How To Move To Portugal

The word “Portugal” conjures up images of beautiful weather, wide beaches, and breathtaking beauty. The irresistible atmosphere of life in Portugal is one of the many reasons why many expats choose to relocate to Portugal. Add to that a plethora of cities and towns ranging from the bustling urban neighborhoods of Lisbon to the anciently mysterious villages of Obidos.

Furthermore, the nationals are well known for their friendly demeanor and hospitality. All of this makes a living in Portugal an unforgettable experience!

This article shall guide you through the process of moving or relocating to Portugal, one of the most beautiful countries in the world! 

Cost Of Living In Portugal

Whenever you are moving somewhere new, the first question you often ask is, “What does it cost to live there?”. We have exciting news for you! This country has one of the lowest costs of living in Western Europe.

Portugal is a reasonably priced place to live, from public transportation to eating outside to lodging. A couple can live comfortably in one of the small cities or in the countryside for as little as €1,500 per month. If you choose to live in Lisbon, a couple’s monthly budget ranges from €2,000 to €2,500. This is quite low for the standard of living in Portugal.

We understand if the most significant expense on your mind is lodging. Fortunately, rents in Portugal are very low. A one-bedroom house in a small city or the countryside can be found for as little as €430 per month. Living a comfortable walk of half an hour from the central tourist neighborhoods (Chiado, Baxia, etc.) in Lisbon, on the other hand, will cost you around €800 per month. If you want more bedrooms and live in a nicer neighborhood, rental prices will skyrocket. They are, however, very competitive for a European capital.

Of course, food is next on the list. This country’s cities are home to a wide range of traditional markets and supermarkets. Many people enjoy going for a walk in the beautiful weather and purchasing their monthly groceries, which are estimated to cost around €200 per month. When you move there, keep in mind that many items that fall under luxuries elsewhere, such as wine and olive oil, are produced locally and thus are usually inexpensive. A decent local wine bottle, for example, might only cost you €4. That’s a great deal!

What If I Want To Purchase A House In Portugal?

Are you relocating to Portugal and looking to purchase a home? Then you’ve come to the right place! According to ProperStar, property in Portugal is among the most affordable in Europe. Another benefit of purchasing property in Portugal is that a qualifying real estate investment will grant you residency.

Moving To Portugal: The Job Market

The job market in Portugal is welcoming and competitive, much like the country itself. You’ll discover that relocating to Portugal right now is a very profitable idea. Several new startups and tech companies are emerging as a result of the expanding economy. Of course, learning Portuguese will provide you with more opportunities. 

Expats are welcome in the IT industry or online businesses. Other, more traditional industries, on the other hand, usually need knowledge of Portuguese. Even if you do not speak the language, you can always find work in the tourism industry if you speak several languages. And with a country like Portugal attracting people, there is no shortage of those.

There are also many digital nomads who travel to Portugal. Every worker in Portugal is required to contribute to social security. The contribution provides Portuguese Social Security protection in the following situations:

• Maternity and paternity benefits
• Death benefits
• Unemployment benefits
• Work injuries and other health conditions
• Old-age pension
• Invalidity
• Sickness and disease benefits

What Is The Minimum Wage In Portugal?

If you are moving to Portugal, you should know how to budget. As of 2022, the legally mandated minimum wage is €822 per month. Social security is taxed at a rate of 11% of your earnings.

What Is The Average Salary?

The average salary ranges between $1,200 and $2,000, depending on the employee’s experience and qualifications. As previously stated, a couple will require approximately $1,700 per month to live comfortably. So, if you have some qualifications and move there, you can draw a salary that will allow you to live comfortably.

The Most Common Jobs In Portugal

Portugal’s economy is constantly expanding, so the job market is always looking for professionals from all over the world.

Here’s a list of the most sought-after professionals, along with their monthly average salary.

