Contribution base: concept and keys to understand it
If the debate about the future of pensions in our country has achieved something, it is that we keep up to date on concepts as important to our economic future as the famous “contribution base” '. For those of you who still don't know what he means, we will explain it to you below.
The contribution base is the monthly remuneration that every worker receives in exchange for their work or professional activity. This amount is gross, that is, it includes prorated extraordinary payments.
The contribution bases are not the same for everyone, they change for workers who are employed, self-employed, from the sea, from home and from the countryside.
The importance of the contribution base
Our contribution base conditions the benefits (in number and amount) that we receive from Social Security: unemployment, contributory retirement, sick leave or temporary disability, as well as the contribution that the (self-employed) worker or a company must make on their behalf (employed workers) to the state coffers.
If you want to check what your contribution base is, you can do so by requesting a personalized report from Social Security, although sometimes it is enough to consult your last payroll, where the contribution base is reflected. It is important that you do so if you have any questions, since your future pension or the collection of some type of benefit will be subject to the amount of this.
The obligation to quote
The obligation to contribute begins with the beginning of the work activity and the registration of the worker in the Social Security system. The Government performs an annual readjustment of the contribution rates of the different professional categories, establishing how much each worker or each company has to contribute on behalf of the worker to the Social Security Treasury based on their contribution base, that is, , of what that person earns monthly.
The quotes add several concepts:
- Common contingencies, which practically corresponds to the collection for pensions.
- Unemployment insurance. Different in the quasi of temporary workers and permanent workers.
- Fogasa (Salary Guarantee Fund).
Regarding the maximum and minimum contribution bases (the maximum and minimum that a worker must contribute to the Treasury based on their gross salary) the first will remain in 2018 at 3,751.2 euros, while the second will increase by a 4 %.
If the future of your pension worries you and you need to save to have an economic mattress when you need it most, get financial support for occasional unforeseen events through CréditoSí and its online microcredits or mini-credits of up to 1,000 euros to be returned in 30 days.