Why Your 13th Salary Second Installment Is Arriving Early

Employers across Brazil are preparing to issue the annual 13th salary, but calendar quirks this year mean millions of workers will get their final bonus installment earlier than expected.

Under Brazilian labor law, companies must pay the year-end benefit in two separate installments. While the schedule typically runs into late December, specific calendar rules are adjusting the timeline.

Key Payment Deadlines

The first installment of the 13th salary must be deposited by November 30. Employers have the legal flexibility to pay this first portion anytime between February and late November.

The second installment is legally due by December 20. However, because December 20 falls on a Sunday this year, labor law mandates that employers must advance the payment to the preceding business day: Friday, December 18.

Delaying the payment to Monday, December 21, is illegal under current regulations, ensuring employees receive their funds right before the final weekend preceding Christmas.

How the Installments Are Calculated

The two installments operate under different calculation rules regarding taxes and deductions:

• First Installment: Represents roughly 50% of the employee’s gross salary without any tax deductions. Workers who requested an advance during their scheduled annual vacation will not receive a second "first portion" in November.
• Second Installment: Subject to official deductions, including social security contributions (INSS) and income tax (IRPF). Because of these withholdings, the net amount deposited in December is lower than the initial payment.

Adjustments may also occur if the worker received a salary raise, variable compensation, or experienced changes in total months worked during the year.

Rules for INSS Beneficiaries

For retirees and pensioners under the National Social Security Institute (INSS), the payout timeline differs from private-sector employees.

The federal government already advanced the annual bonus for most existing retirees across April and May. However, individuals who became eligible for INSS benefits after April will receive their single 13th salary payout in November, delivered alongside their regular monthly benefit payment.

Whether through early December deposits or adjusted INSS cycles, understanding these strict calendar deadlines ensures both workers and employers remain aligned through the holiday season.