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Employer of record in Portugal

33 sourced figures on hiring in Portugal, drawn from 11 sources and normalized for comparison: statutory rules, employer cost and exactly what an EOR covers locally. Every figure is dated.

ISO PTRegion EuropeCurrency EURVerified 2026-08-30

Hiring here: moderately complex, on the pricier side, and fast to hire via EOR.

cost of employment
HIGH
39.34% total tax wedge, 30.5% corporate tax
ease of exit
MODERATE
moderate worker protection (2.87 / 6)
speed to hire
DAYS
45 EOR providers, from $179/mo
Employer burden rank
statutory employer burden: cost, severance, notice
#16 of 192
Each band is derived from the 33 sourced fields below and recomputed on every refresh. See the methodology.
Statutory snapshot

Employer of record in Portugal: the statutory snapshot

The headline employer costs, pay floor and worker protections for hiring in Portugal through an employer of record, each figure sourced and dated. 45 EOR providers cover Portugal.

Minimum wageEUR 920/moNational government, 2026-01-01
Employer social security23.75%OECD
Total tax wedge39.34%OECD
Corporate tax30.5%OECD
Average income tax13.93%OECD
Notice period7.9 weeksWorld Bank Employing Workers / B-READY, 2019-05-01
Severance9.1 weeksWorld Bank Employing Workers / B-READY, 2019-05-01
Annual leave22 daysPerplexity (AI gap-fill), 2026-01-01

As of 2026-08-30. Each value is the winning figure from primary and harmonized sources, resolved by a documented priority chain. Full record with provenance below.

Reading the data

What the figures say about Portugal

Employers in Portugal pay a statutory minimum wage of EUR 920 per month, against an average monthly wage of EUR 1,262, giving a clear floor-to-market spread for budgeting. On top of gross salary, employers contribute 23.75% in social security, employees contribute 11%, and the total tax wedge reaches 39.34%, with a corporate tax rate of 30.5% and a top personal income tax rate of 48%. A mandatory 13th-month salary payment adds to annual payroll costs, with payroll running on a monthly cycle. Exit costs are material: statutory severance stands at 9.1 weeks and the statutory notice period at 7.9 weeks, on an employment protection index of 2.87 out of 6. Employees are entitled to 22 days of statutory annual leave plus 13 public holidays, 6 weeks of maternity leave, 4 weeks of paternity leave, and 24.1 weeks of parental leave. Collective bargaining coverage is high at 83.3%, meaning most employment relationships are shaped by sector-level agreements even where union density sits at just 13.9%.

Written from the 32 sourced figures on this page and regenerated whenever the data changes. Last generated 2026-08-03. How our data works is on the methodology page.

Where to start

Three ways to hire in Portugal

Own entity

You are the employer. Lowest per head cost at scale, months to establish.

Best for large, permanent headcount.
EORfastest

You direct the work, the provider's local entity is the employer on paper. Compliant in days.

See the 45 providers below โ†“
Best for 1 to 50 hires, for speed, or to test a market.
Contractor

Not your employee. Fastest and cheapest, with misclassification exposure.

Best for genuinely independent, short term work.
Compare entity setup cost against EOR fees for Portugal โ†’

The full record

Every figure behind the snapshot

Not a guide, a record: 33 figures for Portugal from 11 sources, last refreshed 2026-08-30. Each value carries its source and the date it was pulled. Hover any provenance tag for the full chain.

