MEI 2026: How It Works, How Much to Pay and When It's Worth It
MEI (Individual Microentrepreneur) is, without a doubt, one of the most successful entrepreneurial public policies in Brazil. Since its creation by Complementary Law 128/2008, it has allowed millions of informal workers — street vendors, hairdressers, electricians, app drivers, seamstresses, IT professionals and hundreds of other categories — to formalize their businesses with minimal bureaucracy and affordable costs.
But the MEI has specific rules regarding billing, permitted activities, monthly obligations and social security rights. This guide explains everything you need to know to decide whether MEI is the ideal regime for you in 2026.
Use our MEI Calculator to simulate your billing and calculate the exact DAS value.
What is the MEI?
The Individual Microentrepreneur is a simplified legal modality for individual entrepreneurs who work on their own. When registering as MEI, the entrepreneur:
- Obtain your own CNPJ
- You can issue invoice
- Contributes to INSS with a fixed monthly amount
- You have access to bank credit as a legal entity
- You can hire an employee with a registered employment record
- It is exempt from several federal taxes (IR, IPI, PIS, COFINS, CSLL)
MEI Billing Limit in 2026
MEI's annual revenue limit is periodically updated by the government. In 2026, the limits are:
| Category | Annual Limit | Average Monthly Limit |
|---|---|---|
| MEI General | $ 81.000,00 | $ 6,750.00 |
| MEI Truck Driver | $ 251.600,00 | $ 20,966.67 |
Attention: The limit of $ 81.000,00 pode ser aumentado para $ 130,000.00 for MEIs that operate exclusively with service activities outside the municipality, as per the proposal currently being processed. Check the latest legislation.
What happens if you exceed the limit?
- Revenue up to 20% above the limit ($ 97,200.00): the MEI is not eligible for ME (Microenterprise) in Simples Nacional from January of the following year.
- Billing above 20% of the limit: the non-compliance is retroactive to the beginning of the year and generates a retroactive payment.
DAS: What It Is and How Much to Pay in 2026
The DAS (Simples Nacional Collection Document) is the unified monthly payment of the MEI. It includes:
- INSS (Social Security): 5% of the minimum wage
- ICMS: $ 1,00 fixo (para MEIs com atividade de comércio/indústria)
- ISS: $ 5.00 fixed (for MEIs with service activities)
DAS MEI 2026 Table (Minimum Wage = $ 1,518.00)
| Type of Activity | INSS (5% SM) | ICMS | ISS | Total DAS |
|---|---|---|---|---|
| Commerce and/or Industry | $ 75,90 | $ 1.00 | — | $ 76,90 |
| Serviços | $ 75.90 | — | $ 5,00 | $ 80.90 |
| Commerce + Services | $ 75,90 | $ 1.00 | $ 5,00 | $ 81.90 |
Expiration date: Every 20th of the month following the accrual month (e.g. January DAS expires on February 20th).
MEI Social Security Rights
By contributing monthly to the DAS, the MEI acquires social security rights proportional to the contribution categories:
| Benefit | Does MEI have the right? | Note |
|---|---|---|
| Retirement by Contribution Time | ⚠️ Partial | Contribution of 5% only guarantees retirement based on age (not based on contribution time) |
| Retirement by Age | ✅ Yes | 65 years old (men) / 62 years old (women), with a deficiency |
| Sickness Benefit | ✅ Yes | After 12 months of contribution |
| Maternity Salary | ✅ Yes | After 10 months of contribution |
| Accident Assistance | ✅ Yes | After 12 months |
| Death Pension | ✅ Yes | For dependents |
| Disability Retirement | ✅ Yes | After 12 months |
Important observation: To be entitled to retirement based on contribution time, MEI needs to pay the difference between 5% and 20% (full rate). This can be done by add-on GPS.
MEI Employee: Rules and Costs
MEI can hire a single employee with a formal contract. The rules:
- Salary: up to 1 current minimum wage or the minimum wage for the category (whichever is higher)
- MEI pays 3% employer INSS on the employee's salary (not 20% like other companies)
- The MEI employee has all CLT rights: 13th, vacation, FGTS, etc.