Occupation	Monthly Average Salary
Accountant	$1,900
Architect	$1,800
Doctor, General Practice	$2,400
Help Desk Technician	$,900
Hotel Manager	$7,400
Marketing Manager	$2,500
Nurse	$1,100
Product Manager	$3,575
Receptionist	$1,200
Software Engineer	$2,000
Teacher	$1,200
UX Designer	$2,000
Web Developer	$1,400

Retiring To Portugal

Portugal is one of the best places to retire. It appears that it will remain so for some time. It is not just because of the weather or the fact that it’s a cheap country. It is primarily due to the lifestyle that retirees in Portugal can enjoy.

For retirees who enjoy living near areas with water, coastal cities are ideal. Furthermore, Portugal has a plethora of fantastic treks. At these treks scenery is breathtaking, and the diversity of the landscape will give you the most breathtaking views, all from the north to the south.

Portugal will also inspire you to pursue new interests such as photography, fishing, and winemaking. It’s a country where you can keep your mind and body in shape and active.

How Can I Retire In Portugal?

If you are a European Union citizen who wishes to retire to Portugal it is simple: just fill out a residency application.

If you are a non-EU citizen, such as a citizen of the United States or the United Kingdom, you must complete additional paperwork. If you have the money, then you can go the Portugal Golden Visa route, which requires a financial commitment.

Living In Portugal: Work Permits And Portugal Visas

Portuguese visas are classified into three types:

• Schengen Visas: They are commonly referred to as short-stay visas and are valid for up to 90 days.
• Temporary Stay National Visas: They are valid for stays of up to one year.
• Long Stay National Visas: They are also referred to as residency visas and are intended for stays of more than a year.

Portugal Visa Types

Short Stay Visas

The Short Stay Visa allows for 90-day stays in any 180-day period. It is valid for short-term visits to Portugal and allows you to visit Portugal and travel freely throughout the Schengen Area during your stay. This visa is also known as the Schengen Visa.

General short-stay visas and seasonal work visas are two types of short-stay visas.

Temporary Stay Portuguese Visas

Temporary Stay Visas are considered national Portuguese visas that allow you to spend up to a year in Portugal. The visa allows for multiple entries, allowing you to leave the country for short periods of time.

Except for family members of Portuguese citizens and other EU/EFTA nationals (spouse, dependent children, adopted children, parents, or dependent minor siblings), all third-country nationals traveling in Portugal for a longer period than 90 days and less than a year require a Temporary Stay visa.

Temporary study and work visas are two examples of Portuguese visas for short-term stays.

Long Stay National Visas

This is a Residency Visa for Portuguese nationals for stays of more than one year. Long-stay national visas include family reunion visas, D7 visas, study visas, and the Golden Visa scheme.

Continue reading for more information on visas and residence permits in Portugal.

How Do I Get A Portuguese Visa?

If you are not a citizen of the EU, you will need a visa to move to Portugal. The type of Portugal visa you need depends on the reason for your visit. Work visas and permits are two examples, as are visas for family reunification. It is mandatory to apply for a residence permit after moving to Portugal. After five years, you can apply for permanent residency.

SEF, Serviço de Estrangeiros e Fronteiras, handles visa processing and applications (The Immigration and Border Service). From 2019, you can apply for visas online using the following link: https://www.sef.pt/en/. We highly recommend that you look into the portal’s automatic renewal feature for Residence Permits if you’re planning to relocate to Portugal soon.

Depending on the nationality and the purpose of your visit, there are several ways to apply for a visa. Most nationals must apply for a visa in order to obtain a visa for residence authorization (Authorization of Residence). This is only good for four months. You must enter the country within the time limit (you may enter twice). After that, you can apply to SEF for a residence permit.

Visas typically cost around $88. The residence permit is roughly the same price. However, obtaining a visa or a residence permit for investment purposes will cost you $550 and $5,000, respectively.

A visa can be obtained by visiting a Portuguese consulate abroad. You can also access the portal online. To be eligible for a visa, you must meet the following criteria:

• There is no indication of non-admission in the SEF information system. 
• You have not been convicted of a crime.
• There is no indication of non-admission in the Schengen information system. 
• You are not barred from entering Portuguese territory.
• Be free of any requirements that could disqualify you from obtaining a visa.

