The arrival of spring brings with it a long-awaited financial relief for a specific segment of the population residing in our country. Around 8,000 retirees in Portugal will receive extra pay in April and May to help combat the current rise in the cost of living. Payment will be made in two installments on these dates to guarantee a phased and safe reinforcement of the domestic budget of these families welcomed in Portuguese territory.
This financial oxygen balloon is intended for citizens of Brazilian nationality who chose our country to live their retirement. The president of the South American country signed an official decree on March 19 that guarantees the anticipation of this historic thirteenth month. The government measure covers all pensioners linked to Brazil’s national social security institute who legally reside on Portuguese soil.
The information was provided by , which explains that the global amount of this capital injection into the Portuguese economy is expected to be around 2 million euros during the current year. Beneficiaries can consult all information regarding the transfer through the official Brazilian social security digital application.
The bank transfer schedule
Indicates from the same source that the money will be deposited into bank accounts in a divided manner to ensure a more balanced management of funds. The first transfer starts on April 24th and continues until May 8th, corresponding to half of the gross value of the benefit. The exact payment dates for each citizen depend exclusively on the final number entered on their beneficiary card.
The second half of this annual bonus has a slightly different execution schedule and includes the necessary tax adjustments required by law. This remaining transfer will take place between May 25th and June 8th. It will be exactly on this second financial slice that the taxes provided for in current South American legislation will be levied.
The end of penalizing double taxation
In addition to the anticipation of money, these senior immigrants recently received excellent news related to the tax burden borne across borders. The supreme court of the country of origin decided to end the blind charging of a single 25 percent tax on this income. Cutting this heavy tax rate was a very old demand from the entire emigrant community spread across the world.
The aforementioned source explains that the same progressive taxation rule that applies to retirees residing in Brazil now applies. Since the month of January there has also been a total exemption from income tax for amounts up to R$806. This legal change directly benefits the overwhelming majority of these citizens who usually receive lower pensions.
The economic profile of pensioners
The financial profile of this community reveals that most of its members live with very limited monthly budgets controlled to the cent. About 66 percent of these retirees survive on just the equivalent of the minimum wage in their home country. This base value translates into an income of approximately 261 euros per month to cover the high European cost of living.
The minister responsible for social security in the South American government guaranteed that this political decision follows the line adopted in recent years. The government official assured that the central objective is to provide total predictability and financial security to these displaced families. The relief in portfolios comes at a time when Europe is facing enormous instability caused by the current rise in prices.
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