FGTS (Brazilian employee severance fund) can help you travel more cheaply: see what few people know

Many people have money sitting idle in their FGTS (Brazilian employee severance fund) and don't know that part of it can be withdrawn every year. See how to check your balance and use that money to travel without straining your budget.

Can the FGTS (Brazilian employee severance fund) help pay for a trip?

The Guarantee Fund (FGTS) was not created for leisure, and there is no rule that allows withdrawals for travel. However, the birthday withdrawal, an optional option, allows you to withdraw a portion of your balance every year, in the month of your birthday. This money is deposited into your account and you can use it as you wish, including for a trip.

Those who plan ahead can combine that amount with a flight deal and take the trip without having to pay in installments with their credit card.

FGTS

Caixa's official app for checking your balance, statement, and choosing the withdrawal method for your Guarantee Fund.

Why it's worth it:

Shows the balance of all FGTS accounts
Allows you to sign up for the birthday withdrawal program
It indicates the account where the money will be deposited

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How to check your balance using your mobile phone

Step 1: Download the FGTS app

Install the official app from the Play Store and log in with your gov.br account.

Step 2: Check your balance

The home screen displays the total of all your accounts, including those from previous jobs.

Step 3: Check the withdrawal month

If you opt for the birthday withdrawal, the app shows you how much you can withdraw and in which month the amount will be available.

Step 4: Choose where to receive it

Please provide the bank account details where the money should be deposited. The transfer is free of charge.

When is it possible to withdraw money without being fired?

Besides dismissal without just cause, FGTS (Brazilian employee severance fund) can be withdrawn in some situations stipulated by law, such as buying a home, retirement, and serious illnesses. For those who remain employed and want to use the balance for daily expenses, the anniversary withdrawal is the most common option.

How the birthday withdrawal works

Every year, during your birthday month, you can withdraw a percentage of your balance plus an additional amount, depending on the value range of your fund balance. The app calculates the exact amount instantly.

There's an important trade-off: those who opt for the birthday withdrawal and are dismissed without just cause receive the 40% severance pay, but cannot withdraw the total balance of their account at that moment. Therefore, it's worth thinking carefully before choosing.

Early withdrawal of the birthday bonus

Some banks offer to advance withdrawals from future years in the form of a loan, using the FGTS (Brazilian employee severance fund) itself as collateral. Interest rates are usually lower than those of credit cards, but it's still a debt. This is only worthwhile if the trip is already planned and the cost fits within the budget.

Things to consider before using your FGTS (Brazilian employee severance fund) for travel

Understand the rules of the birthday withdrawal program before signing up
Compare interest rates for early repayment between banks
Don't compromise your emergency funds
Buy a discounted ticket to get more value for your money
Be wary of messages that ask for your information to release your FGTS (Brazilian employee severance fund)

Frequently Asked Questions

Can I withdraw my FGTS (Brazilian severance pay fund) just for travel?

There is no specific withdrawal option for travel, but the anniversary withdrawal amount can be used however you like.

Is the app safe?

Use only the official Caixa app, logging in via gov.br.

Can I opt out of the birthday withdrawal?

Yes, but reverting to the termination withdrawal option is only valid after a waiting period.

FGTS (Brazilian employee severance fund) can help you travel more cheaply: see what few people know

Can the FGTS (Brazilian employee severance fund) help pay for a trip?

FGTS