Last Updated on November 8, 2023 by Maryam Siddiqui
When looking for a nice place to retire, Portugal always comes into people’s minds, and the reasons are quite obvious nowadays. Do you want to know why Portugal is so popular among retirees? Let’s check ten reasons why you should retire in Portugal. We’re pretty sure the 10th reason will blow your mind.
If you plan to enjoy the best of Europe in a single country, keep reading to know. Let’s learn why thousands of retirees are relocating from countries they’ve spent their entire lives in!
So, without further ado, let’s begin.
10 reasons why you should retire in Portugal
1. Excellent weather
If you had the chance to live in countries like the UK, Ireland, or even France, you will understand why having good weather is an important factor for expats. And also know why people from these countries choose to retire in Portugal.
Portugal has an average of more than 300 sunny days a year. That means you’ll be able to enjoy having a nice walk across the beaches for more than one-third of the year. Isn’t that nice?
Portugal is situated in southwestern Europe, on the Iberian Peninsula.
This country has approximately 92 thousand km² and is bounded to the south and west by the Atlantic Ocean and the north and east by Spain.
That means that even hot summers are not that hot, especially in the coastal regions.
This country’s average temperature revolves around 20°C as presented in the table below:
Western Coast
| Month | Air | Sea |
|---|---|---|
| Jan – Mar | 17.1 °C (62.8 °F) | 14.9 °C (58.8 °F) |
| Apr – Jun | 21.8°C (71.2 °F) | 17.5 °C (63.5 °F) |
| Jul – Sep | 26.3 °C (79.3 °F) | 19.5 °C (67.1 °F) |
| Oct – Dec | 17.2 °C (53.0 °F) | 16.1 °C (60.0 °F) |
Southern Coast
| Month | Air | Sea |
|---|---|---|
| Jan – Mar | 17.0 °C (62.6 °F) | 15.9 °C (60.6 °F) |
| Apr – Jun | 22.4 °C (72.3 °F) | 19.4 °C (66.9 °F) |
| Jul – Sep | 27.3 °C (81.1 °F) | 22.6°C (72.7 °F) |
| Oct – Dec | 17.7 °C (63.9 °F) | 17.0 °C (62.6 °F) |
So, what does that mean? A delightful feeling during the whole year, especially if you live in the southern region.
Put on your swimming suit because Portuguese beaches are waiting for you. Talking about beaches. If you’re the kind of open-minded person that enjoys each moment to the fullest, take a look at our article: The Best Nude Beaches In Portugal To Visit In Summer.
Ok, but beaches don’t come along with rain, right?
If you live in the northern region, such as in Porto, Braga or Viana do Castelo, you will see lots and lots of drops of water, especially in the period between October and February.
On the other hand, you will hardly see any rain at all during the rest of the year.
If you move south, you will face less rain and less extreme temperatures. That’s why the Algarve region is one of Portugal’s most desired places to live on earth.
2. Tax Benefits
Portugal and tax benefits (for expats) come hand in hand. Why’s that?
This country has one of the most desired tax regimes for expats: the all-famous Non-Habitual Resident Tax Regime.
In short, if you’re an expat and move to Portugal, you’ll be able to apply for this regime (but only if you do it quickly, as your deadline is next year’s March 31st).
This regime grants the new resident some of the most desirable tax benefits in the world that comprise:
- A 10% flat tax rate on most of the incomes originating outside Portugal.
- A 20% flat tax rate on most incomes obtained in Portugal.
Keep in mind that your income tax rate can reach an incredible 48% if you don’t apply for the NHR regime, although most Portuguese people pay a 23% tax rate.
Check below Portugal’s current tax rate table:
| Taxable income (EUR) – Over | Taxable income (EUR) – Not Over | Tax rate (%) | Deductible amount (EUR) |
|---|---|---|---|
| 0 | 7,112 | 14.5 | 0 |
| 7,112 | 10,732 | 23.0 | 604.54 |
| 10,732 | 20,322 | 28.5 | 1,194.80 |
| 20,322 | 25,075 | 35.0 | 2,515.63 |
| 25,075 | 36,967 | 37.0 | 3,017.27 |
| 36,967 | 80,882 | 45.0 | 5,974.54 |
| 80,882 | 47.0 | 8,401.21 |
When you start reading about the NHR regime, you’re bound to have a lot of questions. That’s why a good FAQ about the Portuguese tax system can be your best friend when studying the Portuguese tax system.
