Euro (€) (EUR)
Date Format
dd/mm/yyyy (ce)


29.90% - Social Security
6.35% - Social Security
19.00% - 0-12,450
24.00% - 12,451-20,200
30.00% - 20,201-35,200
37.00% - 35,201-60,000
45.00% - 60,000 and above

Minimum Wage


As of January 1, 2020, the monthly minimum wage in Spain is 1,108 EUR or 59.80 EUR per hour. 

Working Hours


Fulltime employment is considered 40 hours weekly, and 9 daily hours (maximum unless agreed otherwise). Workers are entitled to a weekly rest period of 1.5 consecutive days.


Overtime may not exceed 80 hours annually. Overtime is either compensated with rest hours or additional pay. Rest time should be equal to the hours worked and payment should be a 75% surcharge on the value of ordinary hours worked.



21% standard rate.

Mandatory Benefits

Pension Fund

Pension contributions are made by:

  • Employer – 23.6%
  • Employee – 4.7%

Pension begins at age 65 after an employee leaves work activity. In order to receive benefits, they must have contributed to social security for at least 15 years, of which 2 have been in the last 15 years before retirement.

Social Security

Employers contribute 29.9% and employees contribute 6.35%.


Payroll Cycle

Employees are paid on a monthly basis by the last day of the month. 

It is common to pay employees in 14 installments; however, this is not mandatory. If the employer does choose to pay the employee in 14 installments, it is paid out in July and December. 


Termination Process

Employees dismissed on disciplinary grounds are not required to receive notice of dismissal. In cases of redundancy, dismissal can be on grounds of economic, organizational, technical or productive reasons. Termination notice must be provided in writing, and the notice period is agreed upon in employment contract. In addition, depending on the length and type of employee, the termination process may vary.  

Advance Notice

Employers should provide 15 days of notice, and if notice isn’t given, payment in lieu shall be given.

Severance Pay

Employers should pay 20 days of salary pay per year of service up to 12 months. If the dismissal is declared unfair (a dismissal without cause) by a judge, the employer may reinstate the employee or pay a statutory severance payment. Employees affected by a redundancy will be entitled to receive a legal severance payment and an advance notice in writing of the termination of the contract. A worker who is dismissed for disciplinary reasons is not entitled to severance pay.