Find out what FGTS is and how it can help your financial life.
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O Guarantee Fund of Length of Service (FGTS) is a reserve for Brazilian workers. It protects workers, especially in the event of unfair dismissal. Employers make monthly deposits into accounts at the Caixa Econômica Federal on behalf of employees.
Workers can use their FGTS in various situations. This includes buying your own home, in natural disasters and for treatment of serious illnesses.
Main points
- O FGTS is a financial reserve for Brazilian workers.
- Deposits are made monthly by employers.
- Protects employees in the event of unfair dismissal.
- FGTS balance can be used to buy your own home.
- Caixa Econômica Federal manages the FGTS accounts.
- Resources can also be used in emergency situations.
What is the FGTS?
O Guarantee Fund do Tempo de Serviço (FGTS) is very important for workers in Brazil. It was created by Law No. 5,107 in 1966. It helps workers save money, with monthly deposits made by the employer.
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Definition of FGTS
To understand what is FGTSIt's important to know that this is an account linked to the employment contract. The employer pays 8% of the employee's salary every month. This money can be used in certain situations, such as when the worker is dismissed without just cause or retires.
History and origin of the FGTS
A origin of the FGTS goes back to the 1960s, a time of great change in labour in Brazil. The FGTS was created by the government to replace ten-year stability. This gave workers security after ten years with the same company. The FGTS offers financial protection that is quicker and easier to access.
Objectives of the FGTS
The main objectives of the guarantee fund include protecting workers in the event of unfair dismissal. It also supports emergencies such as serious illnesses and natural disasters. It also helps people buy their own homes and promotes the country's economic growth by financing important projects.
Who is entitled to FGTS
O FGTS entitlement covers many workers, both in urban and rural areas. They need to be formally employed. Let's see who can receive this benefit.
Formal employees
The formal employees work on CLT contracts. They have FGTS entitlement as social protection. The employer must deposit 8% of the worker's salary in a Caixa Econômica Federal account.
Domestic workers
Domestic workers also have FGTS entitlement. They work in services for families or individuals. Employers must deposit the amount monthly into the FGTS account, guaranteeing financial security.
Rural workers
The rural workers are also entitled to FGTS. They work in cultivation, harvesting and animal husbandry. This inclusion helps to offer economic support to these professionals with challenging working conditions.
How the FGTS is deposited
The deposit of the FGTS is very important for the financial security of the worker. It's crucial to understand how it works in order to protect your rights.
Employer liability
A employer's liability in fgts deposit is total. They must deposit 8% of the employee's gross salary with the Federal Savings Bank. If there are delays or errors, the employer can be fined.
Frequency of deposits
O deposit FGTS is paid monthly. It must be made by the 7th of each month, for the previous month's salary. This helps the worker to save and have funds for emergencies.
Percentage of monthly deposit
The percentage of the monthly deposit is 8% of the gross salary. This amount includes all remuneration, such as overtime and commissions. It is vital that the full amount is deposited to protect workers' rights.
| Deposit type | Value (%) | Deposit Deadline | Responsibility |
|---|---|---|---|
| FGTS deposit | 8% | Until the 7th of each month | Employer |
How to check your FGTS balance
The FGTS balance can be consulted in various ways. This makes it quick and easy to access your financial information. Here are the main methods for consulting your FGTS balance.
Access via the Caixa website
To consult the FGTS balance go to the official Caixa Econômica Federal website. Create a register with your personal details. This will give you access to information about your FGTS, such as your balance and movements.
FGTS App
O FGTS application is a practical way to access your FGTS balance. It is available for smartphones. With it, you can check your balance, see a detailed statement and even request a withdrawal. Simply download the app, log in with your CPF and password, and have all the information at your fingertips.
SMS enquiry
Checking your FGTS balance via SMS is another practical option. To register, go to a Caixa branch or the Caixa website. Choose to receive automatic notifications on your mobile phone. This way, you'll be informed of any deposits or movements in your FGTS account.
| Method | Advantages |
|---|---|
| Caixa website | Ease of access, centralisation of information |
| FGTS App | Mobility, instant access, additional functionalities |
| SMS enquiry | Automatic updates, convenience |
Who can withdraw their FGTS
O Guarantee Fund of Time of Service (FGTS) offers financial security to workers. In order to withdraw it, certain conditions must be met. Let's see what these conditions are and when you can withdraw.
