Brazil's Supreme Federal Court expanded restrictions on extra-salary benefits for the judiciary and the Public Ministry on May 8, 2026 [1].

The ruling targets "penduricalhos," a term for various perks and allowances that allow public officials to earn more than the legally allowed limit. By closing these loopholes, the court aims to ensure that the constitutional salary ceiling is strictly enforced across the legal system.

Four ministers signed the decision [2]: Alexandre de Moraes, Flávio Dino, Cristiano Zanin, and Gilmar Mendes. The ruling specifically prohibits the use of reclassifications and the creation of new benefits that would effectively circumvent the salary cap [1].

These measures apply to both the judiciary and the Ministério Público [3]. The court's decision is designed to stop maneuvers that create "super-salaries" within the public service, ensuring that compensation remains within the bounds of the law [4].

Previously, some officials used reclassifications of their roles or added specific allowances to bypass the ceiling. This new restriction removes those options and prohibits any new benefits that serve a similar purpose [1]. The decision was officially published on May 8, 2026 [3].

The ruling reflects a push for greater fiscal discipline and transparency within Brazil's high-level legal institutions. By limiting these extra payments, the court is addressing long-standing criticisms regarding the disparity between public servant pay and the broader economic reality of the country [5].

“The ruling targets "penduricalhos," a term for various perks and allowances.”

This ruling represents a significant effort by the Supreme Federal Court to police its own ranks and the broader legal apparatus. By banning reclassifications and new benefits, the court is attempting to eliminate the systemic 'creative accounting' used to maintain high salaries while technically adhering to the constitutional cap. This may lead to legal challenges from affected officials but signals a move toward stricter adherence to fiscal limits in the Brazilian public sector.