Social Security now proposes freezing contributions for self-employed workers with lower incomes.

MadridThe political and social uproar generated by the Social Security's initial proposal to raise self-employed contributions in 2026, 2027, and 2028 has led the ministry to disgrace. In a new social dialogue meeting held this Monday, the ministry led by Elma Saiz (PSOE) proposed freezing Social Security contributions in the three lowest brackets and leaving the increases for the remaining brackets. However, she also proposed that the update of all contributions would affect only 2026, leaving the remaining years for new negotiations next year.

This about-face by Social Security comes after the Spanish government's initial proposal, launched last week, was met with unanimous rejection by political parties, from the People's Party (PP) to the investiture partners, but also by the minority governing partner, Sumar. Likewise, a good part of the social stakeholders, starting with the self-employed organization ATA, linked to the employers' association CEOE, also rejected the proposal. "[The freeze] is good news. The [initial] proposal was regressive," said the First Vice President and Minister of Labor, Yolanda Díaz (Sumar), in statements to the media this Monday from Barcelona.

"The proposal that the Ministry [of Social Security] is working on, and for which the [self-employed] group is being listened to, entails, for next year, a freeze of the first three brackets, the lowest part of the table," said Saiz in an interview on The Country Published this Monday. Hours later, the Secretary of State for Social Security, Borja Suárez, ratified it in a media address. "We wanted to improve the [initial] proposal launched and we believe that the most prudent thing to do is to stick to 2026," Suárez argued.

Although negotiations remain open (there will be another meeting next week), with this Monday's proposal, the Social Security contributions for self-employed workers that would be frozen in 2026 would be those corresponding to the brackets with monthly net incomes between 670 euros and 1.16 euros.

Increases in the highest brackets

Starting with the fourth bracket, that is, starting at €1,166 per month, Social Security contributions would increase by between 1% and 2.5% for the highest bracket. Specifically, for self-employed workers with monthly net incomes between €1,166 and €1,700, the contribution would increase by 1%. Between €1,700 and €2,330, the contribution would increase by 1.5%. Subsequently, the contribution would increase by 2% for self-employed workers with incomes between €2,330 and €3,620; and finally, it would increase by 2.5% for those earning these amounts and up to €6,000 per month.

"[The change] is the right thing to do," said Lorenzo Amor, president of the ATA organization, via X, although he has already anticipated that other problems "must be resolved" if the ministry wants to have his approval, such as facilitating access to social benefits. However, the CCOO and UGT consider Monday's proposal "not ambitious," in the words of Carlos Bravo, secretary of public policies and social protection of the CCOO.

What is being negotiated?

It should be remembered that the starting point of this negotiation is the reform of the Spanish government (with the approval of the social agents) of the special regime for self-employed workers (RETA) for 2022, which the Congress of Deputies approved by 260 votes in favor (including those of the PP), 64 against, and 25 abstentions.

This change meant that self-employed workers began to pay contributions based on their net income in order to improve social benefits. Thus, 15 different income brackets were implemented, along with new contribution bases for each bracket, as well as Social Security contributions. Initially, a table was proposed from 2023 to 2032, but it was finally set until 2025, and the second part (from 2026 to 2028), which is the one currently being negotiated, was postponed.