The FGTS is one of the most classic rights of Brazilian workers. This financial fund is present in the lives of all workers with a formal contract and with a formal contract, from workers in urban environments, from rural environments and even athletes who have become professional in sports.
But even though the FGTS is so important, it is, for many people, somewhat unknown. So if you want to clear up many doubts about the FGTS, how important this right is and how it is paid, stay with us and learn about this Brazilian right.
What this article covers:
How is FGTS paid?
First, let’s try to clarify why the FGTS exists. This right was created in order to provide a safe haven for workers who were fired without just cause.
Therefore, every month the company that signed the contract with the worker sends 8% of the employee’s salary to a Caixa account. This account is kept intact and can only be used in specific situations such as termination without just cause, which we have mentioned, or in extraordinary situations that are made available by the government.
Source/Playback: original
Recently there was a release of the FGTS that is available to anyone who wants it, called “Birthday Withdrawal” where the employee is entitled to receive a percentage of his FGTS on a date close to his birthday.
But it is important to remember that who pay the FGTS it is the company that hired the employee and is not a contribution from the employee. That value still belongs to the employee and will be used by him in those moments that we specify.
Can I receive FGTS through the app?
With the availability of the FGTS Anniversary Withdrawal and other extraordinary withdrawal opportunities, as well as loans using the FGTS, the government launched an application entirely dedicated to the Fundo de Garantia.
In the FGTS application, citizens can view their amount, receive extraordinary withdrawals, release loans and request the Anniversary Withdrawal. All this receiving direct in your cash account or in the account of your choice.
How is the FGTS paid?
Leaving a little of the extraordinary FGTS releases, let’s talk about the best-known means of receiving the Guarantee Fund, which is when a company employee is fired without just cause. In this situation, the employee receives a series of benefits and rights, including full access (if he has not opted for the Birthday Withdrawal) to his FGTS.
How is the FGTS balance calculated?
Another right in addition to the FGTS that the worker dismissed without just cause has, but still related to the fund, is the right to the FGTS fine paid by the company.

Source/Playback: original
This fine is 40% of the total amount of the fund that the company deposited in the months that the person was its employee. In this case, the entire amount of FGTS deposited by the company is added up, even if it has been used in countless extraordinary opportunities, and 40% of the amount that will be paid in excess by the company is extracted.
Reinforcing the observation: even if the employee has already spent his FGTS in some way, he will still receive the fine for the total deposited by the company.
What is the interest rate on the FGTS?
Few people know but the FGTS yields the worker about 3% per year, this value is then added to the TR, the reference rate.
What is the minimum time to withdraw the FGTS?
From the moment that the dismissal without just cause is approved, the employee receives his FGTS in about 5 working days, but this maximum time is hardly reached and it is normal for the employee to receive it the next day.
Now that you know everything about the FGTS and how this right works, be sure to wisely take advantage of the opportunities to use it.