By Anna Ellis • 21 July 2022 • 14:05
EXPLAINER: Spain's new rules for self-employed workers commence in 2023. Image: Gustavo Frazao/Shutterstock.com
For newly self-employed and self-employed workers under 35 years of age the new flat rates of autonomo payments are:
The flat rate for the self-employed is a measure to promote self-employment that consists of paying a reduced monthly Social Security contribution as a self-employed person for two years.
It is a very attractive rebate that greatly reduces the cost of registering as self-employed for the first time and has since helped more than one million new self-employed people to take their first steps.
After 10 long months of negotiations, Escriva has signed a pact with self-employed associations and trade unions for the reform.
Jose Luis Escriva Belmonte is a Spanish economist currently serving as minister of Inclusion, Social Security and Migration within the Second Cabinet of Pedro Sanchez.
According to trade union sources, Escriva has signed a pact with self-employed associations and trade unions for the reform of the RETA, the Special Regime for Self-Employed Workers, which sets the contributions of self-employed workers for the next three years.
It can be summarised as follows: from the current minimum fixed payment of €294, a progressive system of 13 instalments, depending on income, will be introduced over 9 years.
This means that in 2031 the self-employed payments could vary between €184 and €1,267 euros depending on the amount of income.
Below is a table showing how the contributions will vary depending on the amount of income:
Amount earned €
600 – 900
900 – 1.125,90
1.25,90 – 1.300
1.300 – 1.500
1.500 – 1.700
1.700 – 1.900
1.900 – 2.330
2.330 – 2.760
2.760 – 3.190
3.190 – 3.620
3.620 – 4.050
However, the Ministry points out that there are still some details to be worked out before the agreement can be finalised.
Here are a couple of pros and cons to the reform:-
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Originally from the UK, Anna is based on the Costa Blanca and is a web reporter for The Euro Weekly News covering international and Spanish national news. Got a news story you want to share? Then get in touch at firstname.lastname@example.org.
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