For the third consecutive year, Portuguese pensioners with lower incomes will receive an extraordinary supplement of up to 200 euros in December. Prime Minister Luís Montenegro announced the measure during a parliamentary debate, explaining that the Executive intends to increase the income of families, workers, and pensioners, returning part of the country's economic and financial results. The supplement will arrive together with the December pension and the Christmas subsidy.
The model will be similar to last year's, with three tiers of support. Pensioners with pensions up to 537.13 euros (one IAS) receive 200 euros, those who receive between 537.13 euros and 1,074.26 euros receive 150 euros, and those who receive between 1,074.26 euros and 1,611.13 euros receive 100 euros. The supplement is assigned per pensioner, not per pension, meaning that those who receive multiple pensions add the values together to determine the bonus amount.
In tax terms, in 2024 the supplement was subject to IRS withholding tax, but in 2025 it was exempt. Therefore, the bonus will arrive in full to the pensioners' wallets. The examples show that a pensioner with a pension of 400 euros will receive one thousand euros in December, a pensioner with one thousand euros will receive 2,108.6 euros, and a pensioner with 1,600 euros will receive 2,948.7 euros.
The Government also announced an adjustment to the withholding tax tables with tax relief up to the sixth bracket, but it is not yet certain which rates will be applied. The measures will cost 800 million euros to the State treasury and will be approved next week in a Council of Ministers, with the tax relief still having to pass parliamentary scrutiny.
