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Portugal Severance Pay Calculator (Compensação)

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Portugal compensação por despedimento 2026: 14 days a year, older contracts and caps

Estimates only, not financial advice. What you type stays on your device. Checked against sources on 18 Oct 2026.

A worker in Portugal hired in January 2015 on 1 500 euros a month and dismissed at the end of June 2026 receives 7 214,25 euros of compensation: 12 days of pay per year up to April 2023 and 14 days per year since May 2023, in proportion for part years, with a cap of 12 months of pay.

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2026 · Rates and rules read from the sources listed on this page (the earliest on 18 Oct 2026); they may have changed since.

How to calculate severance pay in Portugal

1

Type the date the contract started and the last day of work, in 2026.

2

Type the monthly base pay (retribuição base) and any diuturnidades.

3

Read the compensation, period by period with the days per year that apply to each.

4

Check whether the 12-month cap or, for contracts before November 2011, the 3-month floor changed it.

About the Portugal Severance Pay Calculator

This calculator works out the compensação of article 366.º of the Código do Trabalho, due on a collective dismissal, the extinction of a job or dismissal for unsuitability, for a contract without a term that ends in 2026.

The rule today. Since 1 May 2023 (Lei 13/2023) each complete year of seniority is worth 14 days of base pay and diuturnidades, a part of a year in proportion, and a day is one thirtieth of the monthly pay. The time before keeps the rules of Lei 69/2013: 12 days a year from October 2013. The 14 days apply to older contracts too, as article 35.º n.º 2 of Lei 13/2023 makes no exception.

Older contracts. A contract signed before 1 November 2011 gets one month (30 days) per year up to 31 October 2012, with no cap on the pay; 20 days a year from November 2012 to September 2013; and, from October 2013, 18 days for the first three years of a contract still younger than three then, otherwise 12. A contract signed between November 2011 and September 2013 gets 20 days a year up to September 2013. The calculator splits your seniority into these periods and shows each one.

Caps. Except in the oldest period, the monthly pay counted is at most 20 minimum wages (18 400 euros in 2026). The whole compensation is at most 12 months of pay, or 240 minimum wages (220 800 euros) when the pay cap applies. If the oldest periods alone already reach that, they are paid in full and nothing is added. Contracts from before November 2011 never get less than 3 months of pay.

What is not here. Fixed-term and temporary contracts, unlawful dismissal (compensated under other rules, set by a court), collective agreements and contracts ending outside 2026, whose minimum wage differs.

For the take-home pay of a new job use the Portugal Net Salary Calculator.

Everything runs in your browser; nothing you type is sent anywhere.

Frequently asked questions

How is severance pay calculated in Portugal?

Compensation under article 366.º of the Labour Code is 14 days of base pay and diuturnidades per complete year of seniority since 1 May 2023, and 12 days per year for the time before, from October 2013. A part of a year counts in proportion, and one day is the monthly pay divided by 30.

How much do I get for 11 years on 1 500 euros?

Someone hired on 1 January 2015 on 1 500 euros and dismissed on 30 June 2026 gets 4 997,26 euros for 8 years and 120 days at 12 days a year, plus 2 216,99 euros for 3 years and 61 days at 14 days a year: 7 214,25 euros in all.

Is there a maximum compensation?

Yes. The monthly pay counted is at most 20 minimum wages, 18 400 euros in 2026, and the total is at most 12 months of the worker's pay, or 240 minimum wages, 220 800 euros, when the pay cap applies. Contracts from before November 2011 can keep a larger amount earned up to October 2012.

What changes for a contract signed before November 2011?

Lei 69/2013 keeps one month of pay per year up to 31 October 2012, 20 days a year up to 30 September 2013, then 18 or 12 days, and guarantees at least 3 months of pay in all. Contracts signed between November 2011 and September 2013 get 20 days a year up to September 2013.

Which dismissals give this compensation?

Article 366.º applies to collective dismissal, and the Labour Code sends to it for the extinction of a job and for dismissal for unsuitability. Dismissal for a disciplinary reason gives none, and an unlawful dismissal is compensated under different rules, with the amount set by a court rather than by this formula.

Does the 14-day rule apply to all my years of work?

No. Lei 13/2023 raised the compensation to 14 days only for the time worked from 1 May 2023, its date in force. Years before that keep the earlier rates, so most current contracts mix 12 days and 14 days a year, which the calculator splits.

Sources

  • Lei n.º 13/2023, de 3 de abril (Diário da República): art. 366.º n.º 1 and art. 35.º n.º 214 days of base pay and diuturnidades per complete year, for the time from 1 May 2023
  • Lei n.º 69/2013, de 30 de agosto, art. 5.º (Diário da República text, copy published by Universidade de Lisboa)Transitional rules: 30 days to Oct 2012, 20 days to Sep 2013, 18 then 12 days, the caps and the 3-month floor
  • DGERT, Compensação por despedimento coletivo (artigo 366.º)Pay capped at 20 x RMMG; total at most 12 months or 240 x RMMG; daily pay = monthly / 30; fractions in proportion
  • DGERT, Retribuição mínima mensal garantida para 2026 (Decreto-Lei n.º 139/2025)RMMG of 920 euros from 1 January 2026

Applies to: Portugal. Tax year: 2026. Last verified 18 October 2026.

Figures from Lei n.º 13/2023, de 3 de abril (Diário da República): art. 366.º n.º 1 and art. 35.º n.º 2 and 3 other sources listed above, read 18 October 2026. Built by Saifuddin, Omnikit.

Rates and rules change; check the source before you rely on a figure.

Still stuck? Ask about Portugal Severance Pay Calculator (Compensação) and anybody who knows can answer. No account needed.

Common uses

  • Cálculo da Indemnização por DespedimentoCálculo da compensação por despedimento em Portugal: 14 dias por ano e regime transitório

Same job, other tools: Salary After Tax Calculator – Old regime or new regime, and what each leaves you every month · Notice Period Buyout Calculator – What an employer recovers for the notice days you do not serve.

On the related tools: PF Calculator – What your PF account will hold when you retire.

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