Social Security Conventions and Agreements
Employees working temporarily in Portugal, who are nationals of a country with which Portugal has signed a Social Security Convention, may be exempt from contributions.
(1) This period may be extended, taking into consideration the provisions of the applicable agreement.
(2) Applicable to Switzerland, Lichtenstein, Norway and Iceland.
(3) The Convention only be effective between those States when the Implementing Agreement enters into force for those States.
(4) These conventions are not yet in force.
(5) This Convention is only in force in Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, El Salvador, Spain, Paraguay, Peru, Uruguay and Portugal.
The contents presented are of a general and purely informative nature, not intended for any particular entity or situation, and do not replace obtaining appropriate professional advice for specific cases. PwC makes every effort to keep the 2025 Tax Guide updated; however, it cannot guarantee its up-to-date status at all times.
© 2025 PwC. This communication is of an informative nature and intended for general purposes only. It does not address any particular person or entity nor does it relate to any specific situation or circumstance. PricewaterhouseCoopers Tax Services TLS, Lda. We will not accept any responsibility arising from reliance on information hereby transmitted, which is not intended to be a substitute for specific professional business advice.
Social Security regimes
Description
Employee
Company
Employees
11%
23.75%
Students in school holidays
–
26.1%
Disabled people with undetermined term labour contract (1)
11%
11.90%
Very long-lasting unemployment
11%
(2)
First employment and long-lasting unemployment
11%
(3)
Employees in early-retirement period, whose agreement foresees:
1) Suspension of the performance of work
2) Reduction of the performance of work
18.30%
8.60%
Rate determined at the time of the early-retirement applies
Pensioners performing work:
1) Old Age
- Performing public functions
- No public functions performed
2) Invalidity
- Performing public functions
- No public functions performed
7.80%
7.50%
9.20%
8.90%
17.50%
16.40%
20.40%
19.30%
Statutory board members (4)
9.3% / 11%
20.3% / 23.75%
Self-employed
21.4% / 25.2% (5)
7% / 10% (6)
Short term assignment:
To other countries
To Portugal
(7)
(8)
–
–
(1) Ability to work is less than 80%.
(2) Exemption for a period of 3 years.
(3) 50% temporary reduction on the contribution owed by employers, for a maximum period of 5 years (in case of young people looking for a first job) or 3 years (hiring of long-term unemployed people), under certain conditions and requirements.
(4) Minimum cap of one Social Support Index (amounting to € 522,50 in 2025). Board members performing management or administration functions are entitled to protection in the event of unemployment. The applicable rates are 34.75% - 23.75% to the employer and 11% to the employee. A rate of 20.3% (employer) and 9.3% (employee) applies for other board members.
(5) After the first twelve months of activity. Social protection granted to self-employed workers who are entrepreneurs, and owners of Individual Establishments of Limited Responsibility and respective spouses shall include the right to protection in the event of unemployment. In these cases, the contribution rate is set at 25.2%.
(6) A 7% contribution rate is due by employers in case 50% to 80% of the total amount the activity of a self-employed worker is carried out on behalf of the same employer in a given calendar year (natural or legal person, regardless of the respective nature and purpose). If representing more than 80% of the activity, the applicable rate is 10%. This obligation applies only in case self-employees are obliged to make contributions with an annual income exceeding 6 x Social Support Index (€ 3.135, considering the Social Support Index in force in 2025).
(7) May continue to make contributions in Portugal.
(8) May continue to make contributions in the country of origin, being temporarily exempt in Portugal.