3. The most beautiful locations
Green areas, mountains, and even snow can be easily found in Portugal. Don’t we all agree that retirees should spend most of their time enjoying beautiful landscapes?
Yes, Portugal is a small country that hides small little secrets such as paradisiac Peneda-Gerês. You can even find those very relaxing natural pools such as those found in Poço da Gola and Lagoas da Serra d’Arga.
So, guess what country is on the CNN list of the 40 most beautiful countries in the world?
You can find some of the most fantastic green places in Portugal, such as:
- Alvão Natural Park
- Douro International Natural Park
- Serra da Estrela Natural Park
- Serras de Aire e Candeeiros Natural Park
- Sintra-Cascais Natural Park
- Gardens of the Queluz National Palace, Sintra
- Estrela Gardens, Lisbon
- Southwest Alentejo and Vicentina Coast Natural Park
- The golden Algarve coast
4. Nicest people in Europe
Portuguese people are some of the nicest people on the planet. Believe me; I’m also an expat who has lived in other countries before.
Once I needed to find witnesses to comply with the formalities to issue my residence statement. Two very friendly people that I met on that same day volunteered to be “lucky ones”. It was such a relief for me.
This is just one example among many other situations where Portuguese people saved my day.
If your neighbor is Portuguese, you’re a lucky person. They will probably consider you as family.
There are some nuances among people from the north and south of the country, rural areas or big cities, etc., but overall they’re all such nice people. It really made my relocation experience much easier.
When you’re retired, you’re looking for peace of mind, good people to chat with, and feel part of the community. That’s why Portugal is the best place to make good and lasting bonds.
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5. Good food and good wine
Bacalhau (codfish), Arroz de Sarrabulho, egg-based desserts of all types. When you arrive in Portugal, be sure you will gain some pounds.
Portuguese cuisine is simply delicious. It’s a heavy type of food that will make your stomach smile.
Portuguese regional dishes include:
- Lots of meats, especially in the north region, such as pork, beef, and chicken.
- On the coast, you’ll find the most delicious seafood, such as many types of fish (such as the famous Portuguese codfish), lobster, shrimps, prawns, octopus, and scallops.
- Vegetables and legumes of all sorts and types.
- The most delicious desserts, mostly egg-based.
Yes, I’m a fan of Portuguese cuisine.
In terms of types of restaurants, you will find:
- Traditional Portuguese restaurants, generally associated with good traditional food.
- Tasquinhas, where you can find the most regional and family-made food. This kind of place is spread throughout the country. It’s a good and cheap option.
- The tabernas, a place that serves small portions of traditional food along with lots and lots of wine and beer.
You’ll be well served when you come to retire in Portugal.
6. Low cost of living
Portugal is one of the most affordable countries in western Europe.
It’s commonly known that Portugal’s economy is not that strong compared to the Spanish, French, or Germany. But on the other hand, you will also find some good reasons to choose Portugal as your destination country.
Check below a minimal wage comparison between Portugal and other European countries.
| Data | Hourly | Monthly | Annually |
|---|---|---|---|
| The minimum wage in Portugal | €4.40 | €705 (12+2) | €9,870 |
| EU average minimum wage | €6 | €967 | €11,608 |
| The average salary in Portugal | €12.12 | €1,940 | €27,167 |
| EU average salary | €19.26 | €3,082 | €36,992 |
Data is updated as of December 2022.
That’s why Portuguese people always look for good and affordable options for everything.
Recently the Portuguese economy has grown a lot due to the conditions that this country has offered for expats and big companies.
Therefore, especially in the Lisbon area, the prices have also been impacted by this change, which means a more expensive cost of living compared to other Portuguese regions. See also the cheapest cities to live in Portugal on another article.
7. Safe streets
Portugal is widely known for being a safe country. Another great reason why anyone should retire in Portugal.
According to the Global Peace Index, Portugal is the 4th safest country in the world and the 2nd one among the European Union countries! That says a lot about how safe and peaceful Portugal is.
Of course, you need to always be vigilant no matter where you are in the world. As Portugal grows as a developed country, it’s expected that crimes might follow this trend.
However, the Portuguese government has been doing a good job of preventing certain types of crimes, especially violent ones.
