Learn about remote work in Portugal thanks to Horizons’ up-to-date guide.
Horizons is where real, local hiring expertise meets world-class customer service. Quickly and compliantly hire employees in more than 150 countries worldwide, without the need to open a local entity.
Portugal is considered a very good location to work remotely. In fact, Momondo ranked Portugal #1 worldwide for living and working remotely. The low cost of living, low cost of amenities, and mild climate mean that employees earning income from foreign companies can afford a good lifestyle in the country. Portugal’s location lends itself well to traveling throughout Europe (including visa-free travel to the Schengen area) or Northern Africa, and the relaxed Southern European business culture present in Portugal might be appealing for remote workers.
Note: If you employ remote workers in Portugal, then a home office allowance is mandatory.
Remote workers in Portugal have a variety of options to be able to live and work legally in the country, including the Portugal digital nomad visa (from October 2022).
Citizens of EU nations have the right to live and work in Portugal. If the EU citizen wants to live and work in Portugal longer than 3 months, they must apply for a residence permit and get a tax identification number.
For non-EU citizens, the path to live and work in Portugal was less clear before October 2022. For non-EU citizens who wanted to live and work remotely in Portugal the following options are possible:
Culturally, Portugal is an excellent country for remote work. From a legal/compliance perspective, it can be somewhat complicated for remote workers. One way to make the process smooth is to engage Horizons, who will take care of employment and tax compliancy.
If you want to hire a remote employee in Portugal, you have two options:
Option 1: Hire a freelancer
Option 2: Open a local entity
Option 3: Engage an international employer of record
Your business can easily hire employees in Portugal without opening a local entity.
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