Conditions for withdrawal
You can withdraw your FGTS in various situations. For example:
- Unjustified dismissal
- Termination of fixed-term contract
- Retirement
- Death of the worker (the withdrawal is made by the dependents)
- Diagnosis of serious illnesses such as cancer or HIV
These are the most common situations. However, it is important to check with the Caixa Econômica Federal for specific conditions for withdrawing FGTS.
Situations of need
In addition to normal situations, the FGTS withdrawal can be done in situations of need. For example:
- Buying your own home
- Settlement or amortisation of the outstanding balance of housing loans
- Natural disasters in areas recognised by the federal government
These situations allow workers to withdraw their FGTS in times of great need.
Birthday withdrawal
The FGTS anniversary withdrawal allows you to withdraw part of your balance every year. It's a way of having access to the fund every year, following a Caixa calendar. To make the anniversary withdrawal, you need to register and keep an eye on the dates.
For more information on the anniversary withdrawal and its benefits, see the Caixa Econômica Federal website or the FGTS application.
Steps to withdraw FGTS
Want to withdraw your FGTS? It's good to know what to do before you go to Caixa. Firstly, check the FGTS documentation necessary. This avoids problems. Then follow the correct steps at the branch or online for an easy withdrawal.
Documentation required
To withdraw your FGTS, you need specific documents. A FGTS documentation varies depending on the reason for the withdrawal. You will need an identity card, a work permit and documents proving the reason for the withdrawal. Have all the documents ready to speed up the process.
Procedures at Caixa Econômica
At Caixa, you can choose between going to the branch or using digital services. However, it's important to follow the steps to withdraw FGTS indicated. The instructions are clear and aim to make the process simple for you.
Deadline for receipt
The time it takes to receive the money varies depending on the type of withdrawal. But Caixa is fast. In some cases, the money can arrive within a few days. Check the status of your request on the website, app or at the branch.
Following the steps to withdraw FGTS and looking after FGTS documentationYou can access your resources quickly and easily. This avoids unnecessary complications.
FGTS benefits
The Severance Indemnity Fund (FGTS) brings many benefits to Brazilian workers. It offers financial security, easy access to funds in times of need and can be used as an investment.
Financial security
Financial security is a major benefit of the FGTS. If you are dismissed without cause, you can use this fund to support yourself until you find another job. In this way, the FGTS protects and maintains financial stability.
Easy access to values
A great fgts benefit is the ease of withdrawing the amounts. In emergencies, such as serious illnesses or disasters, the FGTS can be withdrawn quickly. It is also possible to withdraw a portion of the fund every year, which helps to use the resources as needed.
As an investment
Investing FGTS in property is a great idea. It makes it easier to buy your own home. What's more, the FGTS can help pay off property debts, reducing the amount you owe. In this way, the FGTS is a powerful tool for investing and improving your financial life.
How the FGTS statement works
The FGTS statement is very important for those who have a formal contract. It shows the deposits made by the employer, income and withdrawals. With these fgts informationYou can see if your rights are being honoured and plan your money better.
Information available on the statement
No fgts statementyou will find important data. This includes
- FGTS balance
- Deposit history
- Payment dates
- Monetary income and updates
How to issue a statement
To find out how to issue a fgts statementThere are several ways:
- Caixa website: Access the Caixa Econômica Federal portal to consult and issue your statement.
- FGTS application: Use the mobile app to view your fgts information.
- Caixa branches: Go to a Caixa Econômica branch with your work permit and a photo ID.
Extract interpretation
It's crucial to understand your FGTS statement to ensure that your deposits and earnings are correct. Keep an eye on the amounts credited and the rates and updates applied to your balance.
| Element | Description | Importance |
|---|---|---|
| Balance | Amount available in the fund | Determines how much you can withdraw in specific situations |
| Deposit History | Record of monthly deposits made by the employer | Checks that payments are being made correctly |
| Income | Interest and monetary updates applied | They guarantee that the money in the FGTS does not lose value over time |
Inactive FGTS: can you withdraw it?
