How much do people really earn working in Portugal: a practical analysis of the minimum wage and cost of living

Many Brazilians dream of moving to Portugal, but the fundamental question remains: is it financially worth it? To answer, you need to go beyond nominal numbers and understand what truly remains in your pocket after deductions, comparing with Brazil’s reality and analyzing the cost of living in the main Portuguese cities.

The Portuguese salary structure in 2025

Portugal implemented a new minimum wage level in 2025: € 870 per month in the mainland. This amount marks an increase from € 820 in the previous year. The autonomous regions have slightly higher levels:

• Madeira: € 913.50
• Azores: € 915

This trajectory of annual adjustments reflects the government’s intention to bring Portugal closer to European average wages, although the country still maintains one of the most conservative minimum wages in Western Europe according to Eurostat statistics.

Conversion to Brazilian standard

Transforming the Portugal 2025 minimum wage into reais, the approximate equivalent is:

€ 870 = R$ 5,584.09

Impressive at first glance, but this value gains context when considering actual expenses.

What really affects your take-home pay: mandatory deductions

The announced salary is not what the worker actually receives. The main deductions are:

Social Security: 11% — mandatory retention for all Portuguese workers

• On € 870 = € 95.70 deducted

Portuguese Income Tax (IRS)( — applies only to earnings above the minimum, but affects those with dependents or specific family situations

) Practical simulation

Considering only Social Security:

• Gross: € 870
• Deduction: € 95.70
• Net: € 774.30

If IRS applies, the available amount decreases further. The reality is that those earning the minimum wage in Portugal have approximately € 770–€ 780 to live on.

Portugal versus Brazil: what changes in practice

A direct comparison between Portugal and Brazil’s minimum wages reveals important nuances:

Remuneration structure:

• Portugal 2025: € 870 gross → € 770 net ###after Social Security(
• Brazil 2025: R$ 1,518 with proportionally smaller deductions, leaving R$ 1,350–R$ 1,400 available

In common currency )reais(:

• Portugal nets ~R$ 4,900–R$ 5,000
• Brazil nets ~R$ 1,350–R$ 1,400

It seems advantageous for Portugal, but the cost of living completely changes this equation.

How much does it cost to live in Portugal: item-by-item analysis

According to updated cost of living data:

A single person: € 1,800/month Family of 4: € 3,304/month

Portugal ranks as the 2nd most affordable country in Western Europe, but its costs still significantly surpass those in Brazil.

) Housing ###largest expense(

In the Lisbon and Porto metropolitan areas:

• T2 )85m²( in a central neighborhood: € 1,518
• T2 in peripheral area: € 1,005
• Peripheral studio: € 729

Medium-sized cities offer values 20–30% lower. The problem: those earning minimum wage in Portugal would need to spend 90–100% of their net income just on rent in Lisbon.

) Food and essentials

• Fast food: € 8
• Set menu ###lunch(: € 12
• Protein )chicken 500g(: € 3.36
• Dairy )cheese 500g(: € 4.90

A couple would spend €200–€300 monthly on food with moderate consumption.

) Transportation

• Gasoline: € 1.69/liter
• Monthly pass ###Lisbon/Porto(: € 35
• Uber/taxi: € 5–€ 8 per ride

) Essential services

• Gym: € 34
• Electricity + water + gas: € 112
• Private medical consultation: € 65
• Internet/phone: € 40–€ 50

Is it feasible to live on the minimum wage in Portugal?

The answer is: it depends a lot on where and how.

In small/medium cities: possible with careful planning, especially if sharing rent.

In Lisbon and Porto: extremely challenging. Rent alone consumes 100%+ of net income.

Qualified professions: change the entire equation. Engineers, programmers, and specialized professionals earn 2–4 times the minimum, making the scenario much more attractive.

Historical evolution of the minimum wage in Portugal

The annual adjustments show the trend:

• 2024: € 820
• 2025: € 870
• Projection until 2026: continued increases

This progression follows a deliberate policy of valorization, but still leaves Portugal among the lowest in Europe.

Hourly wage: what is it worth?

With Portugal’s minimum wage divided by the standard monthly working hours:

• Monthly hours: 176
• Hourly rate: ~€ 4.94
• Equivalent part-time: € 435/month

Qualified professionals can reach €10–€20/hour, significantly increasing purchasing power.

The essentials for decision-making

Migrating to Portugal should not be based solely on comparing Portugal’s minimum wage with Brazilian figures. The smart decision considers:

Before leaving:

• What is the offered salary for your specific profession in Portugal?
• Which city do you plan to live in ###cost varies drastically(?
• Do you have savings for the first 3–6 months?
• Do you have training or experience that adds value to the Portuguese market?

The reality: For those earning exactly the minimum, Portugal offers higher nominal income but requires lifestyle adjustments. For qualified professionals, the opportunity is genuinely better in the medium term.

Moving to Portugal is financially feasible but requires a realistic analysis of your specific case, not generic comparisons with Brazil’s minimum wage.