Working in Portugal: Complete Analysis of the Minimum Wage, Deductions, and Financial Reality for Brazilians

Brazilian professionals dreaming of a career in Europe often face the same question: how much do you really earn in Portugal when considering all taxes and the local cost of living? The answer goes beyond simple currency conversion. In 2025, the Iberian country presents a minimum wage of €870 per month in the mainland region, but what truly matters is understanding the effective purchasing power after taxes, social contributions, and essential expenses.

This guide breaks down the numbers so you can assess whether a professional move to Portugal makes sense for your profile and financial goals.

The Minimum Wage in Portugal (2025): Reality Beyond the Numbers

The Portuguese minimum wage in 2025 reached €870 per month. On the islands, the amount is slightly higher: Madeira offers €913.50 and Azores, €915. Compared to the previous year (€820 in 2024), this is an increase of approximately 6%, aligned with the government’s gradual adjustment strategy until 2026.

Converting to Brazilian reais, €870 is approximately R$5,600 — at first glance, an impressive amount for those analyzing only the currency. However, this initial perception crumbles when considering that Portugal, despite offering this salary, still ranks among the countries with the lowest minimum wages within the European Union, according to Eurostat data.

The central issue is not the gross amount, but how much actually reaches the bank account and what it represents in real purchasing power.

Mandatory Deductions: Where Does the Money Go?

Every worker in Portugal faces a mandatory deduction of 11% for Social Security — a compulsory social protection fund. For those earning above the minimum wage, the IRS (Imposto sobre o Rendimento de Pessoas Singulares) (Personal Income Tax) is added, which varies depending on dependents and family situation.

Applying these deductions to the minimum wage:

• Gross amount: €870
• Social Security (11%): €95.70
• Net salary (without additional IRS): €774.30

In practice, nearly 11% disappears before the worker has access to the money. For professions exceeding the minimum, the withholding can reach 15-20% when including IRS, depending on income brackets.

Professions and Salaries: Not Everyone Earns the Minimum

Salary variation in Portugal is substantial and differs greatly by sector. Nurses, teachers, IT technicians, and marketing professionals typically earn between €1,500 and €2,500 per month — well above the minimum. Senior managers and specialists can reach €3,000 to €5,000 or more.

This range suggests that the real opportunity in Portugal is not living on the minimum wage, but positioning oneself professionally in sectors that offer better remuneration.

Hourly rate: With 176 hours per month (standard 40-hour workweek), the minimum wage corresponds to approximately €4.94 per hour worked. Qualified professionals easily earn €10 to €20 per hour, a significant difference.

Cost of Living in Portugal: The Other Side of the Coin

Portugal ranks second as the most affordable country in Western Europe — but “affordable” is relative. Monthly expenses vary significantly depending on lifestyle:

For an individual: €1,800/month
For a family of 4: €3,304/month

Within this reality, the main expense items are:

Housing — usually the largest expenditure. A T2 apartment (85m²) in a good neighborhood costs around €1,518/month, while the same type in a common area costs €1,005. Studios in convenient regions are around €729.

Food — fast food costs €8, lunch €12, chicken €3.36 per 500g, artisanal cheese €4.90 per 500g. Grocery shopping requires budget attention.

Transport — gasoline costs up to €1.69/liter; monthly public transport passes €35.

Utilities and leisure — gym €34, energy + water + gas €112, private medical consultation €65.

The math is clear: €774.30 net (minimum wage after deductions) fits into budgets only in medium-sized cities with a frugal lifestyle.

Brazil versus Portugal: The Comparison That Matters

In nominal terms, €870 significantly exceeds the Brazilian minimum wage (R$1,518 in 2025). But the analysis must be multidimensional:

Relative purchasing power: Although Portugal pays 3.5x more in reais, its basic costs — especially housing — consume a proportionally larger part of income. A Brazilian earning minimum wage in Brazil might spend 30-40% on rent; in Portugal, with the minimum wage, basic rent consumes 60-70% of net income.

Tax burden: Portugal deducts 11% compulsorily for social security; Brazil, depending on the bracket, also applies deductions. The difference lies in the quality of public services funded — access to healthcare and education in Portugal tends to be more structured.

Salary growth: Portugal offers more predictable progression for qualified professionals; Brazil shows higher volatility but also higher salaries in tech and finance sectors.

Conclusion: Both countries present financial challenges at the minimum wage; the Portuguese advantage emerges for professionals with valuable expertise in the European market.

Is It Feasible to Live on Minimum Wage in Portugal?

Technically, yes — in cities like Covilhã, Castelo Branco, or Guarda, €774 net covers basic expenses. In Lisbon and Porto, it requires sacrifice: shared housing, strict homemade meals, no discretionary leisure.

The decision depends on:

• Location: Lisbon/Porto demand a minimum income of €1,200-1,500 for comfort; smaller cities, €900
• Time perspective: Short stay (1-2 years) versus long-term settlement
• Opportunities for progression: Is there potential for salary growth in your chosen profession?

For qualified workers or those seeking medium- to long-term professional stability, Portugal is viable. For those willing to accept only the minimum salary indefinitely, the scenario becomes tight.

Final Reflection: Beyond the Numbers

The decision to migrate to Portugal is not just about comparing euros with reais. It involves assessing your specific earning potential, the cost of living in your target city, tax burden, demand for your profession, and personal goals.

A programmer earning €2,000 in Lisbon has a higher purchasing power than in Brazil; a retail worker with minimum wage faces budget constraints. The individual context defines everything.

Portugal attracts because it offers institutional security, quality of life, and professional opportunities — but it requires real financial planning, not superficial quotes based on surface exchange rates.