What is the Minimum Wage in Portugal in 2025 and Is It Really Worth It?

For those considering a move to Portugal, one of the first questions is always the same: what is the minimum wage in Portugal and how much is left at the end of the month? In 2025, the amount reached € 870 per month on the mainland, representing a significant increase compared to € 820 in 2024. In the autonomous islands, the numbers are slightly higher: Madeira offers € 913.50 and Azores € 915.

Converting to Brazilian reais offers an interesting initial perspective: approximately R$ 5,584, a value that may seem attractive at first glance. However, this nominal comparison masks the financial reality you will face daily. What really matters is not the number in reais, but how much of that money you can save after paying essential expenses.

The Deductions That Reduce Your Salary: Understand the Actual Deduction

Here is the critical point that many ignore: gross salary is not what you receive. 11% mandatory deduction goes to Social Security, a universal contribution system that operates regardless of your situation.

Using concrete numbers: from a minimum wage of € 870, you lose € 95.70 just with this deduction, leaving you with € 774.30. If there is still income tax withholding (Portuguese Income Tax), depending on your declaration and dependents, the net amount can decrease even further.

Compared to Brazil, where mandatory deductions are usually smaller on the minimum wage, the difference in tax burden is noticeable. In Portugal, you proportionally lose more of your gross salary.

The Cost of Living: Where Your Money Really Goes

Portugal is considered the 2nd cheapest country in Western Europe, a fact often used as an argument to justify moves. But “cheaper than other Europeans” does not mean “cheap in absolute terms.”

Housing consumes the largest part of the budget in big cities. A T2 apartment of 85m² in a prime area of Lisbon or Porto costs around € 1,518. In more peripheral areas, the amount drops to € 1,005. A studio in a common zone costs € 729. For those earning the minimum wage, this is an expense that leaves little room for other needs.

Food and meals vary depending on the location. A basic fast food costs € 8, while an executive menu in a restaurant averages € 12. Proteins like (500g chicken) are at € 3.36, cheese (500g) at € 4.90. A family needs approximately € 400-500 monthly just for food, depending on habits.

Fixed monthly expenses include: Gym (€ 34), Electricity + water + gas (€ 112), Public transport via monthly pass (€ 35). A private medical consultation costs € 65.

For a person living alone, the estimated monthly cost is around € 1,800. A family of four needs approximately € 3,304.

What Is the Real Value of the Hourly Wage?

With a minimum wage of € 870 and a standard workweek of 176 hours per month, you earn approximately € 4.94 per hour of work. Qualified professionals can earn two, three, or even four times more in the same range.

This completely changes the equation: someone with technical training or international experience can earn € 10-20 per hour, which offers a very different financial margin than someone relying on the minimum wage.

Portugal vs Brazil: The Reality of Salary Comparison

In 2025, the Portuguese minimum wage of € 870 contrasts with the Brazilian of R$ 1,518. Converted, Portugal pays more than 3x the amount. But this comparison is misleading when considering the full context.

A Portuguese worker earning the minimum wage has about € 770 after mandatory deductions. A Brazilian earning the minimum wage has proportionally smaller deductions, retaining a larger percentage of the gross amount.

When you deduct the cost of living — rent, food, transportation, services — the disposable income of both countries is closer than the nominal numbers suggest. The difference is that in Portugal there is more social security, a functioning public health system, and better urban infrastructure. In Brazil, many basic costs are proportionally more affordable in smaller cities.

In Which Cities Is It Possible to Live on This Salary?

Yes, it is theoretically possible to live on the minimum wage in Portugal, but with important caveats:

Lisbon and Porto require strict financial control. Rent consumes 60-70% of net income. This leaves € 230-310 for food, transportation, health, and leisure. It is feasible but without room for unforeseen expenses or savings.

Medium-sized cities (Covilhã, Guarda, Castelo Branco) offer more breathing space. Rent drops to € 500-700, giving you greater budget flexibility.

The Algarve region offers a middle ground: moderate cost of living and seasonal opportunities for additional work.

Who Really Benefits from Moving?

The decision should not be based solely on comparing numbers. It should consider:

  • Your specific profession and demand in the Portuguese market
  • The city where you plan to live (do not generalize from Lisbon)
  • Your education level and experience
  • Whether you have dependents or financial obligations
  • Your goal: earn more in reais or improve your quality of life?

For qualified professionals, architects, engineers, programmers, and specialists in specific sectors, Portugal offers salaries significantly higher than the Brazilian average, making the move more profitable. For those relying on the minimum wage, the experience is more restrictive, requiring careful choice of location and lifestyle.

Conclusion: More Numbers, Same Question

Portugal continues to attract Brazilians, and the reason goes beyond the minimum wage. The country offers institutional stability, a quality public health system, free education for children (benefit not measurable in numerical comparisons), and safety. These factors have value that does not appear in any spreadsheet.

Still, those earning only the minimum wage will face real challenges. The best approach is to analyze your specific situation: what is your potential salary in your field, which city would you choose, what is your lifestyle. Portugal works for those who plan carefully, not for those who decide solely based on the numbers they see online.

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This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
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