- The employer's FGTS is 8% of the employee's salary
- MEI must collect the employee's eSocial monthly
Total employee cost for MEI (minimum salary of $ 1.518,00):
- Salário: $ 1,518.00
- Employer INSS (3%): $ 45,54
- FGTS (8%): $ 121.44
- Total monthly cost: $ 1,684.98
Activities Allowed at MEI
The MEI is restricted to a list of activities regulated by the CGSN (Simples Nacional Management Committee). There are more than 600 activities allowed. Some examples by sector:
Services
- Hairdresser, manicurist, barber, beautician
- Electrician, plumber, painter, bricklayer
- IT professional (programmer, web designer, support)
- App driver, motorcycle taxi driver
- Personal trainer, swimming instructor
- Photographer, videographer
- Consultant, coach, administrative assistant
Commerce
- Food seller (non-production), crafts
- Clothing, footwear, accessories store
- Online commerce (e-commerce)
- Cosmetics and perfumes dealer
Activities Prohibited by MEI (examples)
- Doctors, dentists, psychologists, lawyers, accountants (professions regulated with restrictions)
- Partner or administrator of another company
- Federal, state or municipal public servant (with exceptions)
- Billing above the limit
MEI vs. Standalone vs. Simples Nacional: Comparative
| Criterion | MEI | Self-Employed CPF | ME Simples Nacional |
|---|---|---|---|
| Billing limit | $ 81.000/ano | Sem limite | Até $ 360,000/year |
| CNPJ | ✅ Yes | ❌ No | ✅ Yes |
| Issue invoice | ✅ Yes | ❌ In general, no | ✅ Yes |
| monthly INSS | $ 75,90 (5% SM) | 11% ou 20% sobre rendimentos | Conforme atividade |
| Imposto sobre serviço (ISS) | $ 5.00 fixed | According to the municipality | According to Simple table |
| Corporate Income Tax | Exempt | Declare in person | According to Simple table |
| Hire employees | 1 employee | ❌ No | No limit |
| Opening | Free and online | N/A | Paid + counter |
| Monthly obligations | DAS + DASN | Carnê-Leão/GPS | DCTF, DCTFWeb, counter |
How to Open a MEI: Step by Step
Opening the MEI is free and can be done entirely online:
- Access: Entrepreneur Portal (gov.br/mei)
- Click on: "I want to be a MEI" → "Formalize"
- Login with Gov.br: Use CPF and password from the Gov.br portal
- Fill in the details: Business name, business address, main and secondary activities
- Confirm terms: Accept framing statements
- Receive the CCMEI: Certificate of Individual Microentrepreneur Status (issued on the spot)
After opening, you already receive your CNPJ and can:
- Issue electronic invoice
- Open a corporate bank account
- Request DAS for payment of the first month
MEI Annual Obligations
In addition to the monthly DAS, the MEI has an important annual obligation:
DASN-SIMEI (Simples Nacional Annual Declaration):
- Deadline: until May 31st of each year (referring to the previous year)
- How: Entrepreneur Portal or MEI app
- Content: inform the total gross revenue of the previous year
Failure to send the DASN generates a fine of 2% per month on the taxes owed (minimum of $50.00), in addition to the CPF being blocked from service on Gov.br.
Common MEI Errors
Not paying the DAS in arrears and losing social security benefits: Months without paying the DAS are months without social security coverage.
Issue service invoice without registration with the municipality: To issue service invoices, you need to register in the invoice system of your municipality's city hall.
Have a partner or be a partner in another company: MEI cannot have a partner or be a partner or administrator of another company. Violation generates retroactive cancellation.
Mixing physical account and MEI account: This makes it difficult to prove billing and can generate tax problems. Open a bank account with MEI's CNPJ.
Do not keep DAS payment receipts: Keep receipts from the last 5 years for tax and social security purposes.
Frequently Asked Questions (FAQ)
1. What is the value of MEI’s DAS in 2026? With the minimum wage of $ 1.518,00 em 2026, o DAS do MEI é de $ 76.90 (commerce/industry), $ 80,90 (serviços) ou $ 81.90 (commerce + services). This value is automatically updated whenever the minimum wage is adjusted.
2. Can MEI have a CNPJ and continue working as a CLT? Yes! It is perfectly legal to be MEI and have formal jobs simultaneously. The INSS contribution from CLT employment is separate from the DAS contribution from MEI. However, income from both sources adds up to the annual income tax declaration.
3. Does MEI need to declare Income Tax? The MEI itself is exempt from income tax on business income. However, as an individual, you may need to declare annual income tax if you have income above the exemption limit (including wages from CLT employment, rental income, etc.). MEI activity is declared as "exempt income" or in the "legal entity income" form.
4. What happens if I exceed the MEI limit? If revenue exceeds the limit by up to 20% (up to $97,200.00 in 2026), the non-compliance occurs on January 1st of the following year and you become a Microenterprise in Simples Nacional. If it exceeds more than 20%, the non-compliance is retroactive to January of the current year, with payment of Simples Nacional taxes from the beginning of the year, with interest and fine.
5. Can MEI sell to companies and issue invoices? Yes. MEI can issue invoices to individuals and legal entities. For services, issue NFS-e (Electronic Service Invoice) through the city hall system. For commerce, you can issue NF-e (Electronic Invoice) through the state SEFAZ.
6. Can I be a MEI as an app driver (Uber, 99)? Yes. App drivers are on MEI's list of permitted activities. However, be aware of the revenue limit: if your monthly income from applications consistently exceeds $6,750.00, you will need to migrate to another tax regime.
7. Is the MEI entitled to unemployment insurance? No. Unemployment insurance is an exclusive benefit for workers with a formal contract who are fired without just cause. MEI, as a legal entity, does not have access to this benefit.
8. How to close the MEI correctly? The closure of the MEI can be done online through the Entrepreneur Portal. Before closing, it is necessary to: pay all outstanding DAS, send the DASN for the last period, check if there is an open invoice and cancel the municipal registration (ISS). Termination does not retroactively cancel social security benefits already acquired.
Simulate your MEI Billing
Do you want to know how much you can earn per month, how much tax you pay and whether you are within the annual limit?
Access our MEI Calculator — simulate your billing scenarios, calculate the DAS and track the percentage used of the annual limit.
Related calculators:
- CLT vs PJ Calculator — compare MEI with formal employment
- INSS Calculator for Self-Employed — compare with other tax rates
- Freelance Invoicing Calculator — net income for freelancers
- Presumptive Profit Calculator — for those who grow beyond the MEI