Spain to raise social-security payments to fund coming pensions boom
Employers will contribute an extra 0.5% and the workers the remaining 0.1%
People born during the baby boom era are expected to retire soon. | J. BAGUR GOMILA¶
Palma16/11/2021 09:56
Spain's government has agreed with unions to raise social-security contributions by 0.6% between 2023 and 2032 to help pay for the pensions of an upcoming wave of retirees, the Social Security Ministry said on Monday.
4 comments
To be able to write a comment, you have to be registered and logged in
I did a rough calculation some time ago and it worked out that the self employed would have to make a PROFIT of around 30k before they're national insurance payments matched the autonomo payments of Spain, which are collected monthly whether you make a profit or not. Warning, to those who wish to start a small business you will need 2yrs living expenses, atonomo payments ad 3x the business investment monies you think you need, then you stand a chance, just.
For some reason and only known to themselves, my answer has, up to now, been given a few negative votes. Wouldn’t it be better for all concerned to explain why you don’t agree with it ? We all might learn something. The fact remains that self employed earning very little are hit with a 32% tax BEFORE income tax and are still expected to continue living and carry on running the business even during the depths of winter. Meanwhile the politicians .............
Increased by € 8 to € 294 a month. There is talk, which will no doubt occur, that your contribution will be based on your income. They can’t differentiate between income and revenue. The fact remains is that they consider it impossible (not improbable) for a self employed person to make less than around € 970 nett a month. To be eligible for a pension you still have to contribute for a minimum of 15 years.
What is the token payment of minimum 300€ doing? (Due whether you make a profit or not.)