Continuing to work until normal retirement age is, for many, the “standard” path. But in Portugal there is, in fact, early retirement without penalties in very specific cases, especially for those who have very long contributory careers and meet demanding requirements.
And there is a detail that can make a difference in extreme situations: the period of Mandatory Military Service (SMO) can be counted in the contributory career and, in specific cases, help to fulfill conditions of access to an earlier exit without cuts, as long as this time is recognized before requesting the pension.
The issue is not just “leaving early”. What’s on the table is realizing when is that the anticipation does not bring the typical cut associated with reductions in the calculation and when, on the contrary, there may still be penalties, depending on the regime applied.
The normal age continues to rise and that changes the game
According to the Ordinance that sets the normal age for access to the pension, in 2026 the normal retirement age under the general regime is 66 years and 9 months.
It is based on this reference (and, when applicable, personal age) that we calculate what is “in advance” and what can be “without penalty”.
What does “no penalties” mean in practice?
In simple terms, in early retirement there may be two reduction mechanisms, depending on the framework:
- Sustainability factor, when the law requires it to be applied;
- Reduction by anticipation, which, in the general flexibility regime, is calculated based on a monthly rate of 0.5% for each month of anticipation compared to the applicable reference age.
But here is the critical point: the sustainability factor does not apply in several cases provided for by law, including the age flexibility regime and the very long contributory career regime. In other words, there are not always “two punishments” at the same time: it depends on the specific regime.
Note: the sustainability factor applicable to pensions starting in 2025 was set at 0.8307 (reduction of 16.93%, where applicable).
The “cleanest” door: very long contributory careers
The regime most associated with the idea of early retirement without penalties is that of very long contributory careers. The law allows access at age 60 when one of the following conditions is met:
- be 48 calendar years old with a record of relevant remuneration, or
- be 46 calendar years old with a record of relevant remuneration and have started their contributory career before the age of 17.
This is where many cases fit the expression “without cuts”, because this regime removes the typical reductions applied to other advance requests.
“Personal age” and the flexibility regime
There is also the concept of a personal pension access age: it corresponds to a reduction, compared to the normal age, of four months for each year that exceeds 40 years of contributory career with a record of relevant remuneration, without ever allowing access before the age of 60.
In practice, this means that there are people with long careers who are able to lower the reference age applicable to their case and, therefore, reduce or eliminate the “real” anticipation that would still exist compared to the normal age.
Where military time comes in and why it can be decisive
The period of Mandatory Military Service can be counted, upon request, in the contributory career and is relevant for purposes such as guarantee periods and special access conditions, including regimes such as flexibility and very long contributory careers, among others.
In practice, if you are “on the verge” of serving 40, 46 or 48 years relevant to a given framework, having your SMO time recognized could be the push you needed.
Furthermore, Social Security now allows you to confirm or request in advance the inclusion of SMO time in your contributory career through Direct Social Security, to avoid delays when the time comes to formalize retirement (with conditions and documentary proof).
Military time is not the same thing as former combatant benefits
There is also a different dimension, often confused with “counting towards retirement”: specific support for former combatants. According to , there is a Special Pension Supplement paid once a year (in October), with amounts that vary depending on the length of service bonus.
This supplement can reinforce the amount received, but should not be confused with an “automatic shortcut” to lower the retirement age. They are different parts of the system.
What is worth doing before moving forward
If your goal is early retirement without penalties, there are three questions that usually separate a “yes” from an “almost”:
- How many years of relevant remuneration are actually recorded in the contributory career.
- If you fit into the very long career regime at age 60, or if you are in the flexible regime and it depends on your personal age.
- If there is any period of Mandatory Military Service to be recognized and if this changes the total number of years counted.
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