Erik Montalbán – The rise in the Minimum Interprofessional Salary to 900 euros per month is one of the "star" measures of the agreement between the Government and Podemos, in exchange for its support to the General State Budgets of 2019. The increase, of 164 euros per month in 14 payments, will have an estimated budgetary impact of 340 million euros in the public coffers. However, the final invoice will not fall on the State. It will be the self-employed who pay for this measure, and also in duplicate. The direct consequence of this increase in the minimum wage will be that 1.7 million self-employed workers will pay 420 euros more each year in taxes. In total, an ax of 725 million euros in the portfolio of the self-employed.
Rise of the contribution base
The reason is that the Minimum Interprofessional Salary is directly related to the minimum contribution base of the self-employed, so the increase of the first implies necessarily the increase of the second. This was announced by the president of the National Federation of Associations of Autonomous Workers (ATA), Lorenzo Amor, who warned that the self-employed who contribute for the minimum base are the majority.
According to the latest statistics from the Ministry of Labor and Social Security, at the end of the first half of the year they accounted for 86% of the total self-employed workers. Of the 2,006,785 people registered in the Special Regime of Self-Employed Workers and the Special Regime of the Sea, 1,726,000 do not exceed the minimum base; 120,695 (6%) quote between 1 and 1.5 times this base; and only 14,495 (just 0.7% of the total), they quote for more than three times the minimum base.
According to the Ministry of Labor, the percentage of self-employed workers who contribute for the minimum is considerably higher than 90% when the age is less than 40 years, in foreigners (95.9%) and among those who take less time given high (less than 5 years). In addition, while 84% of men quoted by minimum, in women this percentage rises to 89%. That is, within the self-employed, these groups will be most affected by the measure agreed by Pedro Sánchez and Pablo Iglesias, although in return they will improve their future entitlement to benefits and retirement. "As of 55 years of age, 28.4% are quoted for a base above the minimum, which is related to the age of retirement," says the department headed by Magdalena Valerio.
With the changes planned in the minimum wage, the president of ATA explained that the minimum base will go from 932.7 euros per month to 1,050 euros. This will raise the contribution quota from 277.9 euros per month to 312.9 euros, that is 420 euros more each year. "Or it is limited that the self-employed who do not reach the minimum wage have a reduced quota or many will go into the shadow economy," Amor said. In this sense, he complained about the budget agreement and described it as "poor and empty of content", He said on his Twitter account. Regarding the adequacy of the contributions to income stated that "we do not know when it will be or how it will be, only a statement of intentions to" reform in 2019 … "». In Thursday's document, nothing is specified regarding this matter, nor are specific dates given. Government and Podemos can only say that "a lower contribution will be guaranteed to the self-employed with less income".
Love also miss the improvement of benefits for cessation of activity, avoid contributions to self-employed with prolonged sick leave and improve the access of self-employed to training. "Nothing at all. For the moment, to pay more, "he said. "Now the next thing is that someone comes out publicly saying how a month ago it was said:" We are going to lower taxes to the self-employed ", recalled the president of this association, which represents more than 450,000 workers on their own.