Is working in Portugal worth it? A real analysis of the minimum wage and living costs in 2025

Thousands of Brazilians dream of moving to Portugal, but the big question remains: how much really stays in your pocket at the end of the month? To answer that, it’s necessary to understand not only how much you earn but mainly how much you spend. In 2025, the Portuguese minimum wage reached €870 per month on the mainland, but what few analyze is the brutal difference between gross salary and net salary — and how this behaves in the face of the real cost of living in Portuguese cities.

The 2025 scenario: how Portugal actually pays

The minimum wage in Portugal was adjusted again in 2025, rising from €820 to €870 per month on the mainland. For those calculating in reais, this is approximately R$ 5,584, a figure that impresses at first glance. However, this is not the full story.

In the islands, the values are slightly higher:

• Madeira: €913.50
• Azores: €915

This annual progression is part of a government strategy to align with the European average, although Portugal still remains among the countries with the lowest salary levels in Western Europe according to Eurostat data.

Invisible deductions: what really comes out of your account

Here’s the critical point that many ignore: the €870 salary does not arrive cleanly in the worker’s hands. Two main deductions are applied:

Social Security: 11% mandatory for all employees
IRS (Income Tax): applied only above certain thresholds, varies depending on dependents and family situation

In practice, someone earning the minimum wage faces this scenario:

• Gross salary: €870
• Social Security deduction (11%): €95.70
• Approximate net salary without IRS: €774.30

In other words, even before paying rent or buying food, nearly 11% of the nominal amount is lost. This means that the “€870 salary” becomes something close to €775 in reality.

How much does it really cost to live in Portugal?

The cost of living in Portugal is often underestimated. According to Expatistan data, the country offers more competitive prices than many European countries but remains significantly above Brazil:

For a single person: €1,800/month
For a family of 4: €3,304/month

Discrimination of monthly expenses

Food and meals:

• Fast food: €8
• Set menu at a restaurant: €12
• Chicken (500g): €3.36
• Regional cheese (500g): €4.90

Housing (this is the biggest weight):

• T2 apartment (85m²) in a central neighborhood: €1,518
• T2 apartment in a common area: €1,005
• Studio in a peripheral region: €729

Transport:

• Gasoline: €1.69/liter
• Monthly transport pass: €35

Utilities and services:

• Electricity + water + gas: €112
• Gym membership: €34
• Private medical consultation: €65

The practical scenario: living on minimum wage in Portugal

Let’s suppose a worker earns exactly the minimum wage of €870:

• Disposable income after deductions: €774
• Rent in a common area: €729
• Remaining for everything else: €45

This calculation reveals the reality: living only on the minimum wage in cities like Lisbon and Porto becomes practically unsustainable. In smaller cities, the dynamics change but still require careful planning.

For the move to make financial sense, it’s crucial that the professional secures a position that exceeds the minimum wage significantly.

How much is a work hour worth in Portugal?

With a standard 40-hour workweek (176 hours per month), the hourly rate for someone earning the minimum is:

€4.94 per hour (or approximately €2.47 for part-time)

Qualified professionals earn between two and four times more per hour, justifying investments in training and experience.

Direct comparison: Portugal vs Brazil

Although the Portuguese minimum wage (€870 ≈ R$ 5,600) is more than three times the Brazilian (R$ 1,518), this numerical advantage disappears when analyzing real purchasing power:

In Portugal: The worker with the minimum wage nets €774 and faces rent of €700+
In Brazil: The worker with the minimum wage nets R$ 1,400+ and can find rent for R$ 500-800 in smaller cities

In terms of disposable income after essential expenses, the difference is less dramatic than it seems. However, for qualified professionals, Portugal offers a real advantage: salaries in specialized fields can be 50-100% higher than the minimum, creating genuine opportunities for accumulation.

Who should consider moving to Portugal

Migration to Portugal is justified in some specific scenarios:

• Professionals with demand in the European market: IT, health, engineering, education
• Workers with specialized experience: who can negotiate above the minimum
• Those seeking quality of life and stability: beyond pure financial gain
• Career transition professionals: who use Portugal as a European stepping stone

For those only earning the minimum wage, the calculation is more complex: life is possible but with significant restrictions.

Conclusion: a decision beyond the numbers

The minimum wage in Portugal in 2025 shows that comparing only nominal values is naive. What really matters is:

1. The net salary available after mandatory deductions
2. The specific cost of living in the city where you will work
3. The actual salary potential for your profession
4. Non-monetary benefits (health, education, security)

For those considering the move, the recommendation is to specifically calculate the expected salary in your profession, research the exact rent in the chosen city, and simulate a realistic monthly budget. Portugal can be an excellent choice — as long as the decision is based on concrete data, not internet conversations.