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Net salary Portugal 2026: how to calculate gross to net

Updated 25 October 2026· Checked against official sources

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Your net salary (salário líquido) is what actually reaches your bank account. The difference from your gross salary (salário bruto) is the compulsory deductions: Social Security (Segurança Social) and IRS (personal income tax) withheld at source. To work out your own case, use the net salary calculator (in Portuguese).

How is net salary in Portugal calculated?

1. Start with your gross monthly salary (base salary + extras that are subject to deductions).
2. Take away 11% for Social Security (the rate paid by employees).
3. Choose the IRS withholding table for your situation: single, or married with two earners (Table I); single with dependants (Table II); married with one earner (Table III); or the tables for people with disabilities.
4. Find the row for your gross salary and apply the formula: gross × marginal rate − amount to deduct − (21,43 € × number of dependants).
5. Gross − Social Security − IRS = net salary.
6. Add any tax-free subsídio de alimentação (meal allowance).

IRS withholding table 2026 (Table I, mainland)

Extract from Table I of Despacho n.º 233-A/2026 (single with no dependants, or married with two earners):

R = monthly pay. For each dependant, deduct another 21,43 €. See the full table in the IRS tables (in Portuguese).

Net salary examples in Portugal for 2026

Calculations for 2026, single with no dependants, mainland, Table I (rounded amounts):

How we got the 1 500 € result (example): 1 500 € × 24,1% − 193,33 € = 168,17 € IRS. Social Security: 1 500 € × 11% = 165 €. Net: 1 500 − 165 − 168,17 = 1 166,83 €.

How we got the 1 000 € result (example): 12,5% × 2,60 × (1 273,85 − 1 000) = 89,00 € amount to deduct. IRS = 1 000 × 12,5% − 89,00 = 36,00 €. Net: 1 000 − 110 − 36 = 854,00 €.

The exact amount to deduct is 0,125 × 2,60 × 273,85 € = 89,00125 €, which gives 89,00 € whether you round or cut it to the cent.

November 2026: Despacho n.º 12523-A/2026 says that for salaries paid between 1 and 30 November 2026, only 50% of the IRS calculated by the tables is withheld, to reflect the rate cut approved with effect from January. This does not apply to salaries above the second-to-last bracket of the tables or to residents of the Azores and Madeira. From 1 December the normal tables apply again.

Withholding is not your final tax

Monthly withholding is an advance payment. Your final IRS is calculated in the annual tax return, with:

• Specific deduction (dedução específica) of 8,54 × IAS per person with employment income (art. 25 of the IRS Code), or the compulsory contributions if these are higher. With the 2026 IAS (social support index): 8,54 × 537,13 € = 4 587,09 € (an amount also given by the Tax Authority in Newsletter no. 39).
• Brackets in art. 68 — in 2026, from 12,5% (up to 8 342 €) to 48% (above 86 634 €).
• Tax deductions — see the deductible expenses for IRS (in Portuguese).

The difference between what was withheld and your final tax gives you a refund (in Portuguese) or tax to pay. If you are 35 or younger, IRS Jovem can greatly reduce your withholding.

Common mistakes

• Using the wrong table. Married couples with two earners use Table I, not Table III.
• Forgetting dependants. Each one reduces withholding by 21,43 €.
• Applying the marginal rate to the whole salary without the amount to deduct. The result is much higher than the real figure.
• Using tables from previous years. They change every year (and sometimes in the middle of the year).
• Confusing withholding with final tax. The final balance is settled in the annual return.
• Ignoring duodécimos. Receiving holiday and Christmas allowances in monthly parts changes the monthly amount, but not the yearly total.

See also the minimum wage in Portugal and the types of employment contract.