Saltar al contenido

Tax issues you should know if you are multi-employed


While the cost of living has not stopped rising, the minimum interprofessional wage has remained practically stable since the beginning of the crisis. This situation, together with the rise of part-time jobs , has forced many Spaniards to look for more than one job in order to save their day-to-day expenses: mortgage payments, rent of the apartment , payment of bills …

According to the latest Pluriemployment Analysis in Spain and in the European Union , in our country there are 359,000 multi-employed workers. Contrary to what happens in most European countries, where people who combine more than one job are mostly men, Spain is one of the five countries where the proportion of multi-employed women is higher, with 51.1%

During the crisis, multi-employment among people with university education in our country was reduced by 9.6% (21,300 people less), with a particularity: 28,800 less-employed men were registered less (-21.3%), while the number of women in this situation, which has reached the figure of 7,400 (8.6%).

If you find yourself in this situation and make several jobs compatible, it is important that you know certain economic and fiscal issues that you must take into account when developing your activity and complying with the Treasury. In Currency Now we will try to explain them as clearly as possible in this post, so you can catch up and not miss anything.

Who can be considered multi-employed?

Pluriemployment is understood as any employed person who provides professional services to two or more different employers and in activities that give rise to their compulsory discharge under the same Social Security scheme .

In a situation very similar to multi-employment, we find those people who work as an employed person in a company and also carry out an activity as self-employed, so that they are forced to register in two or more different regimes of the Social Security System. In this case we would talk about pluriactivity.

How does a multi-employee quote?

A multi-employed worker quotes for the salaries received by each employer, but always subject to the maximum general contribution ceiling , which in 2016 is 3,642.00 euros per month. The cap will be applied proportionally to each employer based on the percentage that represents the compensation that the worker receives from each one against the total remuneration received.

In the case of multi-active workers , the contribution will be made in both regimes according to the general rules and, once their working life is over, the worker will be able to access both retirement pensions provided that the requirements that are required in a manner are met separated in each regime.

What is the maximum day of a multi-employed?

The fact of being hired in several companies at the same time allows you to work as many hours as you decide and your body endure, as long as you do not exceed the legal limit of 8 hours per day in the same company (we talk about a regular day). It is not possible to make a contract that includes more hours, unless it is overtime or complementary hours.

What should you keep in mind when making your income statement?

If you are multi-employed, you have the obligation to submit the income statement for the simple fact of having worked in more than one company, even if your income has been low. If you do not have deductions or deductions and have worked for several companies, we must give you bad news: it is most likely that you are the one who should pay the Treasury.

This is because each company calculates the retentions according to the personal or family circumstances of each employee and the expectations of income that they will have that year, but it is not taken into account that the contract can end before or that the employee is discharged In another company.

In this way, the sum of the withholdings that are applied to each multi-employed worker is less than what would correspond if their income is added, and precisely this is the aspect that taxes personal income tax: the totality .

Therefore, having two payers not only reduces the limit indicated by the obligation to declare or not to do so, but also increases the chances of having to pay the Treasury after submitting the declaration.

Should you inform companies of your pluriemployment situation?

As determined by the General Regulations on Registration of Companies and Affiliation, Registration, Variations and Variations of Data on Social Security Workers, workers in pluriemployment situations are obliged to communicate their situation to the different companies for which they work, as well as to the Provincial Directorate of the General Treasury of the Social Security.

In addition, employers who know that any of their workers are multi-employed must communicate their discharge and discharge by expressly mentioning said situation, and they will have to communicate it to their managing entities and the General Treasury of the Social Security so that they can take carry out the relevant actions when calculating the price.

How does multi-employment affect the pension?

When the time comes for retirement , the pensions of the different jobs are added, provided that the requirements in each of them are met. In the event that you have been multi-employed during a part of your life, but you reach retirement only with one job, you will have to demand a 15-year ‘overlap’ in both regimes, in order to qualify for both pensions.

When in some of the regimes the minimum requirements to access a pension are not met , the contributions will be accumulated with those of the regime in which the pension is accessed. Anyway, in no case will the contributions accumulated in the different jobs be lost.

Please keep in mind that the content of this post does not constitute financial advice . We recommend that you consult your personal financial advisor before applying any advice or recommendation contained in this post .

error: Content is protected !!