The Spanish minimum wage rises 5% in 2024 for any activities in agriculture, industry, and services, without distinction of gender or age of workers, is set at 37.8 euros/day or 1,134 euros/month distributed over 14 payments per anum, depending on whether the salary is fixed per day or per month.
The increase in the Minimum Interprofessional Wage (SMI) in Spain has now been published and is official.
This new wage refers to the legal working hours in each activity, excluding, in the case of daily wages, the proportional part of Sundays and holidays. If a shorter workday is performed, it will be paid seperately.
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What effect will the increase in the spanish minimum wage by 5% in 2024 have?
- MINIMUM INTERPROFESSIONAL WAGE IN SPAIN 2024 »
- IS THE MINIMUM INTERPROFESSIONAL WAGE NET OR GROSS? »
- WHAT IS THE MINIMUM WAGE FOR DOMESTIC WORKERS? »
- DOES THE INCREASE IN THE SMI HAVE RETROACTIVE EFFECTS? »
- SPANISH MINIMUM INTERPROFESSIONAL WAGE 2024 »
- HOW WILL THIS EFFECT SPAIN? »
- OTHER TYPES OF RESIDENCY AVAILABLE IN SPAIN »
- SCHEDULE AN APPOINTMENT WITH A SOLICITOR »
MINIMUM INTERPROFESSIONAL WAGE: (SMI)
The Minimum Interprofessional Wage is the minimum salary or remuneration a worker must receive for a specific work period, in this case, a full-time job. All of this is regulated in the Workers’ Statute, specifically in Article 27:
The Government will annually set the minimum interprofessional wage, after consulting the most representative trade unions and employer associations, taking into account:
- The consumer price index
- The national average productivity achieved
- The increase in labor participation in national income
- The general economic situation
Likewise, a semi-annual review will be established in case the forecasts on the mentioned price index are not met.
The review of the minimum interprofessional wage will not affect the structure or amount of professional salaries when these, as a whole and on an annual basis, are higher than the minimum wage.
The minimum interprofessional wage, in its amount, is non-comparable.
IS THE MINIMUM INTERPROFESSIONAL WAGE NET OR GROSS:
The Minimum Interprofessional Wage refers to the gross salary of workers. The 1,134 euros per month in 14 payments represent the total earnings of the paycheck, and if the extra payments are prorated, it will be 1,323 euros per month in 12 payments.
WHAT IS THE MINIMUM WAGE FOR DOMESTIC WORKERS:
For hourly domestic workers, the minimum wage is 8.87 euros per hour worked.
DOES THE INCREASE IN THE ´SMI´ HAVE RETROACTIVE EFFECTS:
Yes. The increase approved by the Council of Ministers will be applied retroactively to January 1, 2024.
HOW MUCH HAS THE ´SMI´ INCREASED IN RECENT YEARS:
In the previous legislature, the Government raised the Minimum Interprofessional Wage from 735 euros to 1,080 euros in 2023, an increase of 47%. With the agreed-upon increase for 2024, the SMI increases by 54% since 2018. This figure represents an increase of 54 euros per month in 14 payments, totaling 756 euros annually.
HOW WILL THIS SALARY INCREASE EFFECT SPAIN:
The Bank of Spain confirms that the Spanish economy leads growth in Europe in both 2023 and 2024 and forecasts growth for 2024 at 2.3%.
This has caused reason for the increase in minimum salary and because Spain is now set as the EU leader for growth, it is expected that growth will continue and Spains economic position in Europe will continue to change to be better.
Minimum income brackets throughout the EU can be seen-here »
ALL TYPES OF RESIDENCY AVAILABLE IN SPAIN:
- Golden-Visa Spain (Spain citizenship by investment)
- Non-Lucrative visa Spain (Spain visa non lucrative)
- Self-Employed visa Spain (self employed expats in Spain)
- Digital-Nomad visa Spain (remote worker in Spain)
Please see-here our video-blog with options and legal-advice to obtain residency in Spain.
Remember that immigration procedures and immigration regulations change regularly, so it’s crucial to stay updated with the latest information from reliable sources. If you have specific questions or concerns about your situation, it’s advisable to consult with immigration authorities or legal professionals specializing in immigration matters, to do this, please click-here »
DO YOU REQUIRE ASSISTANCE TO APPLY FOR RESIDENCY IN SPAIN?
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Permanent residency is obtained after 5 years of Spanish Residency through Self-Employed Residency, Digital-Nomad, Non-Lucrative Residency or Golden-Visa. This followed by 5 years as a permanent resident in Spain and means you can then obtain Spanish Citizenship with a Spanish Passport.
