Revaluation, Maximum Limit and Minimum Supplements
The Social Security contributory pensions, including the amount of the minimum pension, will be revalued at the beginning of each year, based on the corresponding Consumer Price Index (CPI) forecast for that year.
If the cumulative Consumer Price Index, corresponding to the period between November of the previous tax year and November of the tax year of the revaluation, is greater than the forecast CPI, on which the revaluation was calculated, the corresponding update will be carried out in accordance with the General State Budget Act. To this end, pensioners whose pensions were subject to revaluation in the previous tax year will be paid the difference in a lump-sum payment, before 1 April of the subsequent year.
Also, for pensions below the minimum, supplements in line with the difference between the amount of the pension granted and the annually established minimum are guaranteed.
These supplements may not be consolidated, and will be absorbed with any future increase to the interested party´s earnings, whether through revaluation or the granting of new periodic benefits.
Minimum supplements shall be compatible with the pensioner receiving income from employed or self-employed work and/or capital gains, provided that it does not exceed the annually established limit.