Updated: Sep 12
If you already have your application for visa, (Not on a NLV) are already resident, have a TIE or are an EU national you can become Autonomo at any time.
First, you will need a Foreign Identity Number (NIE). This number will be linked to your Social Security obligations. Please ask for Assistance
Certain professionals may need to have their qualifications recognised in Spain before being able to start their activity (like doctors, lawyers, etc).
¿What is needed to start Autonomo?
1. Register for the social security number, this needs to be done before the others due to registering for the RETA ( low scheme for social security )
2. Register your business with the Spanish tax authority (Agencia Tributaria).
You’ll have to choose a category that describes the type of work you do, which is related with a number/code. You’ll have to complete forms 036 or 037, which gives you a personal tax certificate.
3. Register with the Spanish Social Security System (Tesorería de la Seguridad Social). You’ll have to register here within 30 days of registering with the Tax Authority. you can make an appointment and take with you the original and copy of your passport, NIE document, the tax certificate you got from the tax authority, the 036 or 037 form, and the filled out application form.
Once registered, you will have the right to use the Spanish state healthcare system, which if I am to file for you, I will download and give you instructions
I can do all of the above within a few days online or in a day if you already have the ss number with no need to visit the Offices with the Digital Certificate.
This process has no need for a IVA (VAT) number as we use our NIE, and charge at 21% outside of Spain its a reverse charge if needed, ONLY if its a trader or a company SL is this required and this process starts at €3000, and is corporation tax starting at the very first €1!!
Please seek advise before just jumping in to decide which is the best for you.
Advantages of Being an Autonomo in Spain
You can start quickly and easily and contribute only a monthly investment in social security costs. It starts low for the 1st two years, over 47 it is around €91 and under €60, living in an area with less than 5000 inhabitants gains you 3 years on the lower amount as well as being a female under 35 and male under 30.
You can stop just as easily in case you don’t have earnings all year round, so you don’t have to pay social security when you have no income, but you will restart on the full payment so try to avoid this in the first 2 years
You can restart on the lower amount if you are returning from maternity
There is relatively easy invoicing and accounting. You can do it yourself or let me take care of it.
By paying social security, you obtain certain coverage's through the state, like: - health insurance coverage for yourself, your husband or wife and children - coverage in case of an accident at work, pregnancy and illness if you sign up for the extra amounts. - unemployment type of coverage when you have to stop your activity due to a at least 10% less income, higher losses, bankruptcy and several other reasons, with maximum coverage of 2 years (24 months). - Training
It is fully Tax Deductible, so in effect free healthcare
Disadvantages of Being an Autonomo in Spain
The monthly costs of social security are for most professions will increase to a minimum of 282.30 euros, Spain is one of the most expensive countries for becoming an freelancer in this aspect, however can be offset as above.
They are in talks to make it a PAYE system in the near future though!
The state pension scheme for an autónomo lower mainly because most freelancers decide to pay the minimum coverage. Still it’s a lot less than if you worked for a normal company, and you can increase at any time.
You completely depend on the income you generate, so in case of an illness you might have no income at all, but you still have to pay social security.
Illness and disability now have extra amounts payable for coverage.
Accounts are submitted Quarterly and Taxed as Income minus Expense at 20%, this can be brought over to the next quarter and works on a progressive scale so can increase or decrease depending on how successful the business is.
Every year we submit a modelo 100 the La Renta, and any taxed overpaid will be returned at this stage.
If in Spain and you are charging IVA then you can also reclaim the IVA you have paid for the business.
We can put through amongst others which i do discuss with clients
Meals with clients up to €27 a day with a factura completa so always ask and always pay by card to back it up. If needing to be in another Country we put through €41 again receipts with ALL details
Hotels at home €71, always €91 always get a full factura
Car if it is sole use of the business All the costs, if its only part, take a percentage of the use, keep a record of the miles for the petrol for example
Office supplies, again factura completa.
utilties for the home office 25% not a lot but it all adds up, full amout for offices, or spaces used including Rents for this too
Most business get a €2000 discount in the first two years
There are a few other perks but i will reserve these for further discussion depending on the business.
Please get in touch for help with the above, it is highly recommended to have the Digital Certificate or Cl@ve in order to register.