+44 7393 450837


Follow on

How Much to Retire in Portugal

Sitemap: Personal financial planning > The retirement plan guide > How much to retire in Portugal

Determining how much to retire in Portugal is important for any expat planning for retirement in the country.

Living expenses are core to one’s golden years where financial management and stability become top priority.

If you are looking to invest as an expat or high-net-worth individual, which is what I specialize in, you can email me (advice@adamfayed.com) or WhatsApp (+44-7393-450-837).

An important part of retirement planning is investing so that seniors may keep living the way they want to and not worry about running out of money.

This page will touch on the following topics:

  • How Much to Retire in Portugal
    • Cost of Living in Portugal for Retirees
  • Retiring in Portugal
    • Portugal Retirement Visa
    • Retiring in Portugal From USA
    • Downside of Retiring to Portugal

How Much to Retire in Portugal

Retiring in Portugal combines a warm climate, vibrant culture, and cost-effective living.

Generally, a couple can live in Portugal comfortably on €1,500 to €2,500 per month, covering housing, utilities, groceries, and leisure activities. This estimate varies based on location, with cities like Lisbon and Porto being more expensive than smaller towns or rural areas.

Housing costs, a significant part of the budget, can range from €600 for a modest apartment in less expensive areas to over €1,200 in prime city locations.

Healthcare in Portugal is affordable, but private health insurance, recommended for quicker access to services, can add €100 to monthly expenses.

Cost of Living in Portugal for Retirees

The cost of living in Portugal for retirees is notably lower than in many Western countries. Accommodation varies widely, with rentals outside major cities starting at around €600 per month for a comfortable apartment.

Utility bills, including electricity, water, and internet, typically total €100 to €200 monthly. Groceries for a healthy lifestyle can cost around €300 per month, depending on dietary preferences.

Leisure activities, such as dining out and entertainment, are also reasonably priced, with a nice meal at a mid-range restaurant costing about €30 for two.

Retiring in Portugal

Retiring in Portugal has many advantages, but language barriers can be a significant hurdle for retirees, particularly in rural areas where not all locals are fluent in English.

Portugal is a premier retirement destination for people from all over the globe, thanks to its mild climate, beautiful landscapes, and welcoming culture. It offers a cost-effective yet high-quality lifestyle for retirees.

The country’s affordable healthcare, low cost of living, and favorable tax regimes for foreigners make it an attractive option.

Portugal Retirement Visa

The Portugal retirement visa, part of the country’s Golden Visa program, offers a straightforward pathway to residency for non-EU citizens.

Applicants must demonstrate a stable income or pension to qualify, ensuring they can support themselves without burdening the national healthcare and social security systems.

Successful applicants can enjoy benefits such as access to healthcare, the ability to travel within the Schengen Area, and eventually, eligibility for permanent residency or citizenship.

Retiring in Portugal from the USA

The U.S. and Portugal have a tax treaty to prevent double taxation, making it vital for retirees to understand how their pensions, IRA withdrawals, and other income sources will be taxed.

Social security benefits from the U.S. can still be received while living in Portugal, but it’s important to report your overseas residence to the appropriate agencies.

Downside of Retiring to Portugal

While retiring in Portugal offers numerous benefits, language barriers pose the first challenge for many retirees, as not all locals speak English, especially in rural areas. This can complicate daily interactions and administrative processes.

Bureaucracy in Portugal can also be cumbersome, with sometimes lengthy procedures for obtaining residency, accessing healthcare, and dealing with utilities.

Cultural differences also require adjustment, as the Portuguese pace of life and public service attitudes may differ from what some retirees are accustomed to.

Pained by financial indecision? Want to invest with Adam?

smile beige jacket 4 1024x604 1

Adam is an internationally recognised author on financial matters, with over 760.2 million answer views on Quora.com, a widely sold book on Amazon, and a contributor on Forbes.



Gain free access to Adam’s two expat books.

Gain free access to Adam’s two expat books.

Get more strategies every week on how to be more productive with your finances.