Brazil’s new monthly minimum wage set at BRL 1,621


The new value was announced after the release of the National Consumer Price Index (INPC), which is used to calculate the annual minimum wage adjustment. The index registered 0.03 percent in November and accumulated 4.18 percent over 12 months.
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Rule
The rule for adjusting the minimum wage stipulates that the value must be based on two factors: one based on the 12-month accumulated INPC (National Consumer Price Index) through November of the previous year, that is, 4.18 percent, and another based on economic growth from two years earlier.
On December 4, the Brazilian government’s statistics agency IBGE revised the 2024 Gross Domestic Product (GDP) - the sum of goods and services produced in the country - confirming an expansion of 3.4 percent.
However, the fiscal framework, a mechanism that controls the evolution of public spending, determines that gains above inflation are limited to a range of 0.6 percent to 2.5 percent.
According to the rule, the minimum wage in 2026 would be BRL 1,620.99 and, with the rounding provided for by law, it becomes BRL 1,621, an adjustment of 6.79 percent.









