A Social Security official about self -employed: “His pensions were 40% lower than those of employees”

It has always been said that self -employed workers have less social protection than employees, although this difference has gradually reduced over the years. From the reforms such as Law 27/2011, on the update and modernization of the Social Security System, and the modifications introduced in the General Law of Social Security, the Special Regime of Autonomous Workers (RETA) has been expanding coverage that were previously exclusive to employees on behalf of others.

This is explained by Alfonso Muñoz Cuenca, an official of the National Institute of Social Security specialized in benefits and pensions, who in a video uploaded to his YouTube channel explains the most important advances. “It is commonly said that self -employed workers have less protection than employed workers. However, lately, the protection of the self -employed group has been improved to try to reach full comparison with respect to employed workers,” he explains.

Unemployment benefits and temporary disability

One of the greatest changes came in January 2019, when self -employed began to quote professional contingencies (accidents at work and occupational diseases). This opened the door to access the provision for cessation of activity, better known as the “unemployment of the freelancers.”

Muñoz clarifies that “although it is necessary to continue improving this benefit, it should be noted that in many countries of the European Union the self -employed do not have the right to unemployment, for example in the United Kingdom, Belgium, Greece, Germany or France.”

In terms of temporary disability (medical leave), protection was also reinforced and improved. While in countries such as Germany, Italy or Greece this coverage requires an additional quote, in Spain it is included in the quota. In addition, since 2019, self -employed with medical leave stop paying the fee from the 61st of the inability.

Maternity, paternity and active retirement

In equality with employees, self -employed enjoy 16 weeks of birth and care for the child, charging 100% of their regulatory base. During this time they do not pay the quota, and the mothers that are reincorpolan have the right to a 100%bonus.

Another relevant point is active retirement, identical to that of employed workers: compatible pension and work, receiving 50% of the pension. The difference is that, if the autonomous has at least one wage earner, it can charge 100%.

In this case, the LGSS regulates that during active retirement it is only quoted for temporary disability, professional contingencies and a solidarity contribution of 9%.

Real income quotation and contribution lagoons

Since 2023, the self -employed contribute based on their real income, with the aim of “guaranteeing the balance between contributions and benefits.” With the previous system, 85% did it for the minimum base, which resulted in 40% lower pensions than those of employees.

Another structural change came in April 2023: the integration of contribution lagoons. While before the months without quoting were computed to “zero base” for the freelancers, they are now integrated as the employees, applying the minimum base.

Differences that still persist

Despite progress, there are still inequalities. The official recalls that unemployment subsidies, such as that of over 52, are only available for employees. “Although the autonomous worker is quoted by cessation of activity, he does not have the right to subsidies or to the subsidy of over 52 years,” he says.

Law 27/2011 and the successive LGSS reforms have sought to reduce the gap between freelancers and wage earners, introducing coverage such as unemployment, medical leave without quota, maternity benefit and integration of lagoons. But there is still a way and as Muñoz concludes, “although progress has been made enough towards homologation between the two regimes, there are still differences.”