The documents below are required for the visa:

• A passport that is valid for a minimum of three months beyond the length of your stay.
• two passport-size photographs
• Visa application form for Portugal
• Travel insurance that is up to date
• Proof of a term of responsibility or financial capability signed by a Portuguese citizen or resident
• If you apply through a third country (not your home country), you must provide proof of your legal stay there.

You will need the following documents if you are applying for an employment visa:

• evidence of your job qualifications
• A signed work contract (promise of work) or an employer’s expression of interest
  • A certificate from a competent authority stating that you are qualified to work in your field.

Remember that if you have an indication of non-admission in the Schengen information system, you may be denied a visa.

Living In Portugal: How To Get A Residence Permit?

There are two types of permits available:

Temporary Residence Permit

After receiving your Portuguese visa, you must enter the country and apply for temporary residence. A temporary residence permit for employment purposes costs $79. Renewals are $36 each. To apply for a permit, the following documents are required:

• Valid Residence Visa
• Two recently taken identical photographs in color with a blank background
• Passport or any other valid travel document
• Evidence of sufficient means of subsistence
• Evidence of having adequate accommodation
• SEF permission to check your criminal record in Portugal
• Documents containing the necessary information for registration with the tax authority.
• Proof of enrollment or regular social security payments

This permit is only valid for a year. It can be renewed for another two years after that. You may apply for permanent residence after five years of residence.

Permanent Residence Permit 

You must have lived legally in Portugal for five years before applying for permanent residence. You must make an appointment with SEF after obtaining and renewing your temporary permit. The permanent residence fee is $240, and the following documents are required:

What Are The Advantages of Permanent Residence In Portugal?

You can travel around the Schengen area if you live in Portugal and have a permanent residence. You may also be interested to know that permanent residents in Portugal are eligible for financial benefits such as healthcare and social security. You will have access to education and can apply for family reunification so that your family can join you in your new home.

Living In Portugal: Portuguese Taxes

Whether you want to work or be self-employed, we will look at the tax system in Portugal in this section. What are the taxes on your earnings and assets? What laws are in place to entice foreign investors? First and foremost, you must obtain a Portuguese tax identification number.

The Portuguese Tax Number

The tax identification number is known as the NIF, or Numero de Identificaço Fiscal. Obtaining this number is critical and should be at the top of your list if you are relocating to Portugal.

Applying for a tax ID is relatively simple if you follow the steps. You only need to go to the nearest tax office (Finanças). There are two types of tax identification numbers: non-resident and resident. If you apply for the former, you must provide proof of your last country of residence as well as a tax representative. This person must be a Portuguese citizen, and they will be in charge of ensuring that you pay your taxes. If you are applying to become a Portuguese resident, you must provide proof of address in Portugal. In both cases, you will need to show identification.

The NHR (Non-Habitual Resident) Program

In 2009, the Portuguese government implemented the NHR Tax Program. In order to attract investors and professionals, as well as to stimulate the economy and boost Portugal’s international standing. For those who qualify, this program can result in significant tax savings. To call this initial success would be an understatement. Over 10,000 people have reaped the benefits since the program’s inception!

You must not have lived in the concerned country for the previous five years in order to apply for this program. You must also be a tax resident and register as a non-habitual tax resident in the treasury portal.

The Benefits Of The NHR Program

This program has several advantages:

• There is no minimum residency requirement.
• It operates in a European Union-whitelisted tax environment.
• There is no wealth tax.
• Certain Portuguese incomes, such as self-employment and certain professions, are taxed at a consistent 20% rate, as opposed to the standard income tax in Portugal, which is up to 48%.
• Almost all foreign income sources are exempt from taxation (See Double Taxation Agreement below for more info)
• Free money transfer to Portugal
• Exemption from inheritance or gifts to immediate family members
• Personal taxation over a ten-year period

Double Taxation Agreement

According to the Double Taxation Agreement, if you live in Portugal as an NHR resident, you will not be taxed on any income earned outside of the country. Of course, this is only applicable to the countries with which Portugal signed the agreement. 

