Moving to Iceland as an American: complete guide

Known as the Land of Fire and Ice, Iceland is a big draw for many expats looking to live, study, or work in a unique environment. With its progressive outlook, awe-inspiring scenery, and vibrant culture, Iceland is perfect for those seeking a new adventure. In this guide, you’ll find everything you need to know about moving to Iceland from the US, including answers to key questions like: how much does it cost to move to Iceland, and what are the immigration requirements?

Quick Facts About Iceland

Before diving into the details, here are some quick facts about Iceland:

Can You Move to Iceland From the US?

Absolutely! Iceland offers a fantastic experience for adventurous expats who want to live, study, or work in a new environment. You can get a work visa if you already have a job offer, or consider the remote worker visa if you work in a location-independent role. Iceland also has top universities for those looking to study abroad.

If you plan to stay for less than 90 days, you typically won’t need a visa. However, for longer stays or to work in Iceland, you’ll need the correct paperwork and permits. Iceland is part of the Schengen Area, which means you can travel visa-free for short stays across all Schengen countries.

Things to Know Before Moving to Iceland

• Expats and Community: You’ll find a lively expat community in Iceland, especially in cities like Reykjavik.
• Cost of Living: Iceland isn’t cheap, so plan your budget carefully.
• Weather: The weather can be highly unpredictable, so be ready for anything.
• Local Resources: Almost every town has a geothermally heated swimming pool—a perfect spot to warm up, even in the snow.

Moving to Iceland With Family

Iceland is a very safe country, making it an ideal place to raise children. Nature is accessible and full of activities even in cold weather, and indoor entertainment is readily available as well. The education system is high quality, and public schools are widely available throughout the country.

Moving to Iceland With Pets

You can bring your dog or cat to Iceland, but you’ll need to follow strict rules set by the Icelandic Food and Veterinary Authority (MAST). Your pet must have the necessary vaccinations and undergo a 2-week quarantine upon arrival.

Immigration Requirements

For stays longer than 90 days, you’ll need a visa and appropriate permits. For work, you’ll need a job offer and a work permit sponsored by your employer. There’s also a remote worker visa for digital nomads, allowing a stay of up to 180 days.

After living in Iceland for 4 years, you may be eligible for permanent residency, which could eventually lead to citizenship.

Cost of Living in Iceland

Iceland is known for its high cost of living. Here’s how it compares to the US:

• Consumer prices are 35% higher.
• Restaurants are 42% more expensive.
• Groceries are 28% more expensive.

Rent, however, is on average slightly cheaper than in the US. Use websites like Numbeo to get a clearer picture of costs in specific Icelandic cities.

Moving Costs

The cost of moving depends on the volume of belongings you plan to bring. International relocation services such as Eimskip and Propack can provide quotes to help you plan your budget.

Living in Iceland: The Basics

• Housing: Housing is one of the biggest expenses. Most people in Iceland own their homes, which means the rental market is small and options can be limited.
• Healthcare: Iceland’s healthcare system is state-run and paid for through taxes. Only citizens and residents are eligible for public healthcare, so you must have health insurance if you’re not yet a resident.
• Banking and Taxes: To open a bank account in Iceland, you’ll need an Icelandic ID card, which you can obtain after registering in the country. Income tax is progressive, ranging from 31% to 46%. Make sure to get professional advice to understand your obligations.

Education in Iceland

Education in Iceland is compulsory between ages 6 and 16. There are also a few international schools available. For higher education, Iceland has seven universities that accept students from around the world.

Transportation in Iceland

In Reykjavik, many places are accessible on foot, and there is also a public bus system and taxis. Hitchhiking is common due to Iceland’s low crime rate, but owning a car provides the most freedom, especially for exploring remote areas.

Quality of Life

Iceland often ranks highly in quality-of-life measures. The country has a focus on fairness, with small gender and wage equality gaps. The culture is welcoming, and Icelandic people have a rich literary tradition, along with vibrant arts and music scenes.

Finding a Job in Iceland

Finding a job in Iceland can be challenging without local contacts or knowledge of the job market. Job vacancies are often posted on popular job boards such as Alfred, Eures, and Vinnumálastofnun, which is Iceland’s Directorate of Labour website. Expats looking for employment can also consider joining Facebook groups dedicated to job opportunities in Iceland or reaching out to local recruitment agencies.

The average salary in Iceland varies based on the industry and level of experience. For instance, the average monthly salary is around 600,000 ISK (approximately $4,400 USD). Salaries in tourism, education, and retail sectors may be on the lower end, while jobs in technology, healthcare, and engineering tend to offer higher compensation. Keep in mind that the high cost of living in Iceland should be considered when evaluating salary offers.

Many jobs in Iceland require local connections or existing job offers, making networking an important part of your job search. Attending local events and utilizing online networking platforms can help you build valuable contacts. Fortunately, most people speak English fluently, and the work environment is dynamic and multicultural. Popular sectors for expats include tourism, technology, healthcare, and education. Knowing some basic Icelandic can also be beneficial, as it shows respect for local culture and may help you stand out as a candidate.

Safety

Iceland is one of the safest countries in the world. Crime is rare, mostly limited to petty theft. To stay safe, take the same precautions you would at home.

Best Cities for Expats

• Reykjavik: The vibrant capital, home to about half of Iceland’s population.
• Hafnarfjörður: Known for its Viking heritage and festivals, Hafnarfjörður is just a short distance from Reykjavik.
• Akureyri: Perfect for those who love the outdoors, with opportunities for skiing, bird watching, and witnessing the Northern Lights.

Pros and Cons of Moving to Iceland

Pros:

• Safe country with one of the lowest crime rates in the world, making it ideal for families and individuals.
• Beautiful natural scenery, including volcanoes, geysers, hot springs, glaciers, and stunning landscapes that are perfect for outdoor enthusiasts.
• High-quality education system with public and private school options, as well as internationally recognized universities.
• Vibrant culture that values literature, arts, and music, offering an active cultural scene with festivals, concerts, and exhibitions throughout the year.
• Established expat communities in cities like Reykjavik, which can provide support and social opportunities for new arrivals.
• Strong emphasis on gender equality and inclusivity, with progressive policies that contribute to an open and accepting society.

Cons:

• High cost of living, with everyday expenses like groceries, dining out, and transportation being significantly more expensive compared to the US.
• Small rental market with limited availability, making it difficult to find suitable housing, especially in urban areas.
• Challenging job market without local connections, as many positions require networking or fluency in Icelandic to secure employment.
• Long winter nights with limited daylight, which can affect mood and well-being, particularly for those not accustomed to such conditions.
• Remote location and smaller population may make it challenging to access certain goods and services, and may require adjustments for those used to a fast-paced urban lifestyle.

Iceland is a great option for those seeking a new adventure. From the breathtaking scenery to the unique culture, moving to Iceland offers a truly different way of life.

Ready to Start Your Adventure?

Moving to Iceland is an exciting journey. Whether you’re heading there for work, study, or a new adventure, be prepared for an incredible experience.

Resources:

• Work in Iceland website
• Icelandic Food and Veterinary Authority (MAST)