As.com A self-employed person will pay triple in Spain than in the United Kingdom and double that in France and Germany
According to Social Security calculations, the new self-employment scales will mean that two-thirds of current self-employed workers will see their quota drop, and the remaining third will see it increase.
What the Government proposes is a new system of contributions for real income. A reform by Minister Escrivá, which will make a self-employed person pay three times as much in Spain as in the United Kingdom and twice as much as in France and Germany.
The new income brackets
- Income less than 3,000 euros: 200 euros
- 3,000 to 6,000: 215 euros
- 6,000 to 9,000: 230 euros
- 9,000 to 12,600: 245 euros
- 12,600 to 17,000: 260 euros
- 17,000 to 22,000: 275 euros
- 22,000 to 27,000: 290 euros
- 27,000 to 32,000: 305 euros
- 32,000 to 37,000: 320 euros
- 37,000 to 42,000: 340 euros
- 42,000 to 47,000: 360 euros
- 47,000 to 48,841: 380 euros
- Income over 48,841: 400 euros
13 income brackets
There is still time for it to be modified and changed, and the government is still negotiating. The changes will not be immediate, they will be made between 2023 and 2031, for nine years, a measure that seeks to ensure that the regime in which it is listed is the real one, and that 10,000 million is contributed to the system that does not fit the Government.
Until now, a freelancer chooses how much he wants to contribute (the minimum, the maximum); now there would be 13 different income brackets, each with an assigned monthly fee. Those self-employed who earn below the bracket between 900 and 1,125.90 euros, will pay a lower contribution than the current one; and the rest will pay more.
For example, a self-employed person who earns 400 euros per month will have to pay 183.60 euros per month in 2031, 45% of what they earn. And a self-employed person who earns 1,700 euros will have to pay 535 euros per month to Social Security, 31% more.
What happens in the rest of Europe
The big difference is that a self-employed worker in Spain must contribute a monthly fee. In Germany the fee is 140 euros from 1,700 euros of monthly income, and below that amount is not paid.
The self-employed in Spain also have more protection than in the rest of Europe: access to benefits for retirement, maternity or paternity leave, accident at work or unemployment coverage and even closure of activity.
In France or Germany, the incidence of the pandemic in the sector has had direct aid, since the beginning of the health crisis they approved direct non-refundable aid. Germany also reinforced the protection shield for its business fabric with a reduction in VAT to 7% for bars and restaurants until 2023.