The Tax System

If you spend 183 days in the country in a year, you are considered a resident and pay taxes.

Portugal has a progressive income tax, which means that the more you earn, the more you pay. Rates of taxation range from 0% to 45%. In Portugal, any income under $780 is not taxed. Those earning more than $29,000 per month are subject to the highest tax rate. The following table summarises the tax rates based on the number of dependents and monthly income:

Monthly Income USD	Number of Dependents
0	1	2	3	4	5 or more
Up to	780	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Up to	812	0.1%	0.0%	0.0%	0.0%	0.0%	0.0%
Up to	850	4.2%	0.8%	0.0%	0.0%	0.0%	0.0%
Up to	875	7.3%	2.8%	0.2%	0.0%	0.0%	0.0%
Up to	964	8.2%	4.6%	1.1%	0.0%	0.0%	0.0%
Up to	1092	10.4%	6.9%	3.6%	0.0%	0.0%	0.0%
Up to	1190	11.6%	8.2%	5.8%	1.5%	0.0%	0.0%
Up to	1261	12.4%	9.1%	6.7%	3.4%	0.0%	0.0%
Up to	1354	13.5%	11.0%	8.6%	5.2%	2.8%	0.3%
Up to	1451	14.5%	12.1%	9.6%	6.2%	3.7%	1.3%
Up to	1565	15.6%	13.2%	10.8%	7.2%	4.7%	2.3%
Up to	1687	16.6%	14.2%	11.7%	8.3%	6.7%	4.1%
Up to	1850	17.7%	15.2%	12.7%	10.3%	7.8%	5.1%
Up to	2027	19.1%	16.7%	15.2%	11.7%	9.2%	6.7%
Up to	2215	20.5%	18.7%	17.8%	14.9%	12.9%	12.0%
Up to	2342	21.5%	19.9%	18.7%	15.9%	14.9%	12.9%
Up to	2476	22.5%	20.8%	19.8%	16.8%	15.9%	13.9%
Up to	2628	23.5%	21.9%	20.9%	18.0%	16.9%	14.9%
Up to	2804	24.5%	22.9%	21.9%	19.0%	18.1%	15.9%
Up to	3003	25.5%	24.9%	22.9%	21.0%	19.0%	18.1%
Up to	3278	26.5%	25.8%	24.0%	22.0%	20.0%	19.0%
Up to	3677	27.8%	27.1%	25.2%	23.2%	21.2%	20.2%
Up to	4187	29.4%	29.1%	27.5%	25.9%	25.3%	23.7%
Up to	4879	30.5%	30.3%	28.5%	26.9%	26.3%	25.7%
Up to	5509	32.3%	31.8%	30.2%	28.4%	27.8%	27.2%
Up to	6154	33.3%	32.8%	32.2%	29.7%	28.8%	28.2%
Up to	6967	34.3%	33.8%	33.2%	30.6%	30.0%	29.2%
Up to	7970	36.3%	35.9%	35.1%	33.2%	32.8%	32.4%
Up to	9406	37.3%	36.9%	36.5%	35.2%	33.8%	33.4%
Up to	11327	39.3%	38.9%	38.5%	37.2%	36.8%	35.4%
Up to	13367	40.3%	39.9%	39.5%	38.6%	37.8%	36.4%
Up to	22339	41.3%	40.9%	40.5%	39.6%	39.2%	37.4%
Up to	23959	42.3%	41.9%	41.5%	40.6%	40.2%	38.4%
Up to	26954	43.1%	42.9%	42.5%	41.6%	41.2%	39.6%
Up to	29948	44.1%	43.9%	43.5%	42.6%	42.2%	40.8%
Over	29948	45.1%	44.9%	44.5%	43.6%	43.2%	41.8%

Opening A Bank Account

The steps for opening a bank account are fairly simple. The following documents are required:

• The Portuguese tax number, NIF
• A valid ID
• Proof of address
• Proof of employment

After gathering these documents, you should apply at the branch. Some banks accept online applications, but most will require you to visit a branch in person.

