How to Work in Mexico as a U.S. Citizen: Visas, Taxes, and Residency

To work in Mexico as a U.S. citizen, you need a Temporary Resident Visa (Residente Temporal) that carries work permission, and you apply for it at a Mexican consulate in the United States before you move. Two paths lead to the same visa: a Mexican employer sponsors you through the National Migration Institute (INM), or you qualify on your own by showing enough foreign-paid income or savings. Either way, once you arrive in Mexico, you have 30 days to visit an INM office and exchange the consular stamp for a Temporary Resident Card, which is the document that actually proves your right to live and work there.

Working without this authorization can get you deported and barred from reentry, so the sequence matters.

The Two Visa Paths

Mexican immigration law has no standalone “work visa.” The Temporary Resident Visa itself can carry work permission, and how you qualify depends on where your paycheck comes from.1Secretaría de Relaciones Exteriores. Visa de Residencia Temporal

Employer-Sponsored

If a Mexican company is hiring you and paying your salary in Mexico, the employer runs the first part of the process. The company must be legally incorporated in Mexico and registered with INM. It files a petition with INM on your behalf, and once INM approves, it issues a Unique Processing Number, called a NUT.2Consulate General of Mexico in Orlando. Work Visa Pre-Approved by the Instituto Nacional de Migración NUT You take the NUT to your nearest Mexican consulate, attend an interview, and if approved, get the visa stamped in your passport. You cannot start this track without a job offer from a registered Mexican employer.

Foreign-Paid Income or Remote Work

If your salary comes from outside Mexico — the usual situation for Americans working remotely for U.S. companies — you can apply directly at a consulate without any employer involvement, provided your pay originates abroad.1Secretaría de Relaciones Exteriores. Visa de Residencia Temporal Instead of a NUT, you prove financial solvency. As of late 2025, Mexican consulates in the U.S. generally require either monthly income of at least $4,393 USD over the past six months, or an average monthly bank balance of at least $73,215 USD over the past twelve months.3Consulate of Mexico in Tucson. Temporary Residency Visa Thresholds shift, so confirm with the consulate that covers your state before booking an appointment.

For either track, bring a valid passport and a recent photograph to the consulate.

What Happens After You Arrive

The consulate visa is a single-entry stamp valid for six months. It gets you into Mexico, but it is not your final document. Within 30 days of arrival, you must visit an INM office in Mexico to provide fingerprints and a photograph and receive your Temporary Resident Card.1Secretaría de Relaciones Exteriores. Visa de Residencia Temporal That card is what proves your legal right to live and work in the country. Missing the 30-day window creates problems with your status, so make it your first priority after landing.

The card is initially issued for one year and can be renewed annually for up to four years total. Keep it on you when dealing with banks, landlords, and employers; it functions as your primary Mexican ID.

Preparing Your U.S. Documents

Mexico is a party to the Hague Apostille Convention, so U.S. documents you submit to Mexican authorities generally need an apostille certificate. For federal documents (a federal background check, for example), the U.S. Department of State handles the apostille. State-issued documents like birth certificates or marriage licenses are apostilled by the issuing state, not the federal government.4U.S. Department of State. Preparing a Document for an Apostille Certificate One mistake to avoid: don’t get the original document notarized before requesting an apostille, because that invalidates it for authentication.

English documents also need a certified Spanish translation. Mexican consulates and INM offices won’t accept untranslated foreign documents. Finding a certified translator and getting apostilles done can add weeks, so start early.

What Mexican Labor Law Gives You

Once you are employed in Mexico, you are covered by the Federal Labor Law regardless of nationality. A few of the standard entitlements will likely surprise an American worker.

The workweek is currently 48 hours. In February 2026, the Mexican Senate approved a constitutional amendment to phase this down to 40 hours by 2030, stepping through 46, 44, and 42 hours in the intervening years, without any cut to pay or benefits.

Vacation minimums doubled under a January 2023 reform. First-year employees get 12 paid vacation days, rising by two days each year through year five (reaching 20), then two more days for every additional five years of seniority. Employers also pay a vacation premium of at least 25% of your salary for the vacation period.

Every employer must pay a year-end bonus, the aguinaldo, equal to at least 15 days of salary, by December 20. Partial-year employees get a prorated amount. It isn’t discretionary.

Companies must also distribute 10% of annual taxable income to employees as mandatory profit sharing, known as PTU (Participación de los Trabajadores en las Utilidades), paid within 60 days of filing the company’s annual tax return and capped at three months of your salary.

If an employer fires you without just cause, standard severance is three months of salary plus 20 days of salary for each year worked, along with a seniority premium of 12 days of salary per year (capped at twice the minimum wage). The cost adds up, which tends to make termination decisions more deliberate than under U.S. at-will employment.

Taxes in Both Countries

Spending more than 183 days in Mexico in a calendar year, or making Mexico the primary place of your professional activity, generally makes you a Mexican tax resident. Residents are taxed on worldwide income under a progressive structure that starts at 1.92% and tops out at 35%. If you work for a Mexican employer, they withhold the tax and register you with the Mexican Institute of Social Security (IMSS), which is mandatory from day one and gives you access to public healthcare, disability coverage, and retirement contributions. The employer pays most of the IMSS contribution; a portion comes out of your wages.

Moving to Mexico does not end your U.S. filing obligations. The United States taxes citizens on worldwide income no matter where they live, so you’ll keep filing a federal return, and you’ll potentially owe tax to both countries on the same income. Several mechanisms exist to prevent true double taxation.

Foreign Earned Income Exclusion

The Foreign Earned Income Exclusion (FEIE) lets you exclude up to $132,900 of foreign earned income from your U.S. taxes for the 2026 tax year.5Internal Revenue Service. IRS Releases Tax Inflation Adjustments for Tax Year 2026 To qualify, you must either be a bona fide resident of Mexico for an entire tax year, or be physically present in a foreign country for at least 330 full days in a 12-month period. The exclusion covers earned income like wages and self-employment income, not investment income or pensions.

Foreign Tax Credit

The alternative is the Foreign Tax Credit, claimed on Form 1116, which offsets your U.S. tax liability dollar-for-dollar against income taxes you’ve already paid to Mexico.6Internal Revenue Service. Foreign Tax Credit You cannot use both the FEIE and the Foreign Tax Credit on the same income. The U.S.–Mexico Income Tax Convention provides for this credit mechanism specifically to prevent double taxation.7Internal Revenue Service. United States – Mexico Income Tax Convention Higher earners whose Mexican taxes exceed what the FEIE would save often come out ahead using the credit.

Reporting Mexican Bank Accounts

Opening a Mexican bank account triggers two separate U.S. reports. If the combined value of your foreign financial accounts exceeds $10,000 at any point during the year, you must file an FBAR with FinCEN.8Financial Crimes Enforcement Network. Report Foreign Bank and Financial Accounts Under FATCA, a single filer living abroad whose foreign financial assets exceed $200,000 at year-end (or $300,000 at any point during the year) must also file Form 8938 with the tax return.9Internal Revenue Service. Summary of FATCA Reporting for US Taxpayers For married couples filing jointly and living abroad, those thresholds double to $400,000 and $600,000. Penalties for missed filings start around $10,000 per violation.

Moving From Temporary to Permanent Residency

After four consecutive years as a temporary resident, you can apply to INM for permanent residency. Permanent status removes the renewal cycle and lets you work without any employer-tied restrictions. Spouses of Mexican citizens or permanent residents can apply after two years of temporary residency, provided the relationship is still in force. The permanent application is filed with INM inside Mexico, not at a consulate. Permanent residents can stay indefinitely and come and go without restriction.