O inactive fgts is for accounts with no deposits for three consecutive years. To withdraw the inactive fgtsIt is important to know the terms and conditions of the government and Caixa.
- Check if you can withdraw by looking at the balance inactive fgts at Caixa or in the FGTS app.
- Prepare your documents, such as your identity card and PIS/PASEP number.
- Visit a Caixa branch to start your withdrawal.
Paying attention to Caixa's adverts is crucial if you don't want to miss deadlines. The withdrawal inactive fgts has specific rules. Failure to comply can take away your right. With the right information, withdrawing funds is quick and safe.
Updating the FGTS
Updating the FGTS is very important for maintaining the value of workers' money. It includes monetary correction and the interest applied to the balance.
Monetary correction
A FGTS monetary correction is paid by the federal government. It helps maintain workers' purchasing power by adjusting the amounts for inflation. A FGTS monetary correction is done monthly, following the consumer price index (IPCA).
Interest applied
In addition to monetary correction, there is FGTS interest on the fund balance. The interest rate is 3% per annum. These FGTS interest are added monthly, increasing the amount available to the worker.
Impact of inflation
Inflation greatly affects FGTS update. That's why monetary correction is crucial. Without it, the amount deposited in the FGTS could lose value. A FGTS monetary correction and the FGTS interest protect workers from the loss of value due to inflation.
| Factor | Impact | Benefits |
|---|---|---|
| Monetary Correction | Protects against inflation | Maintains purchasing power |
| Interest | 31TP3Q p.a. | Value the balance |
| Inflation | Impact on purchasing power | Need for monetary correction |
Conclusion
The FGTS is very important for Brazilian workers. It offers financial protection. Understanding how it works, who can have it, how to consult and withdraw the balance is crucial.
This article explains what the FGTS is, its purpose and how to withdraw it. We also talked about who is entitled to it. This helps you use your FGTS wisely, especially in times of need.
It's important to be aware of the FGTS rules. This fund provides financial security and helps you plan for the future. Always check your balance and know how to withdraw it when you need it.
Read also: All about the FGTS Digital App
FAQ
The FGTS is a reserve of money for Brazilian workers. It protects those who are dismissed without just cause. Employers make monthly deposits for this purpose.
In addition, the FGTS can be used to buy a house in the event of a disaster or serious illness.
The FGTS was created by Law No. 5,107 in 1966. It is a forced savings account from employers to employees. It protects workers in various situations.
This includes unfair dismissal, serious illness and natural disasters. It also helps with the purchase of a home.
All urban and rural workers are entitled to FGTS. This applies to CLT employees, including temporary and seasonal workers.
Professional athletes and domestic workers are also entitled. Employers must deposit 8% of employees' salaries each month.
Employers make the deposit by the 7th of each month. This is for the previous month's salary. The amount is 8% of the gross salary.
This amount is deposited in an account at Caixa Econômica Federal.
You can check your FGTS balance on the Caixa Econômica Federal website. Or via the "FGTS" app for smartphones.
It's also possible by SMS, with automatic updates of deposits or debits.
The FGTS can be withdrawn in various situations. This includes dismissal without just cause and retirement. It is also possible to withdraw part of the balance each year.
It's important to check the conditions and the Caixa calendar.
To withdraw your FGTS, you need to gather the necessary documentation. This varies depending on the reason for the withdrawal.
Then go to a Caixa Econômica Federal branch or use the digital channels. The deadline for receiving the money is quick.
The FGTS offers financial security in the event of redundancies. It can also be used to invest in property.
This helps you to buy your own home. It also gives you quick access to funds in times of need.
The FGTS statement shows deposits, income and withdrawals. You can get it on the Caixa website, via the app or at branches.
To do this, you need to show your work permit and a photo ID. Understanding the statement involves knowing the amounts credited and the fees.
The inactive FGTS is for accounts with no deposits for three years. Withdrawal was permitted in exceptional situations.
It's important to follow the conditions and schedules of the government and Caixa Econômica Federal.
The FGTS update includes monetary correction and interest. This is done on the basis of parameters set by the Federal Government.
The balance is adjusted monthly. Interest is 3% per year.
