Social security

One rate, split between you and your employer

Social security in Portugal is funded by a single contribution, the Taxa Social Única (TSU). Unlike the income tax, it is a flat share of pay — the rate does not climb with your salary — and it is split into two parts: a share paid by you, the worker, and a larger share paid by your employer. The contribution funds the public system that pays pensions, sickness and parental benefits, and unemployment support.

The employee share is 11% of your gross pay, and it is the only part that reduces your net. Your employer pays a further 23,75% on top of your gross — money that never appears on your payslip as a deduction because it is not taken from you; it is an additional cost the company carries. Together the two shares make a combined rate of 34,75%.

The base, and the absence of a ceiling

The contribution is charged on your gross remuneration (remuneração ilíquida) — broadly, the pay before any deduction. Crucially, there is no upper ceiling: the same percentage applies however high the salary, so unlike some countries the contribution does not stop at a cap. That makes social security straightforward to compute — a fixed slice of gross — and it means a raise increases the contribution in exact proportion.

Because the employee share is a flat percentage, it comes off the gross first, before the IRS withheld at source is worked out. In the calculator’s breakdown you see the two deductions on separate lines: social security as a constant slice, and the IRS as the marginal figure that depends on your household situation and dependents.

Why the employer share still matters

Even though the employer share never reduces your net, it is worth seeing, because it is the difference between what you cost and what you receive. That is the total employer cost: your gross pay plus the employer’s 23,75%. The calculator surfaces it as its own row, so you can read both ends of the same salary — the take-home net at one end and the full cost to the company at the other. It is a useful number when you negotiate, or when you compare an employment offer with self-employment.

A note on scope: reduced employer rates apply to some non-profit and social-solidarity employers, which are outside the default calculation here. Certain small employer-side funds have historically added around a percentage point but remain suspended for 2026, so they are not modelled either. The rates shown follow the Contributory Code cited on this page; if it changed recently that may not be reflected here yet, and none of them has been through our final sign-off — for the official figure, Segurança Social.

The full content of this page is still being written.