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PPR Tax-Benefit Calculator (Portugal)

Investing in a PPR (Plano Poupança-Reforma, Portugal’s retirement-savings plan) earns an income-tax benefit: you can deduct 20% of what you pay in during the year from your IRS, up to a ceiling that depends on your age. Enter how much you plan to invest and your age to see how much you can recover on your IRS, and the point beyond which there is no further tax gain.

Use the total you plan to pay into the PPR during the year. Age only sets the benefit ceiling.

IRS benefit (tax credit)
€200.00
20% of contributions · €400.00 ceiling for your age
Amount
Invested in the PPR€1,000.00
20% of contributions€200.00
Ceiling (age)€400.00
IRS benefit€200.00
Immediate tax return
20%
Contribution that hits the ceiling
€2,000.00

You can invest €1,000.00 more (up to €2,000.00) to reach the maximum benefit of €400.00.

Ceilings by age (2026)
  • Under 35
    up to €400.00 (with €2,000.00)
  • Between 35 and 50
    up to €350.00 (with €1,750.00)
  • Over 50
    up to €300.00 (with €1,500.00)

Shows the “full” benefit (20% up to the age ceiling). What you actually recover also depends on the global limits on tax credits, which fall as income rises. Use the IRS calculator for the final tax.

Educational estimate, not tax advice. The 20% rate and the €400/€350/€300 caps are official for 2026 (Art. 21.º of the EBF). It does not include the global deduction limit by bracket or the tax on redemption. Check your assessment note.

The benefit is 20% of what you invest

The PPR tax credit (dedução à coleta) is 20% of the contributions you make during the year. For every €100 you put into a PPR, the State gives you €20 back on your IRS, as long as you stay under your age ceiling. It is one of the most direct tax benefits in the Portuguese system.

The ceiling depends on your age

The benefit has an annual cap per subscriber, set by age: €400 for under-35s, €350 between 35 and 50, and €300 above 50. Because the benefit is 20% of contributions, those caps correspond to investing €2,000, €1,750 and €1,500 a year respectively. Investing more than that adds no extra tax benefit (though it may still make sense for other savings reasons).

What the calculator shows (and does not)

The calculator shows the estimated tax benefit (the credit) and the contribution that exhausts your age ceiling. It does not compute the final IRS: the PPR deduction still competes with the global limits on tax credits (which depend on your income bracket), so high earners may not capture the full 20%. It also does not project the PPR’s future value or the tax on redemption. For the projection, use the compound-interest calculator.

Worked example

Say you are 30 and invest €1,000 in a PPR this year. The benefit is 20% of €1,000 = €200, below your €400 age ceiling: you recover €200 on your IRS. Invest €2,000 and you hit the ceiling: the benefit is €400. Beyond that, each extra euro in the PPR brings no further tax benefit. At 55 the ceiling drops to €300 (reached with €1,500 of contributions).

Frequently asked questions

How much do I get back on my IRS by investing in a PPR?
You can deduct 20% of what you pay into the PPR during the year from your tax, up to your age ceiling: €400 if you are under 35, €350 between 35 and 50, and €300 above 50. So for every €100 invested you recover €20, up to that cap.
How much should I invest to use the benefit fully?
Because the benefit is 20% of contributions, the cap is reached with €2,000 a year (under 35), €1,750 (35–50) or €1,500 (over 50). Investing more than that does not increase the IRS deduction.
Does the PPR benefit depend on my income?
Yes, indirectly. The PPR deduction counts towards the global limits on tax credits (Art. 78.º of the CIRS), which fall as taxable income rises. High earners may therefore not be able to use the full 20%. This calculator shows the “full” benefit (20% up to the age ceiling), before that global limit.
Does the calculator tell me how much IRS I will pay?
No. It shows the PPR tax benefit (the credit) and the contribution that exhausts your age ceiling. The final IRS depends on your income, deductions and family situation. To estimate the tax, use the IRS calculator.
What happens if I withdraw the PPR early?
There are conditions for redeeming a PPR without penalty (retirement, age 60, long-term unemployment, serious illness, among others). Outside those conditions, on top of capital-gains tax you may have to repay the tax benefits received, increased by a surcharge for each year. That is why a PPR is a medium/long-term product.
Are the figures exact?
The 20% rate and the €400/€350/€300 caps are in force for 2026 (Art. 21.º of the EBF). The result is an educational estimate of the benefit; it does not replace your IRS return, nor does it include the global deduction limit by bracket or the tax on redemption. Always check your assessment note.

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Author: Thorben Rasmus Idel · Reviewed by: Nahar Geva · Last reviewed: 2026-06-04