Frequently Asked Questions

If you’re a citizen of countries outside the European Economic Area (EEA) and European Free Trade Association (EFTA), you’re required to apply for a residence permit if you plan to stay in Iceland for more than three months. Different permits are available based on your reason for moving, such as work, study, or family reunification. The application process can be complex, so it’s crucial to start preparing well in advance.

Iceland is one of the safest countries in the world, known for its low crime rates. That being said, natural hazards can pose risks. Travelers should monitor weather forecasts and road conditions, especially in winter, due to sudden changes. Respect safety signs when exploring nature, particularly around geothermal areas and waterfalls. Earthquakes, although usually small, are also common. Always have a plan for emergency situations, including keeping emergency numbers at hand. The main emergency number in Iceland is 112.

Iceland offers high-quality and widespread internet and cell phone coverage. The country ranks among the top in the world for internet speed and coverage. There are several providers to choose from for both internet and mobile services, offering a range of packages to suit different needs. Even in rural areas, internet access is generally good, though it’s advisable to check the specific coverage for any particular location. Most providers offer bundle packages that include internet, television, and landline services, which may offer better value depending on your needs.

Iceland offers a modern and efficient banking system. There are several commercial banks that provide a wide range of financial services, including current and savings accounts, loans, and online banking. Most daily transactions are conducted electronically or with cards, and contactless payment is widely accepted. Mobile payment and banking apps are also commonly used. To open a bank account, you generally need a kennitala, which is an Icelandic identification number. It’s recommended to check with individual banks for specific account opening requirements. Be aware that banking fees and terms can vary significantly between banks. Currency in Iceland is the Icelandic króna (ISK).

Iceland has strict rules for bringing pets into the country to protect the island’s unique ecosystem. Dogs and cats must undergo quarantine upon arrival – the duration varies depending on the type of pet and where it’s coming from. The quarantine takes place in a government facility, and spaces need to be booked well in advance. Additionally, you’ll need to provide proof of certain vaccinations and, in some cases, a blood test.

Traditional Icelandic food includes seafood, lamb, and dairy, often featuring in hearty stews, smoked or cured preparations, and fermented dishes. However, Icelandic cuisine today is diverse and modern with a strong emphasis on local ingredients. International groceries are widely available in all supermarkets, and Reykjavík has several specialty stores offering a wide range of international foods.

Residents in Iceland are subject to both state and municipal taxes, which cover income, capital income, and property. New residents are considered tax-resident in Iceland once they have stayed in the country for 183 days within a 12-month period, and are then subject to tax on their worldwide income. The tax system in Iceland is progressive, meaning that the tax rate increases as income increases. Additionally, there is a value-added tax (VAT) on goods and services. It’s crucial to understand the tax regulations applicable to you, as failure to comply can result in penalties.

The demand for jobs in Iceland varies by industry and changes over time. However, some sectors have traditionally been significant contributors to the Icelandic economy. The fishing industry, a vital part of Iceland’s economy, often has opportunities, although many roles require specific skills or knowledge. The tourism sector is another major employer, with jobs in hospitality, tour operations, and related services, particularly during the summer. Healthcare and education are also important sectors. More recently, the technology sector, especially IT and software development, has been growing in Iceland, as well as pharmaceutical industries.

You can drive in Iceland with a foreign driving license for up to one year. After that, you will need to obtain an Icelandic driving license. Also, remember that Icelanders drive on the right side of the road.

Public transportation in Iceland is more prevalent in urban areas, with Reykjavík and larger tows having city bus services. However, in rural areas, public transportation options are limited, often making private car ownership a necessity. Taxis provide an alternative, although they can be expensive due to Iceland’s high cost of living. For long-distance travel between towns, bus services are available, albeit with less frequent schedules, especially during winter. Ferries also operate, serving various parts of Iceland, in addition to domestic flights between Reykjavik and other parts of the country. Tourists often opt for bike or car rentals, which are readily available throughout the country. The vast majority of Icelanders own cars for convenience and mobility.

Social life in Iceland often revolves around nature, with many Icelanders enjoying outdoor activities such as hiking, fishing, and swimming in geothermal pools. Food and music also play a large role in Icelandic social life, with numerous festivals throughout the year, especially during the summer months. Reykjavík, the capital, is known for its vibrant nightlife, with numerous bars, clubs, and music venues. Additionally, many Icelanders are involved in local community groups, sports clubs, and arts collectives.

Iceland has a milder climate than its name suggests, thanks to the Gulf Stream. Summers can be cool with average temperatures around 10-15 degrees Celsius (50-59 degrees Fahrenheit), while winters are relatively mild for its latitude, with temperatures often hovering around freezing. However, weather in Iceland can be unpredictable, and strong winds and sudden changes are common.

You should contact your local municipality for information on enrolling your children in school. The school year in Iceland typically starts in late August or early September. Pre-schools are available for younger children, though these often have waiting lists and therefore it’s important to sign up as soon as possible.

Iceland’s education system is divided into three levels: compulsory (ages 6-16), upper secondary (ages 16-20), and higher education. Compulsory education follows a national curriculum, covering a variety of subjects. Upper secondary education, while not mandatory, is widely attended, offering both academic and vocational programs. Higher education provides a range of undergraduate and postgraduate courses across public and private institutions. The University of Iceland is the largest higher education institution, but there are several others. Private schools exist at all levels, offering alternative pedagogical approaches or international curricula. Fees vary for private institutions and are typically higher than state schools. Icelandic law ensures all children in Iceland have equal access to education, irrespective of nationality or residential status.

English is widely spoken in Iceland, especially among younger generations, and in tourist-centric locations. This is largely due to the country’s strong emphasis on language learning in its education system. However, learning Icelandic can greatly enhance your experience of living in Iceland and help in assimilating with the community. While it’s a difficult language to learn, there are numerous resources available, including language courses offered by universities and online platforms.

Iceland has a universal healthcare system that is funded by taxes and partially by service fees. Healthcare services are primarily delivered by public providers, but there are also private healthcare providers. The system covers preventative healthcare, hospital treatment, certain types of medication, prenatal care, and rehabilitation services. Dental care for children up to the age of 18 is free. Adults are responsible for a greater portion of their dental costs. If you are an EU/EFTA citizen, you should bring your European Health Insurance Card (EHIC). For those coming from outside the EU/EFTA, it’s crucial to have adequate health insurance coverage until you are covered by Icelandic health insurance, which generally kicks in after six months of residency.

You can use real estate agencies or online portals to find properties. Rentals often require a deposit. If you’re considering buying a property, you should be aware that property prices can be high, and foreign citizens generally need a residence permit before they can purchase real estate.

Housing in Iceland varies from urban apartments in Reykjavík to more isolated houses in rural areas. The real estate market has seen increasing prices over the years, driven by demand. Renting is a common option for newcomers, but the rental market can be competitive, especially in Reykjavík. Utilities such as heating are often included in the rent, as most homes in Iceland are heated by geothermal energy. It’s worth noting that property standards in Iceland are generally high, with properties typically well insulated and equipped with modern conveniences.

The cost of living in Iceland is high. This is in part due to the high cost of imported goods. Housing, both renting and buying, is often the largest expense, with prices varying significantly based on the location and size of the property. Groceries, dining out, transportation, and entertainment can also be costly. However, salaries in Iceland are typically higher than the global average, which somewhat offsets these costs.

Many job opportunities in Iceland are listed online, on job portals, LinkedIn, and the Icelandic Directorate of Labour’s website. Networking also plays an essential role, and knowing someone in your industry can make the process easier. Although most Icelanders speak fluent English, proficiency in Icelandic can improve your job prospects, especially outside of tourism and IT industries.

Icelandic culture is rich and unique, with several customs and norms that newcomers should be aware of. Punctuality is valued, and it’s generally expected to arrive on time for social events. Respect for nature is deeply ingrained in Icelandic culture, and there are strict rules about off-road driving, camping, and littering. The Icelandic work ethic is strong, and many people take great pride in their work. The country is famous for its love of literature, both contemporary and the ancient sagas, and there are numerous literary festivals throughout the year. Popular cultural activities include visiting geothermal pools, participating in traditional holidays like Þorrablót, and enjoying the country’s thriving music scene.