THE permanent disability pension is a Social Security benefit that aims to compensate for the loss of salary or professional income when a person suffers a reduction or cancellation of their capacity to work due to an illness or accident considered permanent. In certain cases, the amount granted by the degree of disability may be lower than the legally established minimum pension. In these situations, you can request a supplement to the minimumsannually revisable and non-consolidated aid. This supplement is granted subject to the necessary conditions being met.
The minimum supplement ensures that retirees receive at least the minimum amount established annually when they regulatory basis is insufficient. To benefit from it, three conditions must be met: have a pension whose amount is less than the minimum amount, not exceed the income ceiling established for your family situation and reside in Spanish territory, in accordance with applicable international regulations.
Permanent disability pension
THE permanent disability benefit In its modality, it aims to compensate for the loss of income when a worker, due to illness or accident, suffers a lasting reduction or cancellation of his working capacity. This benefit applies to all members of the Social security schemes which meet the specific requirements for each degree of disability.
There is four degrees of handicap:
- Part-time for regular profession: reduces work performance in the usual occupation by at least 33%.
- Total for usual occupation: prevents the worker from exercising his usual profession, although he can devote himself to another.
- Absolute for all jobs: makes it impossible for the worker to perform any type of work.
- Major handicap: the worker needs help to perform basic activities of daily living.
Requirements vary depending on the degree of disability, with applicable general and contribution conditions. No prior contribution is required if the disability is due to an accident, whether occupational or not, or to a occupational disease.
Amount
THE amount of the benefit This depends on the regulatory base and the percentage applied according to the degree of disability. For example, partial permanent disability is compensated by a lump sum allowance (24 monthly payments of the regulatory base), while total disability is calculated at 55% of the regulatory base, with an increase of 20% from the age of 55. Absolute disability is covered at 100% of the regulatory base, and severe disability includes an additional supplement.
THE advantage It is paid differently depending on the cause: 14 payments if it results from a common illness or a non-occupational accident, and 12 payments if it is due to an accident at work or an occupational disease. The pension is reassessed each year and is subject to personal income tax, although absolute disability and severe disability pensions are exempt from withholding tax.
Compatibility
In terms of compatibilities, partial disability is compatible with any job, total disability is compatible with a job other than the usual one, and absolute disability and severe disability allow activities compatible with the status of retiree, although retirement ageyou cannot work as a self-employed person or as an employee.
Supplement to the minimums
He minimum supplement for pensions It is adjusted to reach the legal minimum amount and is reviewed annually. It is incompatible with annual returns greater than 8,942 euros, and retirees must declare additional income. For pensions accumulated since 2013, it is mandatory residence in Spain; If it is not completed, the supplement is lost from the first day of the following month. Pensions are considered to be family dependent if the annual income, divided by the number of insured persons, does not exceed 75% of the minimum wage.
For keep the supplement to a minimumRetirees must meet certain conditions. One of the most common reasons for losing the supplement is failure to file the annual income tax return, which must include both the retiree’s income and that of his or her family unit.
If this declaration is not submitted on time, the supplement is suspended until receipt of the required documentation. Furthermore, the supplement is lost if the pensioner moves outside of Spain, since it is only granted to residents of the country.
It is also lost if pensioner’s income They exceed the established ceilings: 8,942 euros per year for those who do not have a dependent spouse, and 10,430 euros for those who do. Social Security takes into account income from work, economic activities, capital gains and returns on real estate capital, excluding disability pensions, to determine whether this threshold has been exceeded. If income increases and exceeds the limit, the supplement expires, but it can be requested again if income decreases.
He supplement to the minimums For permanent disability, it must be requested using an INSS form, in which income and residence in Spain must be proven. If it is not requested when the disability is recognized, the supplement will only have retroactive effect up to three months, provided that the requirements have been met during this period.
