Next year promises big changes and improvements for the millions of retirees in Spain. After the 3.8% increase planned for contributory pensions for 2024, a new increase will be announced in December which, in the absence of official confirmation, appears to be around 3%, adjusting to the annual variation of there Consumer Price Index. There is a group of people who will also receive a salary increase in 2025.
Last August, the Ministry of Inclusion, Social Security and Migration announced record spending on pensions after investing 12,828.7 million euros, or 6.56% more than the same period of the previous year. Everything indicates that this amount will be exceeded in the coming months due to the increase in pensions planned for 2025 and the arrival of new retirees from the generation of baby boom in Spain (those born between 1958 and 1975).
In August, 10.2 million pensions were paid, 1.4% more than the previous year, the majority being retirement pensions, which affect 6.5 million people. Next come those for widowhood (2.4 million), for permanent disability (974,169), for orphans (341,987) and in favor of relatives (46,196). Among these millions of retirees who have access to a contributory pension, many, because they do not meet the conditions, will not be able to reach the minimum pension set by law and will benefit from the minimum supplement.
Retirees and salary increases in 2025
Many people may not know this, but the Social security offers retirees whose pension does not reach the minimum set by law, a small amount to bring their total pension up to the minimum. To do this, a series of conditions must be met which range from family situation to other economic advantages from which the beneficiary may benefit. This minimum supplement was designed at the time with the aim of removing from the situation of vulnerability people who have contributed for at least 15 years of their professional life and are entitled to a contributory pension.
The addition to the minimums is specified in the Article 59 of the general social security law. The rule reads as follows: “Recipients of contributory pensions from the social security system, who do not receive income from work, capital or economic activities and capital gains, in accordance with the notion established for this income in the tax on natural income. The persons, or who, receiving them, do not exceed the amount fixed annually by the correspondent General State Finance Lawwill have the right to receive the supplements necessary to reach the minimum pension amount, provided they reside in Spanish territory, under the conditions determined by law or regulation.
To benefit from these necessary supplements for those who do not reach the minimum wage, it is first necessary to clearly know what the minimum pension is for people who receive a contributory pension, which is the one in which the pension system invests the most. Social security. The minimum amount is as follows:
- With dependent spouse: 1,033.3 euros per month.
- Without a spouse (family unit made up of one person): 825.20 euros per month.
- With non-dependent spouse: 783.3 euros per month.
Thus, among the conditions that we have established to be able to access a minimum supplement, the main thing is to have a pension whose amount does not reach the minimum amount set by law depending on each year. The second concerns other income available to the recipient of the benefit. pensionwhether it is labor, capital or capital gains. If these exceed the established limits, this income will be refused, also depending on the family situation. The last essential condition is that the person who will receive this income resides in Spanish territory.
It must be taken into account that an increase in pensions is planned for 2025 which, in the absence of data from the last quarter referring to inflation, everything indicates that it will be around 3%. This will increase the minimum amounts of all contributory pensions offered by Social Security for people who have contributed for at least 15 years. This will also result in a greater investment in accessories for the hundreds of thousands of Spaniards who do not meet this minimum.
