COUNTRY GUIDE
A short guide to building a dedicated offshore team in Portugal
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Lisbon
Portuguese
10.3 million
GMT +0:00
131,000
Euro (EUR)
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$993.39 million
$352.30 million
Lisbon
Portuguese
10.3 million
GMT +0:00
131,000
Euro (EUR)
$993.39 million
$352.30 million
Portugal is a high-income, developed country with a bustling tech scene growing in its capital Lisbon. The nation’s business culture focuses a lot on creating relationships of loyalty and trust.
With a highly innovative and dynamic ICT Sector, which already represents nearly 10% of its GDP, Portugal is welcoming new start-ups all over the country.
If you're looking to take your business to the next level in terms of technological innovation and productivity, look no further than Portugal for your next software development team. This country has all the ingredients for success in offshore software development, including a high English proficiency rate, a solid IT infrastructure, and vibrant tech hubs.
Payroll Cycle
Salary is paid monthly in Portugal.
Employer Taxes
26% of gross salary.
Overtime Pay
Standard working hours are 8 hours per day and 40 hours per week. The standard work week is from Monday to Friday.
Overtime pay is mandatory and is not included in the salary. Hours worked outside of standard working hours are considered overtime. Employees can work a maximum of 2 hours of overtime per day. For overtime hours, employees are paid:
Paid Leave
Portugal treats public holidays as non-working days. Employees in Portugal are entitled to 22 days of paid vacation.
Sick Leave
Employees are allowed 30 days of sick leave over a period of 12 months, and are entitled to receive sick pay for up to 1,095 days.
Sick pay is made by the employer for the first 3 days of absence due to sickness, at a rate of 89.00% of the regular salary. From the 4th day onwards, the Social Security takes over the payment, according to the rates below:
Public and Provincial Holidays
Portugal celebrates 13 national holidays and one regional holiday based on the employee's location.
Notice Period
Notice period in Portugal depends on the length of employment:
13th Month Bonus
It is mandatory to provide a 13th (summer holiday) and 14th (Christmas) month salaries for employees in Portugal. This is paid annually by December 15th of each year.
Establishing a separate business entity in Portugal where you plan to assemble a team can be labor-intensive and incur substantial legal costs.
Simultaneously, understanding Portuguese labor laws and meeting employee expectations can present complex and demanding challenges. This is further complicated by the need to secure accurate and current employment information for Portugal. Additionally, managing contracts and tracking invoices via email and spreadsheets can lead to disorganization and errors.
In this context, compliance is paramount, and it's essential to adhere to Portuguese regulations, particularly concerning taxes and legal matters.
ALLSTARSIT simplifies this process by offering a comprehensive solution for finding and hiring employees in Portugal, managing HR and payroll, and ensuring compliance is automated. We make the process straightforward and free from complications.
Choose the right expert professionals required for your specific project, saving time and wasted effort.
This service enables software development companies worldwide to meet any technical needs outside their core skill set by adding specialized staff on demand while retaining control of the project's specifications and scope.
Establish R&D / Tech Support / QA & Testing / DevOps / Data Entry Centers in your chosen location.
Forget about investing in facilities, equipment, technology, or human resources. We manage all necessary operations as your specialist. This can help you save money and resources, all while reducing frustration and simplifying internal processes.
Use ALLSTARSIT as your EOR / CM to easily hire employees in new countries without setting up a legal entity.
We act as the employer for your new hire, handling all HR, payroll, tax, and compliance requirements on your behalf, while you maintain control of their workload.
Effortlessly Access Expert Tech Support for Your Projects
Our Tech Support service provides companies worldwide with access to the best technical experts tailored to their specific project needs. Whether you require troubleshooting, maintenance, or specialized assistance, we ensure that you have the right professionals on hand to support your endeavors effectively.
Maximize Your Customer Satisfaction Level with Our Customer Support Service
Access tailored customer care solutions for your business needs. Our expert team is dedicated to addressing inquiries, resolving issues, and delivering personalized assistance. Say goodbye to challenges and hello to exceptional customer care with us.
Contact us, and we’ll help you hire the best tech talent in Portugal
