# Hire in Spain

Source: https://overseashire.com/hire/spain · verified 2026-10-05 · confidence medium

Deep tech and multilingual talent in Madrid and Barcelona, and a favorable time zone for Europe and the US East Coast.

## Employer cost
Employer on-costs 31–34% of gross salary. Recomputed 5 Oct 2026. 2026 employer rates (Orden de cotizacion 2026, as summarised by Cuatrecasas/mutuas and PwC): common contingencies 23.60% + unemployment 5.50% (indefinite contracts) + FOGASA 0.20% + vocational training 0.60% + MEI 0.75% (total MEI 0.90%, 0.15% paid by the employee) = 30.65%, matching PwC. Accident and occupational disease (AT/EP) premium about 1.5% for office work under the new CNAE-2025 tariff -> 32.2%; low-risk activities near 0.9% -> 31.5%; higher-risk activities push towards 34%. Fixed-term contracts pay a higher unemployment rate (6.70%, general knowledge). Maximum monthly contribution base EUR 5,101.20 (confirmed by PwC and Cuatrecasas); a solidarity contribution (first tier 1.15%) applies on pay above the cap. Extra payments are within annual gross.

| Contribution | Rate | Notes |
|---|---|---|
| Common contingencies | 23.60% | Pension and sickness |
| Intergenerational Equity Mechanism (MEI) | 0.75% employer (0.90% total in 2026, 0.15% employee) | 2026 MEI total 0.90% of the common-contingency base, split 0.75% employer / 0.15% employee. |
| Unemployment, FOGASA, vocational training | Unemployment 5.50% (indefinite) + FOGASA 0.20% + training 0.60% = 6.30% | Component split confirmed in 2026 contribution-rate summaries; sums with 23.60% and 0.75% to PwC's 30.65%. |
| Occupational accidents and diseases | About 1.5% (office work) | Varies by activity |

Mandatory benefits: Two extra payments per year (summer and Christmas) or 14 payments in total; Employee social security coverage; Maternity 19 weeks and paternity leave of up to 16 weeks (Remote), paid by Social Security

## Rules
- Payroll: Monthly; 14 payments per year
- Probation: Estatuto de los Trabajadores art. 14: collective agreement may set it, otherwise maximum 6 months for qualified technicians and 2 months for other workers (3 months for non-technicians in firms with under 25 employees).
- Notice and severance: Improper dismissal: 33 days of salary per year of service, up to 24 monthly payments (ET art. 56, confirmed). Objective dismissal: 20 days per year up to 12 months with 15 days' notice (ET art. 53, general knowledge, not fetched). Notice for other reasons varies by collective agreement (Remote).
- Termination: Dismissal needs a cause and formal letter; judges often declare unfair dismissals. Collective agreements (convenios) govern many terms and must be checked.
- Working time: 40 hours per week standard; reduction to 37.5 hours has been proposed (status not verified). Registration of working time is mandatory.
- Paid leave: Statutory minimum 30 calendar days (Estatuto de los Trabajadores art. 38; typically 22 working days; many agreements give 23) plus up to 14 public holidays (national, regional and local).
- Minimum wage: EUR 1,221 per month in 14 payments (EUR 40.70/day; EUR 17,094/year) for 2026 under Real Decreto 126/2026, BOE 18 Feb 2026, retroactive to 1 January.

## Contractors
Falsos autonomos (false self-employment) are actively policed by labor inspection, with back contributions and fines (Remote notes risk; penalties not verified). Contractors should invoice multiple clients.

## EOR
Direct hiring requires a Spanish entity with social security registration. EOR often used for speed. Remote notes payroll cut-off on the 10th, plus a 3-day right-to-work check for non-nationals; full timelines not verified.
Onboarding: EOR Not verified from a retrieved provider source; own entity Not verified from a retrieved source.

## FAQ
**What is employer social security in Spain?** About 30.65% to 31.55% plus an accident rate of about 1.5%.

**How many salary payments are there?** 14: 12 months plus two extra payments.

**Is there a social security base cap?** Yes. PwC lists EUR 5,101.20 per month; other sources show different figures, so confirm the current year.

**How many holiday days?** At least 30 calendar days (about 22-23 working days) plus public holidays.

Unverified: Objective-dismissal severance (20 days/year, cap 12 months) and notice rules not fetched; AT/EP accident premium under the CNAE-2025 tariff (about 1.5% office work is PwC's figure); Maternity and paternity leave lengths (19/16 weeks) from Remote; Working-week reduction status; Falsos autonomos penalties; EOR and entity timelines

Sources:
- https://taxsummaries.pwc.com/spain/corporate/other-taxes
- https://remote.com/country-explorer/spain
- https://www.boe.es/eli/es/rd/2026/02/18/126/con
- https://www.cuatrecasas.com/es/spain/laboral/art/claves-orden-cotizacion-2026
- https://iberley.es/legislacion/articulo-56-estatuto-trabajadores
- https://loentiendo.com/articulo-14-del-estatuto-de-los-trabajadores/

Not legal or tax advice.