Brazil Sets 2026 Minimum Wage at R$1,621 by Presidential Decree

Overview

• The floor rises from R$ 1,518 to R$ 1,621 on January 1, 2026, a gain of R$ 103.
• The calculation applies INPC inflation of 4.18% plus a capped real increase of 2.5% from 2024 GDP.
• Government estimates the R$ 103 hike will add about R$ 43.2 billion to 2026 mandatory spending.
• Payments tied to the minimum, including unemployment insurance and BPC, will reflect the new value in early February.
• The wage serves as a reference for roughly 59.9 million people, amplifying the policy’s reach.