Spain Payroll Changes - 2026

1. Minimum salary/Wage changes

• No official update announced yet - still under negotiation
• Final decision expected by the end of December 2025 or later
• SMI updates are typically published Feb - Mar each year
• SMI increases the impact of minimum contribution bases, but currently no employees are affected by the minimum base levels

2. Social security contributions

• Intergenerational equity mechanism:
  
  
  • Employer rate increases from 0.67% - 0.75%
    
    
• Solidarity contribution (employer portion):
  
  
  • 1st bracket: 0.96%
  • 2nd bracket: 1.04%
  • 3rd bracket: 1.22%
    
    
• Pending confirmation:
  
  
  • Max contribution base proposed to increase from €4,909.50 - €5,101.20/month

3. Allowances & supplements

• Remote work allowance: €18.21/month
• Daily travel allowance: €58.92/day (up from €57.20)