Employer of Record in Portugal
Employ people in Portugal without setting up a company. Fronted becomes the legal employer through our own Portuguese company and runs contracts, payroll for all 14 salary payments, social security and reporting. You and every employee get a dedicated contact person.
- Our own entity in Portugal
- One contact who knows your team
- Hire in a new country in days, not months
- Portuguese rules handled every month
€390per employee/month
- Locally compliant employment contracts
- Monthly payroll and statutory benefits in local currency
- Tax and labour-law compliance in 40+ countries
What's included
What's included
Everything it takes to employ someone in Portugal, run by our own team.
Locally compliant employment contracts
Monthly payroll and statutory benefits in local currency
Tax and labour-law compliance in 40+ countries
Onboarding and ongoing HR administration
Transition to your own local entity when you scale
Why Fronted in Portugal
Employer of Record is a long-term way to employ, so who stands behind it matters.
Our own entity in Portugal
We employ through our own company in Portugal, not a partner's - one contract, one point of contact.
One contact who knows your team
A named contact person at Fronted looks after your employees in Portugal, from the first contract to everyday payroll questions.
Hire in a new country in days, not months
Once the terms are agreed we issue a Portuguese contract and register the employee, so they can start without waiting for a company to be set up.
Portuguese rules handled every month
Payroll, tax withholding, social security, the 13th and 14th salary and work accident insurance follow Portuguese law, and we report to the authorities on time.
How it works
How it works
Four steps from first conversation to first payslip.
- 1
Tell us about the hire
Share the role, salary and start date, and we confirm the terms and costs under Portuguese law.
- 2
We issue the contract
We prepare a compliant Portuguese employment contract and sign it with your new employee.
- 3
Onboarding and registration
We register the employee with Social Security and the tax authority, set up work accident insurance and get payroll ready.
- 4
Payroll every month
We run payroll and reporting each month, including the holiday and Christmas subsidies, and invoice you for salary, employer costs and our fee.
Most hires in Portugal are ready to start within days of signing.
If you outgrow EOR
If you outgrow EOR
Many companies stay on Employer of Record in Portugal for the long term. If you later want your own Portuguese company, we tell you when it makes sense and handle moving your employees over, including their new contracts and the paperwork.
What our customers say
Testimonial 1 of 3
- “Fronted's team was proactive throughout our onboarding. They kept us updated at every step, followed up when something needed our attention, and explained our options clearly. As a result, our first hire in Finland was set up smoothly and on time.”
- “Global expansion is a mess, we know that from first hand experience. As a growth company you want to focus on growth and product, not juggling 5 vendors per country just to employ someone. We’re fixing that by being the one-stop-shop, from recruitment to employment and eventually setting up and running legal entities when the timing is right. One partner, with a team that deeply cares about you and understands your needs.”
- “The communication has been simple, clear, and easy to understand, and whenever we have had questions, you have been quick to respond. We have especially appreciated your goal- and solution-oriented approach.”
Testimonial 1 of 3
At a glance
Portugal at a glance
Key facts from our guide to hiring in Portugal.
Facts last checked 11/10/2026
- Currency
- EUR
- Employer contributions
- 23.75%
- Pay frequency
- Monthly, 14 payments a year including the holiday and Christmas subsidies
- Notice period
- Employee resignation: 30 days, or 60 days after 2 years' service. Employer notice for objective dismissals: 15 to 75 days depending on service, and only for a lawful reason with a formal procedure.
- Probation
- 90 days for most open-ended contracts, 180 days for technical or senior roles and 240 days for management. 15 or 30 days for fixed-term contracts. Must be agreed in writing.
- Holiday
- At least 22 working days, plus 13 national public holidays and a holiday subsidy worth one month's pay.
FAQ
What employers ask about Employer of Record in Portugal
Yes, but they need a residence visa based on the employment contract before they can start, and AIMA decides the application. The digital nomad visa is meant for remote workers and the self-employed, so it is not the route for someone employed through us.
Your Fronted contact checks the right route for each hire and helps you plan a realistic start date.
Portuguese employees receive a holiday subsidy and a Christmas subsidy on top of 12 monthly salaries, each worth one month's pay. The Christmas subsidy is due by 15 December and the holiday subsidy before the holiday starts. Both can be paid in monthly twelfths if agreed.
Both subsidies carry employer social security, so budget for 14 payments when you compare an annual salary. We include them in payroll and in the cost estimate we give you before you hire.
Employees get at least 22 working days of paid holiday plus public holidays. Probation is 90 days for most open-ended contracts, 180 days for technical or senior roles and 240 days for management, and it must be agreed in writing.
An employee who resigns gives 30 days' notice, or 60 days after 2 years. An employer can only end a contract for a lawful reason and must follow a formal procedure, so talk to your Fronted contact before any termination.
Many companies stay on Employer of Record in Portugal for the long term. If you outgrow it, we tell you, and a private limited company (Lda) is the usual form for a local entity.
Moving employees to your own company is not automatic: they sign new contracts with the new company and end their contracts with ours. We handle that move, including the new contracts and paperwork, and make it as simple as possible.
Our Employer of Record fee in Portugal is €390 per employee/month. On top of that you pay the employee's salary and the statutory employer costs, which we pass on at cost with no markup. The main cost is employer social security of 23.75%, charged on all 14 salary payments, including the holiday and Christmas subsidies. Work accident insurance is mandatory and priced by the insurer, and the labour compensation funds cost nothing in 2026.
As an example, a gross salary of €5,000 a month costs about €7,219 a month before insurance and our fee. If you want benefits beyond what the law requires, such as private health insurance, we tell you the admin fee before you decide.
No. With Fronted as your Employer of Record, your employee is employed by our own Portuguese company on a local contract, and you direct their day-to-day work. We handle payroll, social security, tax withholding and reporting, and you have one dedicated contact the whole way.
Hiring someone as a contractor instead carries a risk: Portuguese law presumes employment when the relationship works like a job, and then employee rights and employer obligations apply.
Once you are ready and the terms are agreed, we can usually employ someone in a few days. EU, EEA and Swiss citizens need no work permit.
Other nationals need a residence visa based on the employment contract. The immigration agency AIMA has a legal deadline of 90 days, extendable by 30, and in practice it often takes longer, so plan the start date with that in mind.
Planning your next country?
Tell us where and when. We will show you what it takes, whichever way you choose to hire.
Updated