Minimum Wage in Portugal 2025: How Much Is Actually Earned After Deductions

For those considering working in Portugal, the first question is always the same: what is the minimum wage? The answer may seem attractive at first glance, but the financial reality is more complex when considering mandatory deductions and the actual cost of living.

The Value of the Minimum Wage in Portugal

In 2025, the minimum wage in Portugal reaches € 870 per month on the mainland, marking a significant increase from € 820 in 2024. In the autonomous regions, the figures are slightly higher:

• Madeira: € 913.50
• Azores: € 915

Converting to the Brazilian context, € 870 is approximately R$ 5,584, a value that may seem substantial according to national standards. However, this simple comparison hides a series of important nuances that any worker should consider.

Mandatory Deductions: What Really Remains in Your Wallet

The gross salary is just the starting point. The deductions applied significantly reduce the amount available at the end of the month:

Social Security (11%): This is the most direct deduction, mandatory for all active workers. On € 870, it amounts to € 95.70.

IRS (Income Tax): Applied progressively based on income and family situation, mainly affecting those earning above the minimum wage.

Practical example of net remuneration:

• Gross amount: € 870
• Social Security deduction: € 95.70
• Base net amount: € 774.30

If there is IRS withholding, the available amount decreases further, potentially between € 750 and € 760 depending on the worker’s personal situation.

Cost of Living: The Other Side of the Coin

Portugal is considered the second cheapest country in Western Europe, but this general statistic masks very different realities depending on the location.

Housing Expenses:

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

Food and Essential Services:

• Meal at a mid-range restaurant: € 12
• Gasoline per liter: € 1.69
• Monthly transportation pass: € 35
• Electricity, water, and gas: € 112
• Sports gym: € 34

Estimated monthly cost of living:

• One person: € 1,800
• Family of four: € 3,304

Minimum Wage in Portugal vs Brazil: A Realistic Analysis

The direct comparison between the Portuguese minimum wage (€ 870 / R$ 5,500+) and the Brazilian R$ 1,518( suggests a clear advantage for Portugal. But this conclusion requires contextualization.

What differentiates the two scenarios:

In Portugal, after mandatory deductions, the worker has about € 770. Considering the average cost of € 1,800 per month for one person, the financial margin is limited — rent alone would easily consume 50-60% of the net wage in Lisbon or Porto.

In Brazil, although the nominal salary is lower, the percentage of deductions is often smaller, allowing a larger proportion of the gross amount to be retained. At the same time, certain basic costs — such as electricity and food — are proportionally more affordable.

Comparison conclusion: Portugal pays more in nominal terms, but demands more in daily life. The real benefit depends on the professional sector — skilled workers earn 2 to 4 times more than the minimum, completely changing the financial equation.

Salaries by Profession: When the Minimum Wage Is Just the Base

The minimum wage in Portugal functions as a floor, not a ceiling. Professionals with specific qualifications receive significantly higher amounts:

• Nurses: € 1,200-1,400
• IT technicians: € 1,500-1,800
• Engineers: € 1,600-2,100
• Managers: € 1,800-2,400+

For those with training or experience valued in the European market, the Portuguese salary potential is considerably more attractive than the minimum wage suggests.

Where Is It Possible to Live on the Minimum Wage

The answer is yes, but with important caveats depending on the location:

Large cities )Lisbon, Porto(: Require strict financial planning. Rent consumes most of the wage, leaving limited margin for other expenses.

Medium-sized cities: Offer greater flexibility. Housing costs are substantially lower, allowing for a reasonable quality of life with the minimum wage.

Interior zones: Provide the best match between minimum wage and cost of living, although with fewer employment opportunities.

The Hourly Work Rate

Based on the minimum wage of € 870 and a standard 40-hour workweek )176 hours per month(, the hourly rate is approximately € 4.94 per hour.

Qualified professions reach values of € 8.50 to € 12 per hour, again demonstrating the importance of professional qualification.

Trajectory of Minimum Wage Increase

The Portuguese government has set a policy of gradual appreciation, with scheduled increases until 2026. This trend reflects a commitment to bring Portugal closer to the European average, although the country still maintains one of the most modest wage floors in Western Europe according to Eurostat data.

Final Decision: Is It Worth Moving to Portugal?

The answer is not an absolute yes or no — it depends on your profile:

It’s worth moving if:

• You have a sought-after professional qualification in the Portuguese market
• You have experience in high-demand sectors )technology, health, engineering(
• You seek stability, social security, and quality of life in the medium/long term
• You can live in medium-sized or interior cities

It requires reflection if:

• You can only find jobs at the minimum wage
• You plan to live in Lisbon or Porto on a very tight budget
• You need maximum financial security in the first months

The decision should be based on a comprehensive analysis: your profession’s earning potential, the cost of living in the chosen city, opportunities for professional growth, tax burden, and long-term personal goals. The minimum wage in Portugal is just the starting point of this broader equation.