Portugal continues to attract expats from around the world—not only for its sunshine, beauty, and quality of life, but also for the increasing opportunities to live and work here. Whether you’re relocating for a specific job, working remotely, or planning to start a business, Portugal offers an appealing environment. But it’s important to know how the system works before you dive in.
Here’s what to know about working in Portugal as an expat in 2025.
Understanding the Work Culture
Portuguese work culture blends professionalism with a relaxed pace. Offices tend to have a friendly, personal atmosphere where collaboration and trust are key. While meetings and planning are taken seriously, relationships and small talk over coffee matter just as much. And, yes - it is ok to head out for lunch!
Salaries: Lower Than You May Be Used To
One of the biggest shocks for expats? Salaries in Portugal are considerably lower than in the U.S., Canada, or Northern Europe. The average monthly gross salary is just over €1,400, and even skilled roles often pay less than you might expect.
That said, the cost of living—especially outside Lisbon and Porto—is significantly lower. Housing, transportation, and daily expenses are more affordable, allowing for a good quality of life even on a modest income.
If you're a remote worker earning a foreign income, Portugal can offer an excellent standard of living at a fraction of the cost.
Healthcare: World-Class and Included
One of the great benefits of working in Portugal is universal healthcare. If you're a legal resident contributing to the social security system, you’ll have access to the Serviço Nacional de Saúde (SNS), Portugal’s public health system.
Public healthcare covers doctor visits, hospital care, maternity services, and even some prescriptions—with little to no cost. Many expats choose to purchase private insuranceas a supplement, which is generally affordable and gives access to private clinics. The cost is much lower than in the U.S.
Taxes & Social Security
Portugal has a progressive income tax system that ranges from 13% to 48% (plus social security contributions). While taxes may seem high, many expats benefit from the Non-Habitual Resident (NHR) tax regime, which offers generous exemptions for 10 years.
Employees and employers both contribute to the national social security fund, which provides access to pensions, healthcare, and unemployment benefits.
Work-Life Balance
Portugal has strong labor protections and a good work-life balance. The typical workweek is 40 hours, and the country offers generous vacation time (22 days minimum plus public holidays). Recent laws even prohibit bosses from contacting employees after hours, making Portugal a pioneer in the "right to disconnect."
With 300+ days of sunshine a year, beaches, mountains, and cultural festivals, life outside work is just as fulfilling.
No, Portugal isn’t the place to get rich quick, but for expats seeking balance, beauty, and belonging, it’s a dream come true. Whether you work locally or remotely, you’ll find a lower cost of living, excellent healthcare, a friendly atmosphere, and a deeply rooted culture that values quality of life. And, working remotely with a D7 visa is the best option for income, services and peace of mind - just keep in mind the higher but simpler tax structure.
And with D7 visas, tax benefits, and flexible work options, it seems a good time to make Portugal your safe and stable professional and personal home. google2d3e4d411f4f16b6.html