Gross and net pension

These are pensions derived from previous minimum contributions to Social Security. Their amount depends fundamentally on two factors: the time for which contributions have been made and the base on which contributions have been made (amount of the contribution).

These benefits are granted to those who are in a situation of need and lack sufficient resources for their subsistence, even if they have never contributed or have not contributed for long enough to receive benefits at the contributory level. They are of two types:

Gross pension

Montserrat Guillen i Estany, professor of economics at the University of Barcelona, receives funding from the Ministry of Science and Innovation, from Big Data research projects of the BBVA Foundation and from ICREA (Institució Catalana de Recerca i Estudis Avançats). Joaquín Oliveros Vía, social graduate and partner-director of Asemon Consultors Laborals, S.L. collaborates as a professor at the Barcelona Chamber of Commerce. The authors declare that the aforementioned entities do not benefit from the content of this article. The authors declare that they have no conflicts of interest.

The application of the 0.6% increase is linked to the contribution base of each worker. However, the effect on the payroll received in the case of salaried employees is lower. The agreement reached establishes that the employee assumes 0.1 % of the increase, which, quickly adding up, means receiving 1 euro less for every 1,000 euros of contribution base. The remaining 0.5% is borne by the employer.

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Net pension calculation

When you open your account, you acquire a cooperative title in the amount of 9.01 euros. This is not a commission, but part of the share capital of the Cooperative of Consumers and Users – Ingenium which, in addition to allowing you access to the products and services of the Caixa d’Enginyers Group, entitles you to exclusive discounts in numerous collaborating establishments, provided that you make the payment with a Caixa d’Enginyers card.

If none of the above conditions are met, an account maintenance fee of €18/quarter will be applied. For example, for an average balance of €10,000 per year, taking into account a 0% nominal annual interest rate, this would mean an APR of -0.72% and a quarterly fee of €18 per quarter. See details of the requirements for exemption from the maintenance fee.

(4) Members will be exempt from the Access Fee (amount charged by the ATM owner for providing the service). Members will assume the rest of the usual commissions for currency exchange and cash withdrawals.

How many years of contributions are required to receive a pension

1,744.07 million Euros were allocated to widowhood pensions, 2.45% more than in June 2020. The payroll for permanent disability benefits, on the other hand, stood at 944.09 million euros (0.68%), while orphan’s benefits accounted for 142.88 million (2.58%) and benefits in favor of family members, 26.27 million euros (3.73%).

Of the 9,854,685 contributory pensions paid as of June 1 (1.02% more than in June 2020), 6,160,232 were retirement pensions, 2,357,930 widowhood pensions, 949,983 permanent disability pensions, 342,930 orphan’s pensions and 43,610 for family members.

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By regimes, the average retirement pension of the General Regime is 1,334.31 euros per month, while that of the Self-Employed Regime is 792.53 euros/month. In the Coal Mining Scheme, the average monthly retirement pension was 2,324.24 euros and 1,322.97 euros in the Maritime Scheme.

The State Pension System mainly includes military personnel and civil servants of the General State Administration, the Justice Administration, the General Courts and other constitutional or state bodies, as well as civil servants transferred to the autonomous communities.

By Rachel Robison

Rachel Robison is a blogger who collects information on court filings and notices.