How much do I save with IRS Jovem in Portugal?
| Salary per year (14 payments) | €19,600 |
| Exempt portion (100%) | €19,600 |
| IRS without IRS Jovem | €1,974 |
| IRS with IRS Jovem | €0 |
| Extra on your payslip each month (14 payments) | + €141 |
Up to age 35, in your first 10 years of work, and only if you are not your parents’ dependant for IRS · Mainland Portugal: income tax is lower in the Azores and Madeira · Figures checked in October 2026 · See assumptions ↓
How it was calculated
Up to age 35, for 10 years of earnings, part of your salary is exempt from IRS (income tax): 100% in year 1, 75% in years 2 to 4, 50% in years 5 to 7 and 25% in years 8 to 10. The exempt part is capped at €29,542.15 a year (55 times the 2026 IAS, the social support index).
Estimate for employees. You cannot be someone else's dependant or have used schemes such as NHR (RNH).
Example: you earn €1,800 gross a month and you are in year 5 of IRS Jovem (the youth tax break). Over 14 payments that is €25,200 a year, and half of it, €12,600, is exempt. Without IRS Jovem you would pay €3,241 of IRS in the year. With IRS Jovem you pay €1,496. You save €1,746 a year, about €145 a month.
The exempt part still counts when setting your rate: the taxed part is taxed at the average rate of your whole salary. It already includes the mínimo de existência (tax-free minimum).
The 2026 IRS rates may still be cut with effect from January (decree-law approved by the Government, awaiting publication). This page uses the rates currently in force.
Figures checked in October 2026 · Sources: Ofício-Circulado 20274/2025, Portal das Finanças
Estimate: An approximate result that depends on assumptions. Confirm important figures with the relevant authority.
Frequently asked questions
Who is entitled to IRS Jovem?
Anyone aged up to 35 who is not a dependant, for 10 years of employment income.
What is the IRS Jovem cap in 2026?
The exempt portion is capped at €29,542.15 a year.
Does IRS Jovem apply to recibos verdes?
Yes. IRS Jovem covers employment income (category A) and self-employed income (category B), with the same percentages and the same yearly cap. This calculator only works it out for salaries.
Do I need a degree to get IRS Jovem?
No. Since 2025, IRS Jovem does not depend on your qualifications. What counts is your age, up to 35, and not being someone else's dependant for IRS. Before 2025, you needed to have finished at least secondary school.
How do I get IRS Jovem applied to my salary?
Ask your employer, for example by email, to apply IRS Jovem to your withholding. Tell them the year you started earning income and that you are not a dependant. The employer must apply it. You also choose the scheme in your annual IRS return.