Short guide to hire a dedicated offshore team in Portugal
Hire TeamPortugal 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 welcomes new start-ups all over the country.
If you want to take your business to the next level regarding 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.
Most developers can be found in Lisbon, Porto, Aveiro, and Braga.
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Lisbon
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10.3 million
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Portuguese
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GMT +0:00
131.000
980.4 million EUR
19 (out of 26)
914.4 million EUR
Before hiring in Portugal, employers must abide by the strict employment regulations established by the local authorities while navigating regional benefits, payroll, tax, and HR laws – a time-consuming process.
ALLSTARSIT makes hiring, onboarding, and caring for employees in Portugal easy.
With one seamless integration and local legal entity, we streamline the following:
hiring process
payroll
compliance
for your international workforce.
Hire Your Team
Employer of Record
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Payrolling
Candidates' Sourcing & Recruiting
Employer of Record
Payrolling
Candidates' Sourcing & Recruiting
ALLSTARSIT takes care of everything for you – we have a 360° approach with a full recruitment cycle
Payroll Cycle
Salary is paid monthly in Portugal
Employer taxes
26% of gross salary
Minimum Wage
EUR 775,83 per month
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:
125% of the hourly rate for the first hour
137.5% of the hourly rate for the following hours
150% of the hourly rate for weekends and bank holidays
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:
55.00% of the regular salary for the next 30 days
60.00% of the regular salary between 31 and 90 days
70.00% of the regular salary between 91 and 365 days
75.00% of the regular salary over 365 days
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 Pay 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.
We've made the process simple with only 4 phases
1
Initial client meeting
We discuss the best way to meet your needs, exchange ideas, and clearly define goals for our collaboration.
2
Sourcing
We source and pre-screen the most suitable candidates for your project and conduct candidate evaluation interviews.
3
Hiring
We handle all the legal issues related to the hiring process and ensure compliance with both our employee's and client's national laws.
4
Onboarding & Admin
We onboard your new team member and handle the entire local employment process, handling all the compliance, payroll, and HR admin.
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