovdata
- Skatteetaten: Wealth tax rates 2026
- Skatteetaten, Skatte-ABC F-24 Livrenteforsikring (wealth and income tax)
- Skatteetaten, Skatte-ABC F-24-5.1 (income tax on annuity payments)
- Skatteloven chapter 4 (section 4-2), Lovdata
- Skatteloven chapter 12 (section 12-2, personal income), Lovdata
- Skatteetaten: Exit tax
- Skatteetaten: Global tax liability (tax residence)
- IRS: United States and Norway income tax convention (text)
- 26 U.S.C. section 3405 (withholding on pensions and annuities; see also Treas. Reg. 31.3405(e)-1, T.D. 10008)
- IRS Rev. Proc. 2025-32 (2026 inflation adjustments, gifts to a non-citizen spouse)
- Norges Bank exchange rate data, USD/NOK
- ImmediateAnnuities.com annuity rates by age (survey of September 9, 2026)
Goldstein & Co. LLC dba Goldstein Insurance Services · Hans Goldstein, licensed insurance agent, CA lic. #4273294 · NPN 20602398 · 213-414-2808 · hans@hansgoldstein.com
Education, not tax, legal or immigration advice. Rules, thresholds and exchange rates change; confirm with the consulate or immigration authority and a local tax adviser before you act, and get answers in writing. Hans Goldstein is a licensed insurance agent (CA 4273294) and can only offer annuities to residents of states where he is licensed. Annuity payments are guaranteed by the issuing insurer’s claims-paying ability, not by any government. Payout figures are illustrations from a published survey, not quotes. Immediate annuities are generally irrevocable.