Employee Benefits in Spain

Bonuses and additional payments

In Spain, employers are legally required to provide employees with two annual bonus payments, commonly referred to as the 13th and 14th-month salaries. Each bonus is equivalent to one month's salary and is typically paid in July and December. These payments are considered part of the employee's regular remuneration and are subject to income tax. Employers may choose to prorate these bonuses across the twelve monthly salary payments, provided this arrangement is agreed upon in the employment contract or collective bargaining agreement.

Annual leave

In Spain, employees are entitled to paid vacation leave as outlined by the Workers' Statute (Estatuto de los Trabajadores). The statutory minimum entitlement is 30 calendar days per year for full-time employees, which typically translates to 22 working days. This leave is fully paid and must be scheduled in mutual agreement between the employer and employee. 

Employers may offer additional leave beyond the statutory minimum as part of collective agreements or employment contracts, but this is not legally required. 

Unused statutory leave must be taken within the calendar year. Carrying over leave is permitted only if justified by exceptional circumstances — such as extended illness—and must be used within 18 months of the original entitlement year. Payment in lieu of unused leave is allowed only when the employment relationship ends. 

Sick leave

Personal and sick leave are governed by the General Social Security Law. Employees receive sick pay starting from the fourth day of illness, funded by social security. The benefit amounts to 60% of the employee's salary from days 4 to 20, and 75% from day 21 onwards, for a maximum duration of 365 days, extendable by 180 days in certain cases.

Parental leave

Employers must provide 16 weeks of paid leave to each parent following the birth, adoption, or fostering of a child, with additional weeks granted in cases of multiple births or disabilities, as stipulated by national regulations. Employees who have contributed to the Spanish Social Security system for the required period are eligible for benefits, with written notice and necessary documentation submitted prior to the commencement of leave.​

Additional benefits

In addition to the above, employers in Spain are required to provide social security contributions (Seguridad Social). Employers contribute approximately 29.9% of the employee’s gross salary to cover pensions, unemployment, disability, and healthcare.

Many employers also offer supplemental benefits, such as meal vouchers, private health insurance, flexible schedules, or transportation allowances. These additional benefits help improve retention and employer branding.

As your employer of record in Spain, we help design compliant and competitive benefit packages that align with statutory obligations and local market expectations.