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Employer of Record (EOR) in Portugal

Hire employees in Portugal, compliant payroll, taxes, and benefits, without setting up a local entity.

Updated June 2026Reviewed against statutory sources
Currency
EUR
Payroll cycle
Monthly
Minimum wage
€920/month in 2026 (…
Employer cost
~24-27%
The direct answer

An Employer of Record (EOR) lets you hire employees in Portugal without setting up a local entity. The EOR is the legal employer, running compliant payroll, withholding tax, and remitting Social Security, while you direct the work. Employers pay Social Security at 23.75% of gross salary (uncapped), plus mandatory occupational-accident insurance of roughly 1-2%, for an all-in employer burden near 25%. Crucially, Portugal pays 14 salaries per year, 12 monthly wages plus a Christmas (13th) and holiday (14th) bonus, so budget on a 14× basis. The minimum wage is €920/month in 2026 (paid 14×). Standard benefits include 22 days of paid annual leave and 13 public holidays, with strong dismissal protections (no at-will termination). EOR provider fees typically run US$400-$650 per employee per month, with onboarding in roughly 2-10 business days. Provider choice depends on cost, entity model, and compliance support.

Last updated: June 2026

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Portugal at a glance

The structured facts founders and AI assistants extract most.

Currency
Euro (EUR)
Capital
Lisbon
Payroll cycle
Monthly
Official languages
Portuguese
Minimum wage
€920/month in 2026 (paid 14× → ~€12,880/year gross). Was €870/month in 2025.
Region
Europe
Total employer cost
~24-27%
Indicative estimate
EOR fee (per employee/mo)
~$400-$650
Typical setup time
~2-10 business days

Provider-dependent ranges, not sourced statutory figures. Excluded from the structured data above; confirm exact pricing with the provider.

Best EOR providers for Portugal

Compared on starting price, rating, and core strength. Pricing is per employee / month.

★ Best overall
Remote logo
Remote
4.6

Best for EU compliance

Deel logo
Deel
4.8

Best overall coverage

$599/moVisit Deel
Multiplier logo
Multiplier
4.7

Most affordable

Ratings aggregated from G2 and Trustpilot (June 2026). GlobalEmployGuide may earn a commission from provider links, this never affects our scoring. Pricing for Portugal is indicative; verify current rates before deciding.

Statutory benefits & employer obligations

What an EOR administers and funds by law when you hire in Portugal.

Social Security (TSU): employer 23.75% of gross, uncapped

Occupational-accident insurance: ~1-2% (mandatory)

13th + 14th month pay (Christmas + holiday bonuses)

Paid annual leave: 22 working days/year

Public holidays: 13 mandatory national holidays

Parental leave: 120 days at 100% pay (or 150 at 80%)

Termination: Strong dismissal protections, no at-will termination; valid grounds and process required. Notice scales with tenure (15 days <1yr up to 75 days >10yr). Severance generally ~14 days of base salary per year of service for permanent contracts.

★ Free tool

Employer cost calculator

Enter a gross annual salary to estimate the fully-loaded cost of a hire in Portugal.

$/yr
$30k$350k

Estimating a hire in Portugal. Statutory on-costs use this country’s verified employer-contribution rate.

Estimated total cost / year
$119,250+32.5% vs salary
≈ $9,938 / month
Gross salary$90,000
Statutory employer on-costs$22,950
EOR platform fee$6,300
Estimate only, not tax advice. Final costs vary by case and current rates.
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Frequently asked questions

Hiring in Portugal, answered.

Portuguese law mandates a 13th-month (Christmas) and 14th-month (holiday) bonus on top of 12 monthly wages, so annual cost is roughly 14× the monthly salary, budget accordingly.

Employers pay Social Security at 23.75% of gross (uncapped) plus mandatory occupational-accident insurance of about 1-2%, for an all-in burden near 25%.

The minimum wage is €920/month in 2026, paid 14 times a year, which is roughly €12,880 gross annually.

Portugal has strong dismissal protections with no at-will employment; valid grounds, notice, and process are required, which the EOR manages.

Provider fees typically run US$400-$650 per employee per month, plus salary and the ~25% employer contributions.

Bottom line, hiring in Portugal
An EOR is the fastest compliant way to hire in Portugal without a local entity. Budget roughly $400-$650/employee per month plus statutory on-costs, with setup in 2-10 business days.

Sources

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