Money in Portugal: ATMs, Cards, Cash and Tipping

Money questions come up in our groups every week: “Do I need cash?”, “Which ATMs are safe?”, “How much should I tip?” Here’s everything you need to know about paying your way in Portugal without losing money to fees.

Quick answer: pay by card almost everywhere, carry a little cash for small cafés and markets, take money out of bank (Multibanco) ATMs, avoid the yellow Euronet machines, and always choose to pay in euros. Tipping is appreciated but not expected.

Cash or card?

Portugal’s currency is the euro (€). Cards, contactless and phone payments (Apple Pay, Google Pay) work in nearly all hotels, restaurants, supermarkets and shops, and on the Lisbon metro. Keep some cash, around €20–50, for:

• small family-run cafés and tascas (some have a card minimum, or are cash only)
• markets, kiosks and street food
• tips, toilets and the odd parking machine
• rural areas and small villages

Visa and Mastercard are accepted almost everywhere. American Express is accepted less often, so don’t rely on it as your only card. If a small café has a sign saying só dinheiro, it means cash only.

What about MB WAY?

You’ll see the red MB WAY logo everywhere. It’s a Portuguese phone payment app that locals use to pay in shops and send money to each other. It’s designed for people with a Portuguese bank account, so most visitors won’t need it. A normal card or phone wallet does the same job.

ATMs: Multibanco vs Euronet

This is where most visitors lose money.

• Multibanco ATMs are run by Portuguese banks and found outside banks and in supermarkets. They don’t usually add their own fee (your home bank might).
• Euronet and other independent ATMs are the bright yellow and blue machines in tourist streets, airports and hotel lobbies. They commonly charge €5–8 per withdrawal and push a bad exchange rate on top.

Rule of thumb: if the ATM isn’t attached to a bank or doesn’t say Multibanco, walk on.

Multibanco machines are blue and white with the MB logo, and they usually give you a choice of languages. Take out larger amounts less often if your home bank charges a flat fee per withdrawal. In small villages there may be only one ATM, and it can run out of notes on festival weekends, so top up in a town before you head into the countryside.

Always pay in euros (say no to “conversion”)

When an ATM or card machine asks “Pay in your home currency?” or offers a “guaranteed rate”, choose EUR / euros / without conversion. This trick is called dynamic currency conversion and can quietly add 3–7% (sometimes more) to every payment. Your own bank or travel card almost always gives a better rate.

The same choice appears on card machines in shops and restaurants, and sometimes the staff pick it for you. Check the screen before you tap or enter your PIN, and if it shows your home currency, ask them to cancel and run it again in euros.

Travel cards save money

Cards from Wise, Revolut and other travel-friendly banks give you close-to-real exchange rates and low or no foreign fees. Many of our members use one for the whole trip. Set it up before you leave, and keep a second card in a different bag as a backup.

Tipping in Portugal

• Restaurants: service isn’t usually added. Rounding up or leaving 5–10% for good service is appreciated, but not expected the way it is in the US.
• Cafés and bars: leave the small change, or nothing.
• Taxis: round up to the nearest euro or two.
• Tour guides and drivers: a tip for a great day out is a nice gesture. €5–10 per person is common for a day tour.
• Hotels: a couple of euros for housekeeping or porters if you like.

Card machines rarely have a tip option, so leave a tip in cash on the table. See our full guide to tipping in Portugal.

The “couvert”: bread and olives aren’t free

In many restaurants, bread, butter, olives or cheese arrive at the table before you order. This is the couvert, and you’ll be charged for anything you eat. It’s completely normal and usually just a few euros. If you don’t want it, politely send it back.

Taxis and ride apps

• New taxi fares: under the new national tariff (in force from 23 October 2026, with meters switching over by January 2027), taxi meters start with a flag fall of €2, then charge by distance and time. The old extra charges for luggage and pets have been scrapped, but a supplement for calling a taxi by phone remains.
• Apps: since 1 September 2026, Uber and Bolt surge pricing is no longer capped, so prices can jump at busy times. Compare before you book. See Uber vs Bolt vs taxi.
• Lisbon airport: fixed taxi fares from the airport are due to start on 15 October 2026. Check the price for your zone at the rank before you get in.

Other costs to know about

• Tourist tax: Lisbon charges €4 and Porto €3 per person per night (for guests aged 13 and over, for up to seven nights), usually paid at check-in. Many other towns charge one too.
• Tolls: many motorways have electronic tolls. Get a toll device with your hire car. See our car rental guide.
• Transport: load a navegante card in Lisbon to save on every trip. See our Lisbon transport guide.
• Toll-free motorways: since 1 January 2025, the A22 across the Algarve and several motorways in the interior (A23, A24, A25, A13 and the A4 beyond Amarante) have been free. The A1 Lisbon to Porto and the A2 Lisbon to the Algarve are still tolled. See Portugal tolls explained.
• Azores and Madeira: on São Miguel the tourist tax is €2 per person per night for up to three nights. Sales tax (IVA) is lower on the islands than on the mainland.

Tax-free shopping

Prices in shops include IVA (VAT), which is 23% on most goods on the mainland. If you live outside the EU, you may be able to claim some of it back on larger purchases. The minimum spend is €61.50 in one shop. Ask for a tax-free form in the shop, keep the receipts and goods together, and validate them at the airport before you check in your bags. UK visitors count as non-EU for this.

How much does Portugal cost?

Portugal is still good value compared with much of Western Europe, though Lisbon and the Algarve in summer are noticeably pricier than the rest of the country. A coffee and pastel de nata is a couple of euros, a prato do dia (dish of the day) lunch in a local restaurant is often around €10–15, and dinner out costs more in tourist hotspots. The cheapest meals are where locals eat, a street or two away from the main squares.

• Cheapest areas: the Alentejo, the Centro region and the north outside Porto, where rooms and meals cost noticeably less.
• Priciest times: July and August in the Algarve, and Christmas, New Year and big festival weekends in Lisbon, Porto and Funchal.
• Saving tips: eat your main meal at lunchtime, buy picnic food at a market or supermarket, and use trains and buses between cities. See Portugal on a budget and our Portugal trip cost breakdown.

Staying safe with money

• Watch your bag on Lisbon’s tram 28 and at busy viewpoints. Pickpockets love crowds.
• Don’t carry all your cards and cash in one place.
• Use ATMs inside banks or shops where you can.
• Cover the keypad when you enter your PIN, and don’t accept help from strangers at an ATM.
• If a card is lost or stolen, freeze it in your bank’s app straight away and report it to the police (PSP in cities, GNR in rural areas) if you need a report for insurance.

FAQ

Do I need cash in Portugal?

Only a little. Cards and phone payments work almost everywhere, but €20–50 in cash is handy for small cafés, markets, tips and villages.

Which ATMs should I use in Portugal?

Use Multibanco machines run by Portuguese banks, which don’t usually add their own fee. Avoid independent machines such as Euronet, and always choose to be charged in euros.

Is tipping expected in Portugal?

No. Service isn’t usually added to the bill, and rounding up or leaving 5–10% for good service is plenty. Leave it in cash, as card machines rarely have a tip option.

Can I get a tax refund on shopping?

If you live outside the EU, including the UK, you can usually claim back some of the IVA when you spend at least €61.50 in one shop. Ask for a tax-free form and validate it at the airport before you check in your bags.

Our free Portugal trip checklist has the rest of the essentials.

See also: Portugal’s tourist tax by city.

Prices and details change, so please double-check before you travel. Spotted something out of date? Tell us in the groups.