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Pension Estimator 2026: Portugal

How much will your pension be? In Portugal the old-age pension is, in essence, your career-average salary (the reference remuneration) multiplied by the global formation rate, which grows with your years of contributions. Enter your career-average monthly salary and your years of contributory career for an educational estimate of the pension.

Enter your career-average monthly gross salary (the reference remuneration) and your years of contributions. You need at least 15 years to be entitled to a pension.

Estimated monthly pension
€1,353
Global formation rate: 90.2%
ItemValue
Reference remuneration€1,500
Global formation rate90.2%
Monthly pension€1,353
Annual pension (14 payments)€18,946

Estimate by the official formula (reference remuneration × global formation rate) with the 2026 IAS (€537.13). It does not revalue older salaries by coefficients, apply the minimum old-age pension (which can raise a low pension) or any early-retirement cut.

Educational estimate, not advice. The formula (reference remuneration × global formation rate), the rate brackets (2% to 2.3%), the 92% maximum and the 15-year guarantee period are official; the IAS is the 2026 value. Always confirm with Social Security.

Video: how to use the calculator

1

The pension formula

Under the current rule (Decreto-Lei n.º 187/2007), the monthly old-age pension is the reference remuneration (RR) multiplied by the global formation rate (TGF): pension = RR × TGF. The reference remuneration is, in practice, your career-average monthly salary (on a 14-month basis); the formation rate rises with your years of contributions.

2

The reference remuneration

The reference remuneration is the total of your whole-career earnings divided by 14 × n (n = calendar years with a record, capped at 40). Because the total already amounts to about 14 salaries a year, dividing by 14 × n returns your average monthly salary: that is the figure you enter. Social Security also revalues older salaries by coefficients; here we use today’s value, so the result is an estimate.

3

The global formation rate

Up to 20 years of career the rate is 2% per year (with a global minimum of 30%). From 21 years, the annual rate varies between 2% and 2.3%, applied by brackets of the reference remuneration (in multiples of the IAS, €537.13 in 2026): 2.3% up to 1.1×IAS, 2.25% up to 2×IAS, 2.2% up to 4×IAS, 2.1% up to 8×IAS and 2% above. The maximum global rate is 92% (40 years × 2.3%).

4

You need the guarantee period

To be entitled to the old-age pension under this regime you generally need at least 15 calendar years with a record of earnings (the guarantee period). With less than that, there is no pension by this route. A separate social old-age pension, calculated differently, may apply.

5

Retiring at 60 with 40 years of contributions

Having 40 years of career is the key that opens the door: from age 60 you may bring the pension forward under the flexibilização regime, and in that regime the sustainability factor does not apply. What 40 years does not do is make early access cheap. The 0.5% per month cut is measured against your personal retirement age, which only drops below the normal age (66 years and 9 months in 2026) with career years above 40. With exactly 40 there is no reduction at all, so going at 60 means bringing the pension forward by 81 months and losing 40.5% of it, permanently.

6

What that costs, on this page's own example

On the €1,353.30 a month of the example below, retiring at 60 with 40 years of career leaves €805.21 a month: €548.09 less every month and €11,273.01 a year instead of €18,946.23 at the personal retirement age. The cut is permanent and is not restored on reaching the normal age.

7

A very long career is a step, not a ramp

Anyone reaching age 60 with at least 48 years of career retires with no sustainability factor and no anticipation cut either. At 47 years the cut is still 26.5% (€994.68 on the example); at 48 it drops to zero (€1,353.30). On that example the 48th year of career is worth €358.63 a month for life. Work out the penalty for your own case in the early-retirement calculator.

Worked example

Take a career-average salary of €1,500 a month and 40 years of contributions. The reference remuneration is €1,500. By the brackets: €590.84 at 2.3%, plus €483.42 at 2.25%, plus €425.74 at 2.2%, gives about €33.83 per year of career; over 40 years the global rate reaches roughly 90%. The estimated monthly pension is about €1,353 (≈ €18,946 a year, over 14 payments). It is an estimate: it excludes the minimum pension, the revaluation of older salaries and any early-retirement cut.

Frequently asked questions

How is the retirement pension calculated in Portugal?
The old-age pension is the reference remuneration (your career-average monthly salary, on a 14-month basis) multiplied by the global formation rate. That rate is 2% per year up to 20 years of career and, from 21 years, varies between 2% and 2.3% per year depending on the reference-remuneration bracket, with a global maximum of 92%.
What is the reference remuneration?
It is the basis for the pension: the total of your whole-career earnings divided by 14 × n (n = calendar years with a record, capped at 40). Because the total amounts to about 14 salaries a year, it equals your career-average monthly salary. Social Security revalues older salaries by revaluation coefficients.
How many years of contributions do I need for a pension?
As a rule you need at least 15 calendar years with a record of earnings, the guarantee period. With less, there is no entitlement to the old-age pension under this regime, although a separate social old-age pension, calculated differently, may apply.
Can I retire at 60 with 40 years of contributions?
You can, under the flexibilização regime: it requires age 60 and at least 40 years of contributory career. In that regime the sustainability factor does not apply, but the 0.5% cut for each month brought forward relative to your personal retirement age still does. With exactly 40 years the personal age is the normal age (66 years and 9 months in 2026), so going at 60 is 81 months early and a permanent 40.5% cut. From 48 years of career there is no cut at all.
Is the pension paid in 12 or 14 months?
Pensions are paid 14 times a year: the 12 monthly payments plus the holiday and Christmas bonuses. The estimator shows the monthly pension and, from it, the equivalent annual amount over 14 payments.
Are the figures exact?
It is an educational estimate. It applies the official formula (RR × global formation rate) and the 2026 IAS (€537.13), but it does not revalue older salaries by coefficients, does not apply the minimum old-age pension (which can raise a low pension), and ignores the pre-2002 regime and early-retirement cuts. Always confirm your case with Social Security.

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Author: Thorben Rasmus Idel · Reviewed by: Nahar Geva · Last reviewed: