Thursday, 4th June 2020

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Self-employed Social Security Contribution cost (For Autonomos) How to reduce your S.S. contribution in Spain

Self-employed Social Security Contribution cost (For Autonomos) How to reduce your S.S. contribution in Spain

Self-employed persons, must contribute every month from day one and the amount is not dependent on your revenues but on a theoretical income that you can choose within certain parameters. Autonomos are assumed to have a regular salary as if they were employed.

This reference salary, the contribution base wage, will also be taken as a base for calculating the pension and other social assistance (maternity pay, sick days payment…) that the autonomo may need to receive in the future. Therefore choosing the appropriate base wage, and paying accordingly, deserves some thoughts.

Autonomo’s minimum contribution In 2017 the contribution base wage is within 893.10€ and 3751.20€. The autonomo’s payment is a percentage of the reference wage.

However, there are special reductions for autonomos that register for the first time and meet other requirements. This is an opportunity to build up a business before full payment of the autonomo fee is due. Of course, the more you pay, the mote you get. An autonomo who gets off-sick due to a non-work-related illness and pays the minimum contribution would received about 18€ per day out of work between the 4th and the 21st day of the off-sick period, and 22€ per day thereafter.

Should he pay the maximum contribution, he would receive 75€ between the 4th and the 21st day, and 93€ thereafter.


Other concepts that can increment your contribution.

  1. Work Accident and Occupational illness cover. In the preceding case, the autonomo would only be covered in a non-work-related illness. If he wanted to be covered under an work-accident, this coverage adds a percentage to the autonomo’s contribution. This is compulsory for the following groups:
    • Autonomos performing activities with risk of accident or associated occupational disease. The percentage goes from 1.6% to 6.3%        depending on the activity.
    • Those who want to receive benefits for unemployment (cessation of activity) The minimum contribution including this cover is 271€ per    month.
  2. Cease of Activity (unemployment) This cover adds the right to receive a payment in case of unemployment. (About 620€ per month) However it is not straight forward and there are other requirements to meet (difficult). This benefits requires adding 2.2% of the eference wage to the contribution. The minimum contribution with Cease of Activity is 292€.ç
  3. Autonomos who act as Directors/Administrators of limited companies. This type of autonomos have a minimum contribution base wage of 1056.76€ in 2017, leading to a contribution of 318€ with the exception of administrators of limited companies during the first year of activity after incorporation, in which case they can adhere to the standard of 267.04€.

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