Thinking about relocating to Portugal or Austria? This comprehensive Portugal vs Austria comparison covers everything expats and international workers need to know: average salaries, tax rates, work-life balance, annual leave policies, maternity and paternity leave, and cost of living considerations. Whether you're a software developer, engineer, or professional considering a move to Europe, this guide will help you make an informed decision.
Average Salary Difference
-57.7%
Austria pays more
Portugal
€22,000
avg. salary
Austria
€52,000
avg. salary
Portugal vs Austria Salary Comparison
Average salary, median salary, minimum wage and top earners
Average Salary
€22,000€52,000Median Salary
€18,000€44,000Minimum Wage
€12,880€0Top 10%
€40,000€85,000Work-Life Balance: Portugal vs Austria
Annual leave, working hours, maternity & paternity leave comparison
Visual Comparison
Work Week
40 hours
38.5-40 hours
Annual Leave
22 working days minimum
25 days minimum (30 days after 25 years)
Public Holidays
13 days
13 days
Sick Leave
Up to 3 years at 55-75% salary (via Social Security)
6-12 weeks at 100% (varies by tenure)
Maternity Leave
120 days at 100% or 150 days at 80%
16 weeks at 100% salary
Paternity Leave
28 consecutive days mandatory
1 month (Papamonat)
Portugal vs Austria for Expats: Pros & Cons
Advantages and challenges for international workers in each country
Portugal
Why Work in Portugal
Affordable Living
Significantly lower cost of living compared to Western Europe, especially outside Lisbon
Quality of Life
Excellent climate, food, culture, and one of the safest countries in the world
Growing Tech Scene
Lisbon and Porto are thriving tech hubs with many startups and international companies
NHR Tax Regime
Non-Habitual Resident program offers favorable tax treatment for up to 10 years
English Proficiency
High level of English proficiency, especially among younger professionals and in tech
Challenges of Living in Portugal
Lower Salaries
Salaries are among the lowest in Western Europe, though cost of living compensates partially
High Tax Rates
Progressive IRS rates reach 48%, plus 11% social security contributions
Housing Pressure
Lisbon and Porto rental prices have risen sharply due to tourism and foreign demand
Bureaucracy
Administrative processes can be slow and complex, especially for non-Portuguese speakers
Austria
Why Work in Austria
Exceptional Quality of Life
Vienna regularly tops global livability rankings. Beautiful nature, rich culture, and excellent public services.
13th and 14th Month Salary
Employees receive 14 salary payments per year, with special payments taxed at only 6%.
Strong Worker Protections
Extensive collective agreements (Kollektivvertrage) ensure good working conditions and benefits.
Central European Location
Easy access to Germany, Switzerland, Italy, and Eastern Europe for business and travel.
Excellent Healthcare & Education
High-quality public healthcare and education system, including free university education.
Challenges of Living in Austria
High Tax Rates
Progressive tax rates up to 55% on very high incomes. Effective rates around 35-45% for most earners.
German Language Required
Unlike Netherlands, German is essential for most jobs. English-only positions are limited.
No Statutory Minimum Wage
Wages depend on collective agreements, which can be complex to navigate.
Bureaucracy
Austrian bureaucracy can be slow and requires patience, particularly for foreign nationals.
Conservative Business Culture
More traditional than Netherlands or UK; building relationships takes time.
Tax Rates Portugal vs Austria
Income tax, social security, and tax benefits comparison
Portugal
- Progressive IRS with 9 brackets from 12.50% to 48%
- Social Security: 11% employee + 23.75% employer
- 14 monthly payments (12 regular + holiday + Christmas subsidies)
- Specific deduction of €4,587 for employment income
- Solidarity surcharge: 2.5% on €81,199-€250,000, 5% above €250,000
- Minimum wage: €920/month (2026)
Austria
- Progressive tax rates from 0% to 55%
- Tax-free amount of EUR 12,816
- 13th/14th month salaries taxed at 6% flat rate
- Social security contribution of 17.99%
- Family Bonus Plus of EUR 2,000/child/year
Best Cities to Work in Portugal and Austria
Top destinations for tech jobs, expats and international professionals
Portugal
Austria
How to Find Jobs in Portugal vs Austria
Job portals, recruitment agencies, and networking platforms
Portugal
Austria
LinkedIn for international roles, karriere.at is Austria's leading job portal.
University Career Services
TU Wien, WU Vienna, and other universities have strong industry connections.
Work Visa Options: Portugal vs Austria
Visa types, requirements, and duration for non-EU workers
Portugal Work Visas
Tech Visa
Fast-track visa for tech workers joining certified companies
D7 Visa (Passive Income)
For retirees and remote workers with passive income
EU Blue Card
For highly qualified workers from outside the EU
Digital Nomad Visa
For remote workers earning from foreign sources
Austria Work Visas
Red-White-Red Card
Austria's main skilled worker visa with points-based system.
EU Blue Card Austria
For highly qualified workers with university degrees.
Red-White-Red Card Plus
For family members and transition from initial RWR Card.
Job Seeker Visa
For highly qualified individuals to search for work in Austria.
Frequently Asked Questions: Portugal vs Austria
Common questions about working in these countries
What is the average salary in Portugal vs Austria?
The average salary in Portugal is €22,000 per year, while in Austria it is €52,000 per year. This represents a 57.7% difference.
Which country has better work-life balance: Portugal or Austria?
Portugal offers 22 working days minimum annual leave and 13 public holidays with a 40 hours work week. Austria offers 25 days minimum (30 days after 25 years) annual leave and 13 public holidays with a 38.5-40 hours work week.
How does parental leave compare between Portugal and Austria?
In Portugal, maternity leave is 120 days at 100% or 150 days at 80% and paternity leave is 28 consecutive days mandatory. In Austria, maternity leave is 16 weeks at 100% salary and paternity leave is 1 month (Papamonat).
Is it better to work in Portugal or Austria as an expat?
Both are excellent choices for expats. Portugal offers: Affordable Living, Quality of Life. Austria offers: Exceptional Quality of Life, 13th and 14th Month Salary. Consider your priorities like salary, language requirements, and lifestyle preferences.
What are the main tax differences between Portugal and Austria?
Portugal: Progressive IRS with 9 brackets from 12.50% to 48%. Austria: Progressive tax rates from 0% to 55%. Both countries have different tax benefits and deductions that can significantly impact your take-home pay.
Calculate Your Take-Home Pay in Portugal or Austria
Use our free salary calculators to see exactly how much you'll earn after taxes in each country.
