Portugal Payroll & HR Glossary
Clear definitions of the payroll and human resources terms in Portugal, from IRS and Social Security to the holiday and Christmas subsidies and the minimum wage.
IRS
The Imposto sobre o Rendimento das Pessoas Singulares (personal income tax), withheld at source by the employer from each salary payment.
Segurança Social
The public system that funds pensions and benefits; the worker contributes 11% of salary and the employer 23.75%.
Subsídio de férias
An additional payment, equal to one month's pay, made annually before the holidays.
Subsídio de Natal
An extra payment equal to one month's pay, made by December 15.
Salário mínimo (RMMG)
The Retribuição Mínima Mensal Garantida: the statutory minimum base salary, updated annually.
Duodécimos
Payment of the holiday and Christmas subsidies in monthly portions (1/12) instead of in full.
Retenção na fonte
The IRS deducted monthly by the employer, on account of the worker's annual tax.
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