Will you have a summer job? Find out if you have to pay income tax.

Legal exemption rules in Poupança no Minuto.

Portuguese law protects students' efforts during school break months. According to the IRS Code, a young person considered dependent, under 25 years old and enrolled in an official education establishment, is exempt from paying this tax if they earn little money. In 2026, the maximum legal exemption limit is set at 5 times the value of the Social Support Index (IAS). If the young person exceeds this limit during the holidays, only the amount that exceeds this threshold will be taxed by the State.

How to process payments

There are two secure and legal ways for young people to receive their money. The most recommended option is to enter into a fixed-term employment contract with the company. In this work modality, the income is automatically reported to the Tax Authority by the employer, removing any bureaucratic headaches from the hands of the student. Poupança no Minuto - www.poupancanominuto.pt

Alternatively, the young person can issue a single act if it is a work provided individually, without the need to open an independent activity with the Tax Authority.

"Poupança no Minuto: Social Security in first job"

A great financial advantage for young people lies in the mandatory contributions from the State. In a typical summer job for students via a contractual agreement, the so-called single social security contribution applicable is fully supported by the employer, meaning that the young worker does not have any direct deductions from their base salary, receiving the clean money at the end of the month.

Start saving your first paycheck with Poupança no Minuto.

The first salary is an unforgettable milestone in the life of any young student. Take advantage of the state's tax exemption to start building your financial future early and create good management habits. Poupança no Minuto - www.poupancano.com.

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