List Of International Banks In Portugal 

The majority of banks in the country are Portuguese. However, some international banks offer banking products tailored to expats. Examples include:

• ING Bank
• BNP Paribas
• Barclays
• Abanca
• Deutsche Bank 

Living In Portugal: Education

Up to the age of 18, citizens and residents of Portugal are entitled to free education. Private schools, like public schools, have higher tuition and smaller class sizes.

If you live in Lisbon or one of the major cities, you’re likely to find an international school with an English or American curriculum, which some people prefer. According to https://www.international-schools-database.com/, here are some of the top schools and their costs.

TASIS Portugal 

This school strives to be a world-class institution that transforms the lives of its students through a love of learning, beauty, truth, and goodness.

Curriculum

• Language of instruction
• Ages
• Yearly fees – 2022/2023

American, International

• English
• 3 to 13
• from: €10,000 to: €19,000

United Lisbon International School 

The United Lisbon International School is deeply committed to families and the next generation. They also have extensive experience and a strong reputation in international education.

Curriculum

• Language of instruction
• Ages
• Yearly fees – 2022/2023

International

• English
• 3 to 15
• from: €9,900 to: €20,000

International Preparatory School 

PTA that is small, friendly, professional, international, and supportive. Children who are happy are very easy to work with!

Curriculum

• Language of instruction
• Ages
• Yearly fees – 2022/2023

British

• English
• 3 to 11
• from: €9,000 to: €14,000

British School Lisbon 

The British School in Lisbon aspires to be a world-class institution. This is why they hold themselves to such high standards in everything they do.

Curriculum

• Language of instruction
• Ages
• Yearly fees – 2022/2023

British

• English
• 3 to 10
• from: €11,100 to: €15,000

Healthcare

Private System

Foreigners with permanent residence are the only ones who have access to the public health system. So you’ll need private health insurance for the first five years.

Fortunately, private insurance is competitively priced. A basic package will cost you between $22-$55 per month, while a more comprehensive package will cost you between $90-110$.

Depending on the situation, the Serviço Nacional de Sade (SNS), or public healthcare system, provides medical care for free or at a low cost. There are a number of publicly funded public hospitals and health centers.

This system is available to both permanent residents and nationals. Other than in an emergency, tourists are not permitted to use this system.

Portugal’s Golden Visa Program

The RBI (Residency By Investment) Portuguese Golden Visa Program is a program that allows people to obtain residency in Portugal. The Golden Visa program was established by the authorities in 2012. Since then, 11,384 people have applied for the program.

Investors who invest in one of the program’s many investment options are granted residency.

Expats In Portugal: Most Popular Cities

Lisbon

The cost of living in Lisbon is slightly higher than in most other cities. However, it is a small price to pay to get a taste of life in Portugal. Life’s light always shines through this bustling hub. Aside from international schools and banks, the unique experience that this city can provide is well worth the extra money. Plus, when compared to other European capitals, you’re getting a steal!

The Algarve

Many people have referred to the Algarve region as “Heaven” over the years. Many expats and locals alike are drawn to this dream of living in Portugal by the golden coast stretching with clean, beautiful beaches. 

Cascais

Cascais is a small town in comparison to Lisbon. Even though it has a population of over 200,000 people, it is still classified as a village. This means that you’ll find village charm there. Warm, sunny beaches and friendly village life are only a half-hour-long drive from the Lisbon airport.

Porto

Americans who relocate to Portugal frequently prefer Porto. This historic fishing town combines classic character with urbanism. It has become a famous tourist destination and is an excellent choice if you decide to relocate.

Moving To Portugal: The Pros And Cons

Unfortunately, nowhere” is perfect, just as no “one” is perfect. Here are some of the advantages and disadvantages of relocating to Portugal.

Pros

• The locals are particularly well-known for their hospitality.
• The food culture there is well-known throughout the world for its variety and delectability.
• This haven has wonderful weather all year.
• In comparison to the rest of Europe, the cost of living is relatively low.

