The Institute for Social Security in Portugal is the gateway to the labour market. If you are coming to work in Portugal you will need to register with this institution which guarantees a safety net in cases of unemployment, illness and retirement. It is the Portuguese equivalent to the Department for Work and Pensions, in the UK.
The Social Security network is spread over the whole country, with over 400 service points. You can also use the helpline or schedule an appointment.
Registering with the Social Security in Portugal
- Your registration with the Social Security in Portugal depends on the kind of work you will be doing;
- If you are going to work as a freelancer, then the first thing you need to do is register with the Tax department. When you do so you will have to choose the type of activity you will be doing. After this, the Tax department will automatically inform the Social Security of your registration;
- If you are working for a company, it is its responsibility to register you with Social Security.
In either case, you will be given a Social Security Identification Number (NISS).
How much Social Security must you pay?
If you work for a company then it is responsible for paying your social security. If you are a freelancer, however, then you should make your payments between the 10th and the 20th of the following month.
- Contributions for dependent workers
If you have a contract, the monthly contribution is 34,75% of the worker’s gross salary. This payment is made directly to the Social Security in Portugal by the company, and therefore the worker’s share will already have been discounted from your net salary.
This total can be broken down in the following way:
11% supported by the worker
23,75% supported by the employer/company.
If the employer is a charity, then it only has to pay 22,3%
- Contributions for freelancers
These payments are made by the worker himself, on a monthly basis. The amount to be paid depends on whether the worker uses the simplified regime or organised accounting (organised accounting allows you to deduct a variety of expenses but requires that your accounts be handled by a professional accountant). Your contribution is calculated according the following rules: 70% of the total charged for services rendered or 20% of income related to the production and sale of goods or 20% of total charged for services rendered in the fields of the hospitality and similar, restaurants and drinks sectors, as declared for tax purposes. The reference period is your income for the previous three months.
The total can be broken down in the following way:
21,4% supported by the freelance worker
25,2% supported by the owner of an individual enterprise
7% or 10% supported by the client which purchased the service
Benefits you are entitled to
To enjoy the protection of the Social Security in Portugal is to be prepared for most risks. These are some of the benefits for cases of illness, maternity/paternity or retirement.
Unemployment
- Unemployment benefit (for dependent workers)
- Cessation of business benefit (a sort of unemployment benefit for freelancers)
Retirement
- Pension (to which you are entitled after your legal working period)
Maternity/Paternity
- Parental allowance (this guarantees you income during your time off work after having a child – equivalent to maternity allowance or Statutory Maternity/Paternity Pay in the UK. In Portugal this is paid only through Social Security and not directly by your employer)
Sickness
- Sickness benefit (this guarantees you income in case you are unable to work due to sickness – equivalent to Employment and Support Allowance or Statutory Sick Pay in the UK. In Portugal this is paid only through Social Security and not directly by your employer)
How can I contact the Social Security in Portugal?
You can call 300 502 502, but this service is only provided in Portuguese. You can also schedule an appointment at the service point closest to where you live. Use this link to see where the closest service point is.
You can also deal with many issues through the Segurança Social Direta website, although, again, this service is only provided in Portuguese.
More…
How to obtain a visa or work permit in Portugal
How to start working in Portugal
