Paid your meal allowance in cash? On a card, up to €94.71 more a month would be tax-free
In 2026 a meal allowance paid with your salary is tax-exempt only up to €6.15 a working day. On a meal card the ceiling is €10.455. Portugal's tax authority counted 2.4 million workers paid that way in 2025, and both limits rise in 2027.
About 2.4 million workers in Portugal received their meal allowance (subsídio de refeição) on vouchers or a meal card in 2025, according to tax authority figures sent to the Lusa news agency and reported on Thursday by RTP. In total 4.7 million people got a meal allowance, so by our count just over half (51.9%) now get it on a card.
The rest get it with their salary, by bank transfer. That is where the payment method stops being a detail.
How much of the meal allowance is tax-free in Portugal in 2026?
It depends how it arrives. Paid in cash, it is exempt up to €6.15 per working day, the same rate civil servants receive. Paid on a card or vouchers, the ceiling is 70% higher, at €10.455 a day.
Anything your employer pays above the ceiling counts as salary. You pay income tax (IRS) on it at your rate plus 11% social security, and the company pays its own social security share on that slice too.
What is the difference over a month?
We ran the numbers for someone paid the maximum tax-free amount. The gap between the two ceilings is €4.305 a day. In a month with 22 working days, that is €94.71 that arrives untouched on a card but would be taxed if paid with your wages.
The 11% social security contribution alone on that sum would be €10.42 a month. Income tax comes on top, at your marginal rate.
There is a catch. You only gain if your employer pays more than €6.15 a day. If you get exactly that, or less, it is tax-free either way and switching changes nothing.
What changes in 2027?
The base rate goes up 15 cents, under the multi-year pay deal for public-sector workers signed on 21 January. The cash exemption rises to €6.30 a day and the card exemption to €10.71. Over a 22-day month the gap grows to €97.02.
The deal already sets the later steps: €6.45 and €10.965 in 2028, then €6.60 and €11.22 in 2029.
What is a meal card worth on average?
The 2.4 million card recipients received €2,760.3 million between them in 2025. That works out at roughly €1,140 per worker for the year, an average that mixes people on small allowances with those on the maximum.
Can I ask to be paid on a card?
You can ask, but it is your employer’s call, and it is often set in the sector’s collective agreement. Cards have trade-offs: they only work in restaurants and for buying food, and the balance will not cover rent or the electricity bill.
If your allowance is above €6.15 and lands with your salary, these numbers are worth taking to HR. It fits a year in which the pay debate is not letting up, with the CGTP now demanding a €1,100 minimum wage for 2027.
Illustrative · Photo: Micheile Henderson / Pexels