Unlocking Wealth in Portugal: What It Truly Means to Be Affluent in the Land of Sun and Sea

Portugal, renowned for its inviting climate, rich history, and delectable cuisine, is quickly becoming a top destination for expats and travelers. With a lower cost of living compared to neighboring European countries, understanding what it means to be wealthy in Portugal is essential for those considering moving there.

The view across Lisbon, Portugal

In the 2024 Readers' Choice Awards by CNTraveler, Portugal was ranked second among the 20 Best Countries In The World. With increasing direct flights from the U.S. to Lisbon and Porto, Portugal's appeal is undeniable, boasting a wealth of cuisine, picturesque landscapes, and vibrant beach towns. Porto, in particular, is experiencing a resurgence in tourism, being named one of Europe's best small cities to visit in 2023.

Lisbon consistently ranks as one of the most liveable and happiest cities, thanks to its affordable healthcare and low crime rates. It boasts a Global Peace Index ranking of 7th in 2024, highlighting its safety and political stability. According to Mercer's Quality of Living Report 2024, Lisbon is the 27th best city for expats to live in, with a life expectancy of 82 years, outpacing the OECD average.

Being Wealthy In Portugal – Portugal's Cost Of Living

Portugal stands out with one of the lowest living costs in Europe. A comparison indicates that living expenses in Portugal are lower than in countries like the U.S. and U.K.:

• France: $1,200/month (excluding rent)
• U.S.: $1,166/month (excluding rent)
• Canada: $1,023/month (excluding rent)
• Thailand: $650/month (excluding rent)
• Portugal: $592/month (excluding rent)

When considering rent, the savings are even more significant. Rent in Portugal is 24% lower than in the U.K. and 40-50% cheaper than many U.S. cities. For instance, renting an apartment in Lisbon averages around $1,500, compared to $4,000 in New York, a staggering 164% difference. Furthermore, purchasing property in Lisbon costs about $6,300 per square meter.

Being Wealthy In Portugal – Portugal’s Average Annual Salary

The average gross salary in Portugal is approximately $23,000 annually, translating to about $1,835 monthly. The OECD Better Life Index indicates a net-adjusted disposable income per capita of $24,877, with Lisbon's average reaching $2,412. Expat salaries are considerably higher, averaging $102,669 annually, while the minimum wage stands at $912 for 2025.

Being Wealthy In Portugal – The Top 10%

Since 2019, there has been a 45% increase in household wealth in Portugal, primarily due to rising property prices. As with most EU nations, half of all assets are held by the top 10% of the population. More affluent individuals are increasingly choosing Portugal as their home, with 1 million foreigners residing in the country by 2023—making up 10% of the population. Portugal ranks as the ninth most popular destination for relocating millionaires in 2024.

By the end of 2023, Portugal was home to 62,700 millionaires and 108 centi-millionaires (individuals with over $100 million in liquid wealth), many of whom reside in Lisbon or along the Algarve coast. This trend underscores Portugal's attractiveness both as a travel destination and a place to live, offering a lower cost of living and a more accessible definition of wealth compared to many other countries, including the U.S..

For further insights on moving to Portugal, visit the U.S. government’s website for more information.