Cons

• You are not entitled to healthcare unless you are a permanent resident.
• Some services and goods may be difficult to obtain outside of major cities.
• The bureaucratic system is difficult to understand.

Immigrate To Portugal: How Can I Move To Portugal?

If you are thinking about moving to Portugal, speak with a professional and ask any questions you may have. A trusted advisor can assist and guide you based on your specific needs, saving you time and money.

Frequently Asked Questions On How To Move To Portugal

How Easy Is It To Move To Portugal?

Relocating there is relatively simple if you follow the country’s customs rules, especially if you are coming from outside of Europe.

How Much Money Do I Need To Get By In Portugal?

A couple can live comfortably in one of Portugal’s small cities or in the interior for as little as €1,500 per month! However, if you choose to live in Lisbon, a couple’s monthly budget ranges from €2,000 to €2,500.

What Is The Minimum Wage In Portugal?

The legally set minimum wage is €822 per month (as of 2022).

Is Healthcare Free In Portugal?

Public health care is not completely free, but it is very affordable for nationals and permanent residents.

Where Is The Cheapest Place To Live In Portugal?

Guimares is one of the most affordable cities in Portugal. It has a train connection to Lisbon and is close to many tourist attractions.

What Jobs Are In Demand In Portugal?

The most in-demand jobs are typically in healthcare, tourism, and information technology. 

Do Expats In Portugal Pay Taxes?

Yes, if you are a permanent resident. You become a permanent resident after spending 183 days or more in the country over a 12-month period. However, the NHR program can assist you in obtaining personal tax treatment.

How To Move To Portugal And Retire?

The procedure may take some time, but it is simple. You must demonstrate that you have health insurance and a steady source of income.

How Much Is Property Tax In Portugal?

Property tax rates differ depending on who owns the property. This varies between 0.4% for company-owned properties and 0.7% for individual-help properties. If the property is worth more than €1 million, the tax rises to 1%.

Where Is The Best Place To Buy Property In Portugal?

Property in Setubal, near Lisbon, is also expensive, as are areas in the Algarve such as Lagos, Albufeira, Tavira, and Lagoa. The Algarve’s most prestigious neighborhoods for luxury homes and apartments are Vale do Lobo, Quinta do Lago, and Vilamoura.

Can Foreigners Get A Mortgage In Portugal?

Portuguese banks accept mortgage applications from both residents and non-residents. Variable mortgage rates begin at 3.3% per year on a loan-to-value of 30%. Fixed rates of 4.1% for up to 5 years are also available for loan-to-value ratios of up to 70%.

Is Food Expensive In Portugal?

While meal prices vary, the average daily cost of food in Portugal is €30. Based on previous travelers’ spending habits, an average meal should cost around €12 per person when dining out. In general, breakfast is slightly less expensive than lunch or dinner.

Can Foreigners Buy Real Estate In Portugal?

Because Portugal allows all foreigners to buy and invest in their real estate market, many foreigners have relocated to Portugal or purchased a second home there.

What Is The Average Price Of A House In Portugal?

Property in Portugal is among the most affordable in Europe. According to National Statistics Institute data, the average house price is €1,187 per square meter – €1,243 for flats and €1,090 for houses.

How Can I Get Residency In Portugal?

There are several ways to obtain residency and migration to Portugal, some of which are as follows:

•  Marriage
•  Family Reunification
•  Study
•  Work
•  Investment
•  Retirement

If you live outside of Europe, you must apply for the appropriate visa for each of these. After your visa is approved, you can apply for government residency.

Can British Citizens Live In Portugal After Brexit?

Yes, even though the UK is no longer a member of the EU, British citizens can relocate to Portugal after Brexit.

Is There A Portugal Checklist?

Because every situation is unique, there is no one-size-fits-all moving to the Portugal checklist. However, before you plan your Portugal migration, you should consider the following:

• Portugal’s immigration policies are as follows: Determine which visas and residency permits are required for moving to Portugal.
• Property hunt: If you’ve decided on a city to live in, you should begin your property search right away. This is something you can do online.