Self-employment in Spain and on the Costa Blanca offers many opportunities, but requires a good understanding of the legal framework and social security. It is also important to know your rights and obligations towards your clients.
Legal basis
In Spain, self-employment is regulated by the Statute of the Self-Employed (Estatuto del Trabajador Autónomo). In order to be self-employed, you must first register with the tax office („Agencia Tributaria“) and obtain a tax number (NIF). You must then register with the social security scheme for the self-employed („Régimen Especial de Trabajadores Autónomos“, RETA) and pay monthly contributions.
It is important to note that as a self-employed person in Spain, you are responsible for paying your own taxes and social security contributions. This includes income tax and VAT, which you must collect on your services and pay to the tax office on a quarterly basis.
Social security
The social security contributions that you pay as a self-employed person in Spain offer you a range of cover. These include health insurance, unemployment insurance and pension insurance.
The exact amount you have to pay depends on your income, but there is a minimum contribution that all self-employed people have to pay, regardless of their income. It is important to note that as a self-employed person you are generally not entitled to unemployment benefit unless you pay additional contributions for voluntary unemployment insurance.
Protection vis-à-vis clients
As a self-employed person, you have certain rights and obligations towards your clients. These include the right to timely payment for your services and the obligation to provide your services in accordance with the terms of your contract.
In Spain, it is customary to have a written contract that sets out the terms of your service. This contract should specify, among other things, the scope of the work, the payment terms and the responsibilities of both parties.
To protect yourself against non-paying customers, it is advisable to request a deposit or set payment milestones. It may also make sense to take out professional liability insurance to protect yourself against potential claims for damages.
Being self-employed in Spain can be a rewarding experience, but requires careful planning and knowledge of the legal requirements. However, with the right preparation and protection, you can successfully set up a business and fully utilise the potential of the Spanish market.
Labour law and tax obligations
As a self-employed person in Spain, you must familiarise yourself with labour law, in particular the rules on drafting contracts and working hours. You are also obliged to issue correct invoices and keep proper accounts in order to fulfil your tax obligations.
It is important to consult a tax advisor or a business law expert to ensure that you fulfil all legal requirements. An expert can also help you to take advantage of tax benefits and minimise your tax burden.
Training and networking
Further training is an important aspect of success as a self-employed person in Spain. It is important to keep up to date and acquire new skills in order to remain competitive and improve your services. There are numerous training programmes and courses available for this, both online and offline.
A strong professional network can help you gain new clients and establish yourself in your industry. There are numerous events and networking meetings for the self-employed in Spain that offer excellent opportunities to network and share experiences.
Concluding thoughts
Although there are challenges, self-employment in Spain also offers many benefits, such as the ability to make your own decisions, flexible working hours and the potential for unlimited income. With the right preparation and resources, you can build a successful business and realise the full benefits of self-employment in Spain.