You can check below the Portuguese crime rates between 1990 to 2020, according to MacroTrends research:
As an expat, I was afraid to take calls on the street or to drive in places that are not so bright, but little by little, our confidence grows, and you forget what it is like to live in a dangerous place.
- Read Also: Public Transport In Lisbon: All You Need To Know.
8. Healthcare
Healthcare is definitely an important topic for pensioners.
Everyone should be confident that, if something happens, they’ll have the required medical treatment they expect. Luckily, Portugal offers high-quality and cheap (often free) public healthcare.
Moving to an affordable country with nice people would be nothing if the public health system wasn’t good enough.
So, here comes the question: What do expats need to know about the Public Health System in Portugal?
- You need to obtain your Numero de Utente to have access to the public healthcare system;
- Even if you’re an expat (with your Residence Permit) you’ll have access to the public health system;
- You will be appointed a family doctor to be your personal physician;
- Before being treated with a specialist doctor, you need to have a consultation with your family doctor;
- Public hospitals and clinics are of high standard;
- You can rely only on the public healthcare system to deal with your health situation.
Keep in mind, however, that some expats also decide to have private health or travel insurance to avoid having to wait for treatment.
It’s true. The public healthcare system is incredible, but you may need to wait for a while to be consulted as you must consider the service vacancies.
But what are the best public hospitals in Portugal? Below you can find a list:
- Centro Hospitalar de Lisboa Central (Hospital Dona Estefania);
- Centro Hospitalar do Porto (Hospital Geral de Santo Antonio);
- Instituto Português de Oncologia de Lisboa;
- Clínica Central do Bonfim Lda;
- Hospital da Luz Torres de Lisboa (formerly British Hospital);
- Clinica Médica International;
- Hospital CUF.
So, especially in Lisbon and Porto, there are a wide variety of hospitals in case of need.
- Stay aware of what to do in emergencies! Read our article Accessing Public Hospitals In Portugal As A Foreigner.
9. Large expat community
Portugal has become popular; that’s the reality.
Many aspects made Portugal reach this standard, some of which were already mentioned in this article.
The recent efforts to make Portugal a country so sought after by those looking for a career in the IT sector have also aroused the interest of those working in the field.
Below you can find the list of the biggest expats communities in Portugal:
- Brazil: 183,875;
- Cape Verde: 36,466;
- Romania: 30,908;
- Ukraine: 29,218;
- United Kingdom: 46,238;
- China: 25,357;
- France: 19,771;
- Italy: 28,159;
- Angola: 18,382;
- Guinea-Bissau: 16,186;
- Spain: 14,066;
- Germany: 12,817;
- India: 24,548;
- São Tomé and Príncipe: 9,153;
- Mozambique: 3,005.
Even though this is the most updated data related to expats in Portugal, since Brexit took place, we saw an increase in the number of British people moving to this country.
A noticeable consequence of the increase of expats in Portugal is the increase in the number of people speaking English. Nowadays, you can easily find people speaking this language on the street, be it in Lisbon, Porto, and especially in the Algarve.
We can also find a relevant community of Americans who chose Portugal as a destination. Just type on Google “how to move to Portugal from” and check out the most researched terms.
The American community discovered Portugal quite recently and is definitely enjoying living there.
10. It’s easier to get a Residence Permit
If you compare Portugal with other countries such as Spain, France, and Germany, you will find that the visa application process to Portugal is the easier one. And so it is to obtain a Residence Permit.
One of the reasons for this scenario is that the local government encourages people to move and retire in Portugal.
More people living in Portugal means, after all, more commerce and, therefore, more jobs and a stronger economy.
Obviously, only those who comply with the visa procedure can legally reside in this country and, therefore, enjoy Portugal to the fullest.
Don’t forget, living in Portugal for 5 years can also grant you Portuguese citizenship.
Are you ready to retire in Portugal?
It was tough to narrow down ten reasons to retire in Portugal when there are so many more that might interest you! Join our Facebook Group – All About Portugal For Expats, and talk to people like you that made the best relocation decision of their lives!
Retirement never has to be boring, especially if you’ve chosen Portugal as your destination. You don’t want to be dealing with documentation and bureaucracy at this point of your life; let Viv Europe handle all your needs and make this process simpler and faster.
Contact us today and get help with everything from the visa application to finding your new home. We can tell you’re ready to change your life forever!