employment & pay8 fields
Minimum wage
EUR 920/mo
National government ยท 2026-01
Average monthly wage
EUR 1,262/mo
ILOSTAT ยท 2025-01
Average wage
$40,002/yr
OECD ยท 2024-01
13th salary
Mandatory
Perplexity (AI gap-fill) ยท 2026-01
Payroll cycle
Monthly
Perplexity (AI gap-fill) ยท 2026-01
Hours worked
1,716 hrs/yr
OECD ยท 2024-01
Statutory weekly hours
40 hrs/wk
Statutory working time (national labour law) ยท 2024-01
Actual weekly hours
37 hrs/wk
ILOSTAT ยท 2025-01
cost & taxes7 fields
Employer social security
23.75%
OECD ยท 2025-01
Employee social security
11%
OECD ยท 2025-01
Total tax wedge
39.34%
OECD ยท 2025-01
Corporate tax
30.5%
OECD ยท 2025-01
Average income tax
13.93%
OECD ยท 2025-01
Top income tax rate
48%
PwC Worldwide Tax Summaries ยท 2026-07
VAT / GST
23%
PwC Worldwide Tax Summaries ยท 2026-07
termination5 fields
Protection (EPL overall)
2.87 / 6
OECD ยท 2019-01
Protection (regular contracts)
2.85 / 6
OECD ยท 2019-01
Protection (temporary contracts)
2.29 / 6
OECD ยท 2019-01
Severance
9.1 weeks
World Bank Employing Workers / B-READY ยท 2019-05
Notice period
7.9 weeks
World Bank Employing Workers / B-READY ยท 2019-05
leave5 fields
Maternity leave
6 weeks
OECD Family Database ยท 2024-01
Paternity leave
4 weeks
Perplexity (AI gap-fill) ยท 2026-01
Parental leave
24.1 weeks
OECD Family Database ยท 2024-01
Annual leave
22 days
Perplexity (AI gap-fill) ยท 2026-01
Public holidays
13 days
Perplexity (AI gap-fill) ยท 2026-01
labour market8 fields
Unemployment
6%
OECD ยท 2025-01
Inflation
2.34%
World Bank Open Data ยท 2025-01
GDP per capita
$32,082
World Bank Open Data ยท 2025-01
GNI per capita
$29,930
World Bank Open Data ยท 2025-01
Labour force
5.5M people
World Bank Open Data ยท 2025-01
Collective bargaining coverage
83.3%
OECD/AIAS ICTWSS ยท 2023-01
Union density
13.9%
OECD/AIAS ICTWSS ยท 2020-01
Retirement age
65.3 yrs
OECD Pensions at a Glance ยท 2024-01
Salary by occupation

Average monthly earnings in Portugal by occupation (2025)

Gross monthly earnings of employees per ISCO-08 major occupation group, in EUR โ€” the official ILOSTAT survey figures, not estimates. Use them to sanity-check an offer before an EOR quote turns it into total employer cost.

Occupation groupMonthly (EUR)โ‰ˆ USD
All occupations1,262$1,426
Managers ยท ISCO 11,932$2,183
Professionals ยท ISCO 21,703$1,924
Technicians and associate professionals ยท ISCO 31,350$1,525
Clerical support workers ยท ISCO 41,068$1,206
Service and sales workers ยท ISCO 5975$1,102
Skilled agricultural, forestry and fishery workers ยท ISCO 6930$1,051
Craft and related trades workers ยท ISCO 71,054$1,192
Plant and machine operators and assemblers ยท ISCO 81,105$1,248
Elementary occupations ยท ISCO 9790$892

Source: ILOSTAT (EAR_EMTA, employees, both sexes), reference year 2025. Survey earnings differ from statutory minimums above.

Take-home estimate

What the average salary takes home in Portugal

The employee keeps an estimated 75% of gross at the average wage. For an employer, this is the gap between the offer you quote and what your hire actually receives.

Average gross monthly earnings (2025)EUR 1,262
Employee social contributions (11.0%)โˆ’ EUR 139
Income tax (avg. effective 13.9%)โˆ’ EUR 176
Estimated monthly take-homeEUR 948

Illustration at the ILOSTAT average wage using statutory rates (OECD; OECD) applied to gross pay. Individual allowances, deductions and regional rates vary โ€” not tax advice.

