Every month, companies with employees submit a salary declaration (declaração de remunerações) to Portuguese Social Security. Since the start of 2026 there has been a new model, which so far has been optional. From 1 January 2027, it applies to every employer.
What changes
Under the new model, Social Security calculates each month’s contributions from the pay the company has already reported, such as each employee’s base salary. Instead of submitting the monthly declaration, the company confirms the amounts calculated. It only needs to report what is new or different, such as a pay rise, a bonus or a commission.
The deadlines
Confirmation is due by the 20th of the following month. If the company does not respond, the calculated amounts are deemed accepted. Contributions are paid between the 1st and the 25th of the following month.
A simple example: in March, an employee receives a bonus. If the bonus is not reported by 20 April, Social Security takes only the usual salary into account, and that amount is recorded as accepted. It can still be corrected later, within specific time limits, but it is better to avoid this.
What to prepare
Because the calculation starts from the data Social Security already holds, that data must be right from the outset. Hiring an employee must be reported before the contract starts, and changes to base salary must also be reported.
Before January, it is worth checking each employee’s details, deciding who reviews the amounts every month and making sure your payroll software is ready for the new model.
Guiding these decisions throughout the year is part of our work with every client. Talk to us or book an exploratory meeting.
Sources: Decree-Law no. 127/2025; Regulatory Decree no. 7/2025 of 9 December; Portuguese Social Security, FAQ — Simplificação do Ciclo Contributivo (simplified contribution cycle).