FGTS Calculator

How does FGTS work?

Every month the employer deposits an amount equal to 8% of the gross salary into the Severance Indemnity Fund (FGTS). That amount never comes out of your pay; it goes into a linked account at Caixa.

There are specific situations where you can withdraw this money, such as dismissal without cause, buying a home, serious illness or the birthday-withdrawal scheme, among others.

The estimate here shows the nominal balance, without factoring in monetary correction or interest.

What FGTS is and how the deposit is computed

FGTS (Fundo de Garantia por Tempo de Serviço) is a labor severance fund created by Law 8.036/1990. Every Brazilian formal employee under CLT has a vested account at Caixa Econômica Federal where the employer deposits 8% of the gross monthly salary, on top of the salary itself — it is not deducted from the employee's paycheck. The formula is straightforward: FGTS = gross salary · 0.08. A worker earning R$ 3,000 has R$ 240 deposited each month, totaling R$ 2,880 per year (or R$ 3,120 including the proportional 13th salary, which also generates FGTS).

The fund earns a fixed rate of 3% per year plus TR (Taxa Referencial, usually near zero), historically below inflation, which is why employees rarely treat FGTS as a savings vehicle. The young apprentice contract (menor aprendiz) carries a reduced rate of 2%. Domestic workers were brought into the system by the Lei das Domésticas (LC 150/2015) and follow the standard 8%.

Withdrawal rules and the 40% fine

FGTS cannot be withdrawn freely. Allowed events include: dismissal without just cause, retirement, serious illness (cancer, HIV, terminal conditions), purchase of a residential property, account inactive for 3+ years and the optional saque-aniversário (birthday-month withdrawal) modality introduced in 2020. Choosing saque-aniversário forfeits the right to withdraw the full balance on dismissal — only the 40% fine remains accessible.

On dismissal without just cause, the employer must pay a 40% fine over the entire FGTS balance (not just the last deposit). On a R$ 3,000 salary over 12 months, the accumulated R$ 2,880 generates a R$ 1,152 fine — a meaningful share of the total severance package. FGTS deposits are exempt from income tax both at deposit and at withdrawal.

FAQ

Is FGTS deducted from my salary? No. It is an additional cost paid by the employer over and above the salary. Your net paycheck is unaffected by the FGTS deposit.

Does the 13th salary generate FGTS? Yes. The proportional 13th salary is part of the FGTS calculation base, so December typically shows a double deposit.

Should I opt for saque-aniversário? Only if you do not foresee a dismissal in the near term and prefer yearly liquidity. The trade-off is losing access to the full balance if you are fired — only the 40% fine and the birthday slice remain available.