The Portuguese minimum wage in 2025: a detailed analysis of net earnings and actual expenses

When it comes to compensation in Portugal, one of the first questions that arises is: how much do you actually take home after deductions? And more importantly: does this allow for a good quality of life? For Brazilians considering a professional move to the European territory, these answers are fundamental. In 2025, Portugal’s minimum wage has been again adjusted, reaching € 870 per month in the mainland region. In this article, we examine not only the gross amount but also the mandatory deductions, how the remuneration is distributed across different professions, and what the real monthly expenses look like in the main Portuguese cities.

The value of Portugal’s minimum wage this year

Starting in 2025, the minimum wage in Portugal reached € 870 per month for the mainland. This figure marks a significant increase from the € 820 recorded in 2024, reflecting the government’s strategy of gradual alignment with European standards. In autonomous regions, the values are slightly higher:

• Madeira: € 913.50
• Azores: € 915

Converting this amount to Brazilian currency, Portugal’s minimum wage corresponds to approximately R$ 5,584, based on current exchange rates. Although it seems substantial from a Brazilian perspective, Portugal remains among the European nations with the lowest minimum wages, according to Eurostat indicators. However, many jobs exceed this minimum threshold, offering considerably higher salaries.

Mandatory deductions: how much actually gets deposited?

Net salary differs significantly from the gross amount due to tax and social security contributions. The main deductions are:

Social Security: 11% of gross salary — applies to all workers without exception

IRS (Personal Income Tax): progressive rates depending on income brackets, family dependents, and personal situation

Practical simulation of the impact:

• Initial salary: € 870
• Social Security deduction (11%): € 95.70
• Available balance (without IRS): € 774.30
• With IRS withholding, the amount decreases further

This reduction of approximately 11% represents a significant portion of the monthly income, substantially affecting the worker’s purchasing power.

Salary growth trajectory in Portugal

The annual progression of Portugal’s minimum wage demonstrates institutional commitment to raising remuneration standards. This upward trend, although significant, still leaves Portugal below the average of more developed Western European regions. The outlook for the coming years indicates continued increases, with planned increments until 2026.

Compensation by professional sector

Financial compensation varies substantially between activities. Technical, managerial, and specialized professions receive notable salary premiums over the minimum. Jobs in health, technology, finance, and engineering offer earnings between 2 to 4 times the legal minimum.

All values are based on a standard 40-hour workweek.

Hourly work cost

Based on € 870 monthly:

• Hours worked per month: 176
• Hourly rate: approximately € 4.94
• Part-time regime: about € 435 per month

Highly qualified professionals achieve significantly higher hourly wages, enabling access to much higher living standards.

Monthly expenses: how much does it cost to live in Portugal?

The necessary budget for subsistence varies according to geographic location and personal choices. Cost of living data indicates:

• Single individual: € 1,800/month
• Family of 4: € 3,304/month
• Portugal ranks as the second least expensive country in Western Europe

###Specific expense breakdown:

Food:

• Fast food meal: € 8
• Restaurant menu: € 12
• Chicken (500g): € 3.36
• Cheese (500g): € 4.90

Housing:

• T2 apartment (85m²) in central neighborhood: € 1,518
• T2 apartment in a standard area: € 1,005
• Studio in a common area: € 729

Mobility:

• Fuel: € 1.69 per liter
• Urban transport pass: € 35/month

Service bills:

• Gym membership: € 34
• Utilities (electricity, water, gas): € 112
• Medical consultation: € 65

Living on the minimum wage: is it feasible?

Theoretically yes, but with important caveats. Feasibility primarily depends on:

• Geographic location (interior vs. urban centers)
• Individual consumption profile
• Fixed financial obligations structure

In metropolises (Lisbon, Porto), maintaining a balanced budget with € 870 requires strict financial discipline. In smaller and medium-sized cities, adaptation is less financially challenging.

Comparison between Portugal’s and Brazil’s minimum wages

Comparing Portuguese and Brazilian minimum wages reveals important nuances for those evaluating international relocation. Although nominal values seem very distant, the quality of life is determined by real purchasing power, cost structures, and tax burdens in each context.

Portugal offers a € 870 minimum wage in the mainland versus R$ 1,518 in Brazil. When converted, the Portuguese figure approaches R$ 5,500 to R$ 5,600, more than tripling the Brazilian minimum. However, this numerical advantage must be contextualized: Portugal charges significantly more for rent, food, and infrastructure.

Portuguese net salary after deductions is close to € 770, while in Brazil, workers earning the minimum retain a larger portion of the gross due to proportionally smaller deductions. Thus, although Portugal pays higher gross amounts, the remaining income after essential expenses converges more than it initially appears.

Overall perspective:

• Portugal pays above, but requires higher investment for subsistence
• Brazil offers a lower minimum, but some basic expenses are relatively affordable
• Qualified professionals enjoy a much greater differential in Portugal, increasing potential benefits

For those considering migration, it is essential to analyze not only the minimum wage but also the earning potential of your specific profession, the spending profile in the destination city (notably Lisbon and Porto have high costs), and the medium-term career progression prospects.

Final outlook

Portugal’s minimum wage in 2025 continues to attract Brazilian professionals seeking better prospects and quality of life. Although the Portuguese figure is significantly higher than the Brazilian, local expenses — especially in large urban centers — require careful financial planning and realistic calculation of the available monthly amount.

For qualified professionals, possessing skills valued in the European market or seeking institutional security, Portugal presents a favorable scenario in the medium and long term. For those earning only the minimum, the experience varies depending on the metropolis, lifestyle adopted, and opportunities for professional advancement.

The best decision goes beyond mere numerical comparison; it requires a holistic assessment: profession-based remuneration, expense structure, tax system, local labor demand, and personal goals. Understanding this set of factors is a prerequisite for a safe and financially sustainable migration.