Raises pensions by 1.6% and improves coverage for self-employed workers

Automatic summary, not yet reviewed

1. Contributory pensions under Social Security and passive classes will rise 1.6% in 2019, instead of the 0.25% the previous rule would have allowed. The maximum public pension is set at €2,659.41 per month.
2. Minimum pensions, non-contributory pensions and SOVI pensions rise 3% over the 2018 minimum amounts. Income limits for minimum-income supplements and child benefits also rise 3%.
3. People who received a pension in 2018 will get, before April 1, 2019, a single payment covering the difference between what they were paid and what they would have received with the actual 1.7% CPI increase.
4. The maximum Social Security contribution base rises 7% to €4,070.10 per month. Minimum bases for self-employed workers rise only 1.25%, to €944.40 per month.
5. Self-employed workers must now contribute to all contingencies, including work-related ones and activity cessation, which were previously voluntary. The 2019 contribution rates are 28.30% for common contingencies, 0.9% for professional contingencies and 0.7% for activity cessation.
6. Temporary contracts of five days or less carry a 40% higher employer contribution, and each day worked counts as 1.4 contribution days for accessing benefits, except in part-time contracts.
7. Collective agreements may once again establish mandatory retirement by age, provided the worker qualifies for a 100% contributory retirement pension and the measure is tied to employment goals such as generational replacement.
8. Training programs and unpaid internships, including those of university and vocational students, are now covered by Social Security as assimilated to employees, though without unemployment coverage.

Who it affects

• Social Security and passive classes pensioners: Their pension rises 1.6% in 2019 and they receive a single payment before April 1, 2019 to cover the gap with the actual CPI increase.
• Self-employed workers: They must contribute to all contingencies, including work-related ones and activity cessation, and their minimum bases rise 1.25%.
• Employers using very short temporary contracts: They pay 40% more in employer contributions for those contracts, as a deterrent.
• People doing internships or training programs: They are now covered by Social Security, with contributions paid by the company or entity unless otherwise agreed.
• Seasonal farm workers in Málaga, Sevilla and Cádiz: They can access unemployment benefits or the agrarian income with only 20 days of contributions due to the October 2018 torrential rains.

Words worth knowing

Revalorización

Annual increase of pensions so they keep their value against rising prices.

Base de cotización

The amount on which Social Security contributions are calculated.

Contingencias profesionales

Work accidents and illnesses caused by the job.

Cese de actividad

The situation of a self-employed person who stops working, similar to unemployment for employees.

Complemento a mínimos

Extra money added to a low pension to reach the guaranteed minimum amount.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries