Is it worth working in Portugal? Analysis of the Portuguese minimum wage and real cost of living

Many Brazilians dream of relocating to Portugal in search of a better quality of life and professional opportunities. But before packing your bags, it’s essential to understand how the remuneration system works in the European country: how much you receive net, what are the mandatory deductions, and whether the money that enters your account truly covers local expenses. In 2025, Portugal has once again adjusted its minimum wage, now at €870 per month on the mainland — a significant increase compared to €820 in 2024. But what does this mean in practice? This article uncovers the numbers behind the decision to migrate to Portugal.

Portugal’s minimum wage in 2025: numbers and reality

The minimum wage in Portugal reached €870/month on the mainland in 2025, maintaining a progressive annual increase that the government has implemented as a policy to valorize work. In autonomous regions, the values are slightly higher:

• Madeira: €913.50
• Azores: €915

Converting to Brazilian reais, this amount is approximately R$5,584, a figure that seems substantial compared to the Brazilian minimum wage of R$1,518 in 2025. However, this appearance of abundance disappears when considering the realities of the Portuguese market: Portugal remains among the countries with the lowest minimum wages within the European Union, according to Eurostat data.

What’s left in the paycheck: deductions and net salary

Earning €870 doesn’t mean spending €870. The Portuguese worker faces mandatory deductions that significantly reduce disposable income:

Main deductions:

Social Security deducts 11% of every worker’s salary — this amounts to €95.70 monthly for those earning the minimum. Additionally, there is the (Portuguese Income Tax) (IRS), applied progressively based on income, family situation, and dependents.

Practical calculation example:

• Gross salary: €870
• Social Security deduction (-11%): €95.70
• Salary before IRS: €774.30
• With an average IRS withholding: an additional reduction of €30 to €50

Result: the effective net salary hovers around €720 to €750 — quite different from the initial announced amount.

Direct comparison: Portugal versus Brazil for the Brazilian worker

While the Portuguese minimum wage is €870, the Brazilian earns R$1,518. This nominal difference of over 3.5 times initially seems decisive. However, the analysis reverses when examining disposable income after deductions:

In Portugal, after 11% Social Security and estimated IRS, the worker is left with approximately €770 net. In Brazil, deductions are proportionally smaller, and those earning the minimum usually retain a higher percentage of their gross in their paycheck.

The real difference isn’t just in the nominal salary but in the contextualized purchasing power: Portugal charges more to live but also offers access to services and social security that Brazil does not provide at the same level.

How much does it cost to live in Portugal in 2025?

Monthly expenses vary drastically depending on location and lifestyle:

**For a single person (basic expenses): €1,800/month
For a family of 4: €3,304/month

Portugal ranks as the second cheapest country to live in Western Europe — an important differential compared to neighbors like France and Switzerland.

Breakdown of actual expenses:

Food in Portugal is relatively affordable: a quick meal costs €8, a set menu in a popular restaurant €12. (500g of chicken) costs €3.36 and (500g of cheese) €4.90 — moderate prices compared to other European economies.

Housing is the main challenge in major cities. A T2 apartment (85m²) in a prime area of Lisbon or Porto costs around €1,518/month. In common neighborhoods, it drops to €1,005. Studios in less sought-after zones are around €729.

Public transportation is efficient and inexpensive: a monthly pass costs €35. Gasoline is €1.69/liter. Utilities (electricity, water, gas combined) total about €112. Gym membership: €34. Private medical consultation: €65.

Is it realistic to live on minimum wage in Portugal?

Technically yes, but with important caveats. Those earning only the minimum wage and living in Lisbon or Porto (where rent alone consumes 50-60% of income) face significant budget constraints. The solution involves: choosing medium-sized cities (Covilhã, Viseu, Castelo Branco), living austerely, or — most realistically — seeking rapid professional advancement.

In smaller centers, where a T1 rent costs €500-€700, the scenario changes. A worker with minimum wage can live comfortably if managing finances well.

The decisive factor: professional qualification

Here lies the major differential for Brazilians considering the move. Professionals with education, language skills, and experience earn considerably above the minimum in Portugal. An engineer, developer, manager, or health specialist can earn €1,500 to €2,500+ monthly — completely changing the financial equation.

Compared to Brazil, where qualified professionals also earn well but face higher inflation and less security, Portugal offers greater stability in the medium term for those with skills valued in the European market.

The verdict: when does Portugal make sense

Immigrating to Portugal is worthwhile when: you have professional qualifications in demand locally; seek security, quality of life, and institutional stability; can settle in a medium-sized city (reducing costs); have plans for salary progression; or want to balance work and quality of life — something Portugal offers comparatively well.

It doesn’t make sense if: you plan to live only on minimum wage indefinitely; don’t speak Portuguese or English fluently; or expect to have the same purchasing power as in Brazil — European living costs are more rigorous.

The decision requires honest analysis: review demand for your profession in Portugal, research specific cities (not just Lisbon/Porto), project realistic earnings, and calculate how much will be left after all expenses. With serious planning, Portugal can be a significant step up in quality of life — but only if planned, never impulsively.