Brazil’s Judges Receive Billions in Extra Pay, Raising Questions About Public Spending

Brazil’s judicial system stands out for its high costs, with judges receiving billions in extra payments beyond their official salaries.

According to official data from the National Council of Justice (CNJ) and Transparency Brazil, these payments, known as “penduricalhos,” have become a major financial burden for taxpayers.

The Brazilian Constitution sets a salary ceiling for public servants, currently at R$44,000 ($8,000)per month. However, most judges earn much more.

Courts use legal loopholes to classify extra payments as compensation for unused leave, housing, or extra work, which do not count toward the salary limit.

For example, a new CNJ rule in 2023 allowed judges to cash in unused vacation days, adding an average of R$12,400 per month to their pay. Over sixteen months, this single benefit cost taxpayers R$819 million.

These payments add up quickly. In 2024, judges and prosecutors received nearly R$7 billion above the salary ceiling. Some judges received more than R$1 million in a single month, mainly through bonuses and back pay.

In one state, the Court of Justice of Paraná spent R$157 million on these extras since September 2023. São Paulo’s court paid R$97 million under the same scheme.

The judiciary’s total budget reached R$132 billion in 2023, which is about 1.6% of Brazil’s GDP. This is four times the global average and six times what France or Thailand spend on their judiciaries. Nearly 90% of this budget goes to salaries and benefits.

For comparison, the average monthly salary in Brazil is just R$1,400. The judiciary’s budget is bigger than what the country spends on police, firefighters, and prisons combined, and even more than the Bolsa Familia welfare program.

Supporters of these payments say they are legal and help attract qualified professionals. They argue that judges take on heavy workloads and need incentives to keep the system running.

Critics, however, say these perks create an elite class of public servants and take money away from essential services. They warn that legalizing even more of these payments could make the problem worse.

Congress has debated reforms to limit these extra payments, but so far, most proposals have failed or been watered down. As a result, courts continue to find ways to increase pay for judges, sometimes with little oversight.

Transparency laws have made it easier for the public to see how much judges are paid, but the debate over fairness and fiscal responsibility continues.

This story shows how rules designed to reward hard work can end up costing the public far more than intended. The ongoing debate in Brazil reflects a broader struggle to balance fair pay for public servants with responsible use of taxpayer money.