The limit to 6 months is pretty disappointing.
Also the 1,000,000 ISK monthly salary for workers in the Schengen area is pretty restrictive, except for Switzerland, Norway, not that many people earn that level of salary.
All of the above assumes US country of origin, but I'm sure it'd work the same with many countries.
In what country is this the case? For countries in the Schengen area, the rule is 90 days out of any 180 day period.