The subsidy for those over 52 years of age continues to be the only assistance aid that contributes towards the future retirement pension and it is the State Public Employment Service (SEPE) that pays the contributions based on 125% of the minimum contribution base in force at all times. However, there is a small print that was incorporated after the reform at the end of 2024 (which is regulated under Royal Decree 2/2024), and that is that when the subsidy is made compatible with a job, the SEPE is reduced proportionally to the hours worked.
Although this is stated in article 280 of the General Social Security Law (consultable in this BOE), it must be made clear that the worker does not lose protection regarding his future pension, but the origin of the contributions does change. That is, while working and receiving aid through the Employment Support Complement (CAE), the weight of the contribution is distributed between the contracting company and the SEPE.
What happens to my contribution if I match the subsidy?
Since the entry into force of the reform in November 2024, beneficiaries who rejoin the labor market, whether full-time or part-time and take advantage of compatibility, see their public contribution adjusted. The General Social Security Law clarifies that, when receiving the employment support supplement, “the base for which contributions must be made will be reduced in proportion to the hours worked.”
To understand and understand it you have to know three things. The first is that since there is an employment contract, the company has the legal obligation to contribute to Social Security for the worker’s actual salary and hours (what is not contributed on the one hand, is earned on the other).
The SEPE then adjusts, but does not duplicate; In other words, the public body reduces its contribution based on the logic that that part of the day is already covered by the employer. Finally, the base of 125% is maintained as a reference for the part of the day that is not worked (in partial contracts) or for the theoretical calculation.
Who is paying for my retirement right now?
For those who are making the subsidy compatible at this time, the retirement contribution is made up of two channels for the duration of the Employment Support Complement (maximum 180 days).
On the one hand, the real contribution made by the company based on salary. On the other hand, the complementary SEPE contribution, which is lower when the reduction proportional to the hours worked is applied. If the salary of the new job is higher than the minimum base, it is possible that the total contribution (company + reduced SEPE) is even more beneficial for the worker than when he only received the subsidy.
It is important to remember that this reduction in the SEPE fee only applies if the Employment Support Complement is received. If the beneficiary does not work, the SEPE continues to assume the full cost of the contribution for 125% of the minimum base.
The difference between “old” and “new” subsidies
Finally, clarify that there are two types of beneficiaries. For beneficiaries prior to the regulations, that is, before November 2024, they will maintain the old regulations until your right expires. This implies that, if you access a job, the compatibility rules prior to the reform apply to you, without the Employment Support Complement system or the automatic proportional reduction associated with it.
For new workers (after November 2024), the proportional reduction in the SEPE contribution is fully applied when you make the payment of the aid compatible with an employment contract.