Thinking about relocating to Spain or Portugal? This comprehensive Spain vs Portugal 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
+40.9%
Spain pays more
Spain
€31,000
avg. salary
Portugal
€22,000
avg. salary
Spain vs Portugal Salary Comparison
Average salary, median salary, minimum wage and top earners
Average Salary
€31,000€22,000Median Salary
€23,000€18,000Minimum Wage
€17,094€12,880Top 10%
€60,000€40,000Work-Life Balance: Spain vs Portugal
Annual leave, working hours, maternity & paternity leave comparison
Visual Comparison
Work Week
40 hours
40 hours
Annual Leave
22-30 days (22 minimum)
22 working days minimum
Public Holidays
14 days
13 days
Sick Leave
12-18 months (60-75% salary)
Up to 3 years at 55-75% salary (via Social Security)
Maternity Leave
16 weeks at 100% salary
120 days at 100% or 150 days at 80%
Paternity Leave
16 weeks at 100% salary
28 consecutive days mandatory
Spain vs Portugal for Expats: Pros & Cons
Advantages and challenges for international workers in each country
Spain
Why Work in Spain
Excellent Quality of Life
Mediterranean climate, rich culture, and a lifestyle that prioritizes enjoyment and social connections.
Lower Cost of Living
Housing, food, and daily expenses are significantly cheaper than Northern Europe.
Growing Tech Scene
Barcelona and Madrid have thriving startup ecosystems with increasing international opportunities.
Equal Parental Leave
Both parents receive 16 weeks of fully paid leave, among the most equal in Europe.
Generous Holidays
Up to 14 public holidays plus 22+ vacation days means ample time for rest and travel.
Challenges of Living in Spain
Lower Salaries
Average salaries are significantly lower than in Germany, Netherlands, or France.
High Unemployment
Spain historically has higher unemployment rates, especially among young professionals.
Language Barrier
Spanish is essential for most roles; English-only positions are mainly in multinational companies.
Late Work Hours
Many offices work until 7-8 PM, which may not suit those preferring early finishes.
Temporary Contracts
Temporary employment contracts are common, providing less job security.
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
Tax Rates Spain vs Portugal
Income tax, social security, and tax benefits comparison
Spain
- Progressive tax system from 19% to 47%
- Regional variations in tax rates
- Social security around 6.35% for employees
- Special regime for expats (Beckham Law)
- Two extra salary payments (14 payments/year)
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)
Best Cities to Work in Spain and Portugal
Top destinations for tech jobs, expats and international professionals
Spain
Portugal
How to Find Jobs in Spain vs Portugal
Job portals, recruitment agencies, and networking platforms
Spain
Portugal
Work Visa Options: Spain vs Portugal
Visa types, requirements, and duration for non-EU workers
Spain Work Visas
Highly Qualified Professional Visa
For skilled workers with job offers in Spain meeting salary thresholds.
Digital Nomad Visa
New visa for remote workers employed by non-Spanish companies.
Entrepreneur Visa
For entrepreneurs planning to start or move a business to Spain.
EU Blue Card Spain
For highly qualified workers with degree and high-salary job offer.
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
Frequently Asked Questions: Spain vs Portugal
Common questions about working in these countries
What is the average salary in Spain vs Portugal?
The average salary in Spain is €31,000 per year, while in Portugal it is €22,000 per year. This represents a 40.9% difference.
Which country has better work-life balance: Spain or Portugal?
Spain offers 22-30 days (22 minimum) annual leave and 14 public holidays with a 40 hours work week. Portugal offers 22 working days minimum annual leave and 13 public holidays with a 40 hours work week.
How does parental leave compare between Spain and Portugal?
In Spain, maternity leave is 16 weeks at 100% salary and paternity leave is 16 weeks at 100% salary. In Portugal, maternity leave is 120 days at 100% or 150 days at 80% and paternity leave is 28 consecutive days mandatory.
Is it better to work in Spain or Portugal as an expat?
Both are excellent choices for expats. Spain offers: Excellent Quality of Life, Lower Cost of Living. Portugal offers: Affordable Living, Quality of Life. Consider your priorities like salary, language requirements, and lifestyle preferences.
What are the main tax differences between Spain and Portugal?
Spain: Progressive tax system from 19% to 47%. Portugal: Progressive IRS with 9 brackets from 12.50% to 48%. Both countries have different tax benefits and deductions that can significantly impact your take-home pay.
Calculate Your Take-Home Pay in Spain or Portugal
Use our free salary calculators to see exactly how much you'll earn after taxes in each country.