// recent updates

What changed in Portugal

Figures refreshed as newer, more current sources replaced older ones

  1. Minimum wageJan 1, 2026

    Now EUR 920/mo, from EUR 1,015/mo. Source: National government (was OECD).

    Source โ†’

Every figure is sourced and dated. How we verify the data โ†’

The differentiator

What an EOR handles in Portugal

An EOR removes the entity and the payroll machinery. It does not remove your obligations as the people manager.

obligationeor coverswhat that means for you
Legal employer of recordโ— fullThe EOR's local entity is the employer on paper. No entity setup required.
Payroll, tax & social securityโ— fullGross-to-net, statutory withholding and employer contributions remitted locally. Employer social security here is 23.75% and a 13th salary is mandatory.
Compliant local contractโ— fullDrafted to local labour law and language requirements. Here statutory notice is 7.9 weeks and the wage floor is EUR 920/mo.
Statutory leave & public holidaysโ— fullAccrual, tracking and payment run through the local payroll the EOR operates. 22 days annual leave, 13 public holidays and 6 weeks maternity leave.
Statutory severance on exitโ— partialThe EOR computes and processes it, but the cost is billed to you (often pre-funded). Statutory severance here is 9.1 weeks.
Termination decision & riskโ— partialThe EOR runs the legal process; the business reason, timing and exposure stay yours. Worker protection here scores 2.87 / 6 on the OECD index.
Work permits / visas (foreigners)โ— partialSome providers sponsor, many don't. Confirm per provider in the table below.
Performance managementโ— noneDay-to-day direction, reviews and PIPs are entirely on your side.
Equity / ESOP administrationโ— noneCross-border equity handling sits outside standard EOR scope.

Provider ร— country

Who can employ in Portugal

44 providers operate an EOR in Portugal, ranked by Select Score.

providerfrom / moselect score
Multiplier logoMultiplierSELECT PICKfrom $45981
RemoFirst logoRemoFirstfrom $19979
Payoneer Workforce Management logoPayoneer Workforce Managementfrom $19978
Remote logoRemotefrom $69977
Pebl (formerly Velocity Global) logoPebl (formerly Velocity Global)Quote75
Remote People logoRemote Peoplefrom $19975
Globalization Partners logoGlobalization PartnersQuote74
Rivermate logoRivermatefrom $31974
Show all 44 providers โ†“
Deel logoDeelfrom $59974
Borderless AI logoBorderless AIfrom $57971
Playroll logoPlayrollfrom $39971
Papaya Global logoPapaya Globalfrom $49969
Native Teams logoNative Teamsfrom $9969
Oyster logoOysterfrom $69968
Rippling logoRipplingQuote68
Thera logoTheraQuote67
Lano logoLanofrom $49965
Asanify logoAsanifyQuote65
Teamed logoTeamedfrom $59963
Atlas HXM logoAtlas HXMfrom $59961
Foxhire logoFoxhireQuote61
GoGlobal logoGoGlobalQuote60
Dhi ADT logoDhi ADTfrom $44960
Aspirock logoAspirockQuote59
WTS Energy logoWTS EnergyQuote59
Agility EOR logoAgility EORfrom $59959
HSP logoHSPQuote59
Mercans logoMercansQuote59
Justworks logoJustworksQuote58
Agile HRO logoAgile HROfrom $59958
Nathan HR logoNathan HRQuote57
EuroDev logoEuroDevQuote57
BRIDGE IN logoBRIDGE INQuote57
Gusto logoGustoQuote52
44 providers operate an EOR in Portugal, ranked by Select Score. Price is each providerโ€™s lowest published EOR rate (global, not country-specific).
See the ranked best EOR in Portugal โ†’
Scored by the EOR Select rating systemSee the methodology โ†’Built and maintained by Robbin SchuchmannUpdated 2026-08-30

Comparing EOR options for Portugal?

Run a side-by-side on the providers that actually operate there.

Open the matrixโ†’