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Spain: Pay and benefits

Updating author: Jesús Gimeno, Simmons & Simmons
Original author: Jones Day

See the legal services provided by the updating author of International > Spain, including any discounts/offers for subscribers.


  • Employees' pay must respect the national minimum wage, minimum rates set by any applicable collective agreement, and the principle of equal pay for equal work. (See General)
  • Employees must be paid at least monthly and receive an itemised payslip containing certain information. (See Payment of wages)
  • Employers must deduct from employee's pay their income tax and social security contributions. (See Deductions)
  • Employers are obliged to ensure equal pay for equal work or work of equal value. (See Equal pay)
  • Employees receiving the national minimum wage are entitled to receive 14 payments of the monthly minimum per year - that is, two extra months' pay. (See National minimum wage)
  • There are several retirement/pension options for employees. Employers must make contributions to the public social security system, which includes old-age pension provision, in respect of their employees. (See Pensions)
  • Employers are obliged to calculate and deduct personal income tax at source from employees' pay. (See Income tax and social security)
  • There are various rules regarding pay for employees absent from work due to sickness. (See Sick pay)
  • Most benefits in kind in Spain are voluntary, but some collective bargaining agreements may include some mandatory benefits. (See Benefits in kind)