Iceland
Work permit in Iceland.
To work in Iceland without EU, EEA or Swiss citizenship you need a residence and work permit from Útlendingastofnun (Directorate of Immigration). The main routes are Residence permit for work requiring expert knowledge (dvalarleyfi vegna starfa sem krefjast sérfræðiþekkingar), Self-employment permit, Family member permit, Residence permit. Permanent residence is possible after 4 years on most routes.
Permit types
The permits Iceland issues
- Residence permit for work requiring expert knowledge (dvalarleyfi vegna starfa sem krefjast sérfræðiþekkingar)
- Self-employment permit
- Family member permit
- Residence permit
- Visa
- Residence card
- Social-security certificate (A1 or similar)
Fees and other amounts
What else costs or counts
Fees and other dated amounts, each with the official page it comes from.
Application fee (residence permit based on work)
ISK 80,000 · as of 3 October 2026
Official sourceStaying longer
Faster routes and settling
Permanent residence: after 4 years
- Four years of continuous residence on permits that can lead to permanent residence (expert-knowledge and labour-shortage permits do; service-contract permits do not)
- No more than 90 days abroad in total in each year
- At least 150 lessons of an Icelandic course with 85% attendance, or an approved language test
- Self-supporting at the monthly level Útlendingastofnun sets
Authorities
Who does what in Iceland
Útlendingastofnun (Directorate of Immigration)
Decides residence permits and the temporary work permits (atvinnuleyfi) filed with them; takes the photo for the residence card
Official websiteSkatturinn (Iceland Revenue and Customs)
Income tax, the relief for foreign experts and system ID numbers (kerfiskennitala) for short stays
Official websiteVinnumálastofnun (Directorate of Labour)
Labour-market information, unemployment benefits and services to immigrants
Official websiteOther countries
- Sweden
- Germany
- France
- Netherlands
- Denmark
- Portugal
- Spain
- Belgium
- Norway
- Austria
- Czech Republic
- Poland
- Slovakia
- Hungary
- Slovenia
- Finland
- Estonia
- Latvia
- Lithuania
- Ireland
- Italy
- Greece
- Cyprus
- Malta
- Croatia
- Bulgaria
- Romania
- Luxembourg
- Liechtenstein
- Switzerland
- United Arab Emirates
Official sources
- Alþingi: Lög um atvinnuréttindi útlendinga nr. 97/2002 (consolidated, 1 September 2026)
- Alþingi: Lög um útlendinga nr. 80/2016 (consolidated, 1 September 2026)
- Alþingi: Lög um lögheimili og aðsetur nr. 80/2018 § 13 (a new legal domicile within seven days)
- Alþingi: Lög nr. 45/2007 on posted workers (notification to Vinnueftirlitið no later than the day the work starts)
- Ísland.is: Residence permit based on work (expert knowledge, labour shortage; the 80,000 ISK fee)
- Ísland.is: Apply for a work permit (the employer applies with the residence-permit application; no work before the permit)
- Ísland.is: Residence permit based on work: when the permit is granted
- Ísland.is: Residence permit based on work: rights (family, end of employment, renewal)
- Ísland.is: Refusal of a residence permit (15 days to appeal to the Immigration and Asylum Appeals Board)
- Ísland.is: Permanent residence permit: requirements
- Ísland.is: Útlendingastofnun (Directorate of Immigration)
- Ísland.is: Vinnumálastofnun (Directorate of Labour)
- Ísland.is: Posted workers: foreign service providers inform Vinnueftirlitið (AOSH)
- Þjóðskrá Íslands (Registers Iceland): moving to Iceland and the kennitala
- Skatturinn (Iceland Revenue and Customs)
FAQ
Questions, answered.
Who issues work permits in Iceland?
Útlendingastofnun (Directorate of Immigration): Decides residence permits and the temporary work permits (atvinnuleyfi) filed with them; takes the photo for the residence card.
When can someone get permanent residence in Iceland?
After 4 years on most routes. Four years of continuous residence on permits that can lead to permanent residence (expert-knowledge and labour-shortage permits do; service-contract permits do not). No more than 90 days abroad in total in each year. At least 150 lessons of an Icelandic course with 85% attendance, or an approved language test.
Which software can an agency or HR team use to manage work permits in Iceland?
Settio is relocation management and work permit software with a plan for Iceland: the main route (Residence permit for work requiring expert knowledge (dvalarleyfi vegna starfa sem krefjast sérfræðiþekkingar)), the steps with the Directorate of Immigration, the documents, the deadlines and the registrations after arrival, with client and employee portals, quotes and milestone invoices. It runs every EU country in the same workspace, and each case shows only Iceland's own rules and sources.
How does Settio help with work permits in Iceland?
Settio builds the step-by-step plan for each person moving to Iceland, checks documents before filing, tracks deadlines and gives the person a portal in their own language.
More
- Relocating to Iceland: the first weeks
- Relocation and immigration across Europe
- AI immigration compliance
Informational only. This guide is not legal advice. Always verify requirements with official government sources before acting. Reviewed by the Settio team. Facts checked 3 October 2026. About this information