SAVING FOR RETIREMENT
Retirement Planning: Saving Today to Enjoy Tomorrow
What is retirement planning?
It is a personal and strategic process that consists of organising in advance all the aspects that will influence your quality of life once you finish your working life. It is not just about saving money, but about assessing your employment, tax and financial situation, anticipating your future needs and making informed decisions to ensure a smooth, stable and tax-efficient retirement.
This planning includes analysing your contributory years, estimating the pension you could receive, identifying possible gaps in your working life and designing strategies for saving and redeeming pension plans. It also considers how you will be taxed for personal income tax purposes and what advantages you can apply to pay less tax legally.
Benefits of planning your retirement
Optimise your tax burden
Not all pensions are taxed equally. With good planning, you can anticipate how much you will pay in personal income tax and apply legal strategies to reduce that burden. In addition, if you have pension plans or savings products, you can decide when and how to redeem them to pay less tax.
Estimate your income in advance
It allows you to calculate approximately how much public pension you will receive. This helps you know whether it will be enough to maintain your lifestyle or whether you need to supplement it with private savings.
Spot gaps and improve your quote
Reviewing your employment history allows you to detect if you have periods without contributions or if you are close to the minimum required to qualify for a contributory pension. This is key to avoid losing rights or receiving less than expected.
Save more efficiently
Not all financial products are suitable for everyone. Good planning allows you to identify the best way to save according to your age, income level and goals.
Gain peace of mind and control over your future
Knowing that you are on track, that you are meeting your needs and that you have optimised your tax situation reduces uncertainty. This allows you to enjoy the present without worrying about tomorrow.
Requirements for retirement
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Be of the legally required age, which in 2025 is 65 years if you have contributed for at least 38 years and 3 months. 66 years and 8 months if you have contributed less than 38 years and 3 months.
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Have paid contributions for at least 15 years (5,475 days), of which at least 2 years must have been within the last 15 years prior to the application.
- Be registered or in a situation assimilated to registration with the Social Security (for example: receiving unemployment benefit, special agreement, leave of absence with job reservation, etc.).
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Be up to date with your Social Security obligations, especially with regard to the payment of contributions if you are self-employed.
- Not having applied for another incompatible pension, such as a permanent disability pension that is not compatible with retirement.
Retirement planning
Managing your pension-
Submission of the proof of submission of the application.
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Online follow-up
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Personal advisor with unlimited advice.
Documentation required for the application
Valid Spanish ID or NIE
Up to date
Last fiscal year
According to the official application form
Frequently asked questions
General info
What is the difference between a contribution-based pension and an assistance pension in Spain?
Contribution-based (contributory) pensions are granted to those who have worked and contributed to the social security system for a minimum period of time. These pensions are directly linked to the number of years of contributions and the contribution bases.
In contrast, welfare pensions (non-contributory) are intended for those who have not been able to contribute enough to qualify for a contributory pension. They are granted on the basis of the applicant’s financial situation and other requirements such as legal residence in Spain.
How does personal income tax affect my pension?
Pensions are taxed as earned income for personal income tax purposes. The withholding rate depends on the annual amount of the pension.
For example, pensions between 24,001 and 30,000 euros are subject to a minimum withholding tax of 11.83%, and for pensions over 30,000 euros, the withholding tax is at least 15.59%.
When should I start planning my retirement?
Ideally, you should start planning for your retirement 10 to 15 years before the legal age, but it is never too early. Planning ahead allows you to optimise your savings, reduce your tax burden and make better decisions about pension plans or investments. Our team can provide you with specialized advice on these options.
Process
How do we work?
- One of our experts will contact you quickly to start analyzing your case in depth and tell you the best process to follow, step by step.
- You will know which is the necessary documentation you need to provide and you will also be able to contact us to solve any doubts you may have.
- We will start the procedure immediately and inform you of how it is going, always keeping you up to date with any notifications.
What documentation do I need?
Depending on each case, the documentation to be provided is different.
When you sign up for one of the plans, we will analyze your case and contact you to tell you the exact documentation you need to provide.
Payment
What is the price and method of payment?
You can see the prices we offer in our pricing section.
Payments must be made by debit or credit card.
Our prices are fair and transparent: you only pay for what you need.
Can I request a refund of my money?
Yes, you can request cancellation of the service as long as your personal advisor has NOT started to manage your documentation to initiate the procedure.
The money will be refunded to your card in less than 14 days. See our Commercial Conditions.
