Last updated: 28 September 2026 · By Haider Shah, accounting technician in Portugal
Many immigrants in Portugal send money home every month. Small differences in fees and exchange rates add up to hundreds of euros a year, so it pays to compare.
The real cost = fee + exchange rate margin
Many services advertise “zero fees” but give you a worse exchange rate than the real market rate. Always compare the amount the receiver gets for the same euros sent, not the fee.
Your options
| Option | Pros | Cons |
|---|---|---|
| Online transfer apps (licensed money transfer companies) | Usually cheapest, fast, transparent | Need ID verification, sometimes limits |
| Your Portuguese bank (SWIFT transfer) | Safe, for large amounts | Often expensive: fees plus poor rate |
| Agents / shops (Western Union, MoneyGram, etc.) | Cash pick-up, no bank needed | Usually higher total cost |
Tips
- Check the service is authorised to operate in the EU (Banco de Portugal’s register)
- Send larger amounts less often if the fee is fixed
- For Pakistan, sending through official banking channels can make recipients eligible for home-country incentives on remittances; ask the receiving bank
- Keep receipts. They help prove support for family, for example in family reunification or tax matters
Taxes
Sending your own money to family is not taxed in Portugal. But if you receive income from abroad while resident in Portugal, it must be declared in your IRS.
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Contact meOfficial sources
This guide is general information, checked against official sources on 28 September 2026. Rules and portals in Portugal change often, so confirm the current rules with the official source before you act. It is not legal advice.
