Living in Portugal in 2025: Discover Portugal's Minimum Wage and the Real Purchasing Power

Many Brazilians dream of moving to Portugal, but before making this crucial decision, it is essential to understand the country’s actual financial landscape. The minimum wage in Portugal is highlighted in 2025, with a new announced value that deserves detailed analysis. This article dissects not only the gross numbers but also what you actually take home after deductions, how expenses are distributed, and whether it is truly worth making this transition.

The Cost of Living Scenario: The Determining Factor

Before focusing solely on the salary, it is essential to understand where this money goes. According to data from Expatistan, a person living alone in Portugal spends approximately € 1,800 per month, while a family of 4 needs around € 3,304 monthly.

These numbers position Portugal as the 2nd cheapest country in Western Europe, but it is still considerably more expensive than most Brazilian cities. The main budget killers include:

• Housing: a T2 apartment (85m²) in upscale neighborhoods of Lisbon or Porto costs around € 1,518, while in less central areas the price drops to € 1,005
• Food: a set menu varies between € 10-12, 500g of chicken costs € 3.36, and imported cheese costs € 4.90
• Utilities: electricity, water, and gas together cost approximately € 112 monthly
• Transport: a monthly pass allows unlimited travel for about € 35

The Minimum Wage in Portugal in 2025: Numbers and Realities

In 2025, the minimum wage in Portugal on the mainland reached € 870 per month, marking a significant increase from € 820 the previous year. In the autonomous regions, the values are slightly higher:

• Madeira: € 913.50 monthly
• Azores: € 915 monthly

Converting to Brazilian reais, this amount corresponds to approximately R$ 5,584, which may seem attractive at first glance. However, this direct conversion is misleading when we do not consider the entire Portuguese tax structure.

Deductions: What Really Comes Out of Your Pocket

Here is the critical point: not everything that appears as salary actually reaches your account. The main deductions are:

Social Security (11%) — This is the most significant and mandatory deduction for all workers. On a salary of € 870, it represents € 95.70 monthly.

IRS (Portuguese Income Tax) — Varies according to your family situation, dependents, and income bracket. For those earning only the minimum, it is usually lower, but it still exists.

Practical receipt simulation:

• Gross salary: € 870
• Social Security deduction (-11%): -€ 95.70
• Salary after SS: € 774.30
• With IRS withholding (varies): approximately € 750-770

This means that the worker earning the minimum wage in Portugal actually takes home about € 770 to € 780, not € 870.

Comparison with Brazil: The Deceptive Mirror

To contextualize, in 2025 Brazil maintains its minimum wage at R$ 1,518. When converting the Portuguese floor to reais (€ 870 ≈ R$ 5,500-5,600), it seems there is a clear advantage of more than three times.

However, the reality is more nuanced:

• A Brazilian worker earning R$ 1,518 generally retains a larger proportion of the gross salary in their expenses, especially if living in smaller cities
• The cost of living in Portugal (especially rent and food) consumes a higher percentage of income
• After mandatory deductions, the real purchasing power between a Portuguese minimum wage earner and a Brazilian worker may be closer than the numbers suggest

The big difference arises when considering professional growth: qualified careers in Portugal earn substantially more, while in Brazil salary growth is often slower.

Work Hours Distribution and Extra Income Opportunities

With a standard monthly workweek of 176 hours, the minimum wage in Portugal translates to approximately € 4.94 per hour. For part-time work, we are talking about around € 435 monthly.

This hourly structure offers opportunities for freelancers or professionals who combine multiple jobs, potentially increasing income significantly through overtime or additional projects.

Variations by Profession and Specialization

The sector of activity makes a huge difference. Professionals in areas such as technology, engineering, health, and finance earn between 2 to 4 times the minimum wage in Portugal. For example, a software developer can earn € 2,000-3,000, while a specialized nurse can reach € 1,500-2,000.

This discrepancy is crucial for the migration decision: if you have a valued professional qualification in the European market, Portugal offers a much more attractive scenario.

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

The answer is: it depends a lot. Financial viability in Portugal with the minimum wage depends on:

1. Location: in cities like Braga or Covilhã, €770 net income may be sufficient with careful management. In Lisbon or Porto, it would be extremely tight.

2. Lifestyle: sharing accommodation drastically reduces costs. Living alone with the minimum in urban centers is practically unsustainable.

3. Family situation: having dependents or financial responsibilities significantly complicates the scenario.

4. Access to benefits: family allowances, housing subsidies, or other government aid can improve the situation.

For most Brazilians earning only the minimum wage in Portugal, the move would be a financial setback. The real opportunity lies in professions that pay above this range.

The Trajectory of Government Adjustments

The Portuguese government has been implementing gradual increases in the minimum wage as part of its European convergence strategy. The increase from € 820 (2024) to € 870 (2025) represents a 6.1% rise. These adjustments are expected to continue until 2026, signaling political commitment to worker appreciation.

Still, Portugal remains among the European countries with the lowest minimum wages, behind nations like Spain, Italy, and significantly below Germany or the UK.

Conclusion: Beyond the Numbers

The decision to migrate to Portugal should not be based solely on the minimum wage in Portugal. The country offers intangible benefits such as quality of life, an efficient public healthcare system, pleasant climate, and welcoming communities. Financially, however, it is essential to be realistic:

• If you work in a qualified profession, Portugal is highly attractive
• If only the minimum wage is available, consider smaller cities and shared housing
• Pre-planning your finances is absolutely essential
• Simplistic comparisons between gross values are misleading — what matters is the real purchasing power after deductions and living costs

Portugal can be an excellent choice, but only with expectations aligned with the Portuguese labor market’s financial reality in 2025.