Social Security

Incompatibilities / Compatibilities

Collecting the retirement pension is incompatible with:

• Carrying out any work as a pensioner, be it employed or self-employed, which gives rise to their inclusion in the General Scheme or any of the Special Schemes, with the following exceptions:
  • People who "enter" retirement may collect their pension and at the same time hold a part-time job as established by law. During this situation, called partial retirement, the pension will be reduced in the inverse proportion to the reduction applicable to the pensioner's working day in relation to that of a comparable full time worker.
  • Retired pensioners may collect their "corresponding pension" and at the same time hold a part-time job as established by law. During this situation, called flexible retirement, the pension will be reduced in the inverse proportion to the reduction applicable to the pensioner's working day in relation to that of a comparable full time worker.
  • As of 02-08-2011, collection of the retirement pension is compatible with self employment, provided that annual income is below the total annual SMI. Those carrying out these economic activities are not required to make social security contributions, nor will they generate rights to receive Social Security benefits.
    
• Members of professional associations carrying out self-employed work.
  
  As of 02-08-2011, these works will once again be compatible with collection of the retirement pension, in the expectation that a draft bill be prepared that regulates the compatibility between pension and work, guaranteeing intergenerational transfer and lengthening of working life, as well as equal treatment of the different activities.
  
  Until the aforementioned regulation is produced, the retirement pension will be compatible with work as an independent contractor, without registration in the Special Scheme for Self-Employed Workers (RETA), due to having opted for an alternative mutual social insurance entity.
  
• Holding a job in the public sector, defined in the second paragraph of Section 1 of Art. 1 of Law 53/1984, of 26 December, on Incompatibilities for Personnel Working for the Civil Service. Exceptions: emeritus professors and licensed healthcare professionals
  
• Holding high-ranking positions.

Holding other jobs, if these are not part-time and in accordance with the terms established by law, will have the following consequences:

• The retirement pension is suspended, including the health care included in pensioner status.
• Employers are required to register the worker as a contributor to the Social Security and to make the corresponding contributions, as appropriate.
• New contributions are used to:

• Increase, if applicable, the ordinary pension percentage (up to 100% with 35 years of contribution).
• Grant the additional percentage provided for in Art. 163.2 of the LGSS.
• Under no circumstances may new contributions modify the regulatory base.

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Termination of benefits

On the pensioner's death.

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