The FGTS (Fundo de Garantia do Tempo de Serviço) is a fund created by the Brazilian government with the objective of guaranteeing the payment of severance pay to workers dismissed without just cause.
All workers with a formal contract in Brazil are entitled to the FGTS, which is financed by the employer with a deduction of 8% from the worker's gross salary.
The FGTS Caixa application is an application created by Caixa Econômica Federal that allows workers to access information about their FGTS balance and statements, in addition to queries and transactions such as withdrawals and transfers.
To use the application of the FGTS, it is necessary to have an active FGTS account and download the application from the App Store or Google Play.
With the FGTS Caixa application, it is possible to check the FGTS balance, view deposit and withdrawal statements, request emergency or scheduled withdrawals, make FGTS transfers to other accounts, request the Citizen Card and access other Caixa Econômica Federal services.
If you are a formal worker in Brazil and are entitled to FGTS, downloading the FGTS Caixa application can be a great option to always stay up-to-date on your account balance and transactions and carry out transactions in a more practical and faster way.
What is FGTS
The FGTS (Fundo de Garantia do Tempo de Serviço) is a fund created by the Brazilian government with the objective of guaranteeing the payment of severance pay to workers dismissed without just cause.
All workers with a formal contract in Brazil are entitled to the FGTS, which is financed by the employer with a deduction of 8% from the worker's gross salary.
The FGTS is managed by Caixa Econômica Federal and deposits are made in individual accounts for each worker, and these accounts can only be operated by the worker himself, in case of dismissal without just cause, retirement, serious illness or death.
In addition, the FGTS also allows workers to make emergency withdrawals in the event of natural disasters or public calamities, as well as programmed withdrawals in case of buying real estate or paying off debts.
The FGTS is an important protection tool for workers, as it guarantees extra income in case of dismissal or retirement and also allows workers to make withdrawals to finance personal projects or solve financial problems.
If you are a formal worker in Brazil, it is important to pay attention to the FGTS and ensure that the 8% deduction from your salary is being correctly applied by your employer.
What are the advantages and disadvantages of advancing through the FGTS application?
The FGTS (Fundo de Garantia do Tempo de Serviço) is a fund created by the Brazilian government with the objective of guaranteeing the payment of severance pay to workers dismissed without just cause.
All workers with a formal contract in Brazil are entitled to the FGTS, which is financed by the employer with a deduction of 8% from the worker's gross salary.
Advance the FGTS means withdrawing the balance of the FGTS account before the moment provided for by the rules of the fund, such as dismissal without just cause, retirement, serious illness or death.
Some workers may choose to advance the FGTS in emergency situations, such as natural disasters or public calamities, or to finance personal projects, such as buying real estate or paying off debts.
Advantages of advancing the FGTS:
- Possibility of obtaining extra resources in emergency situations or to finance personal projects;
- Flexibility to carry out scheduled or emergency withdrawals, in accordance with FGTS rules;
- The FGTS is a source of funds that is not subject to interest or financing fees.
Disadvantages of advancing through the FGTS application:
- The FGTS was created with the aim of protecting workers in case of dismissal without just cause, retirement, serious illness or death, and advancing the FGTS could compromise this protection in case of future need;
- The FGTS is financed with 8% of the worker's gross salary, which means that advancing the FGTS can compromise the worker's current income;
- The rules for making FGTS withdrawals are strict and can be difficult to comply with in some cases.
In summary, advancing the FGTS can be an interesting option in emergency situations or to finance personal projects, but it is important to take into account the possible disadvantages and assess whether this is the best option for your financial needs.
