HE Allowance for people over 52 years of age In Spain, this represents vital aid for the unemployed who have exhausted their previous contributions. This aid, which is among the non-contributory benefits of the social security system, aims to support people who have lost their jobs due to their advanced age and have difficulty re-entering the labor market.
Currently about 900,000 people benefit from this aidThis reflects its importance within the framework of social protection in the country.
Recently the Government has approved a number of important reforms to unemployment benefits. The most significant changes include the increase in subsidy aid and the adoption of a tiered payment system. While initially the monthly subsidy payment was 480 euros, with the new reform a system was established that started at 570 euros and gradually decreased until it returned to the original 480 euros. Accordingly, the sections are as follows:
- From 0 to 6 months: 570 Euro or 95% of IPREM
- From 6 to 12 months: 540 Euro or 90% of IPREM
- From 12 months: 480 Euro or 80% of IPREM
This measure is expected to expand its coverage to approximately 400,000 new potential beneficiaries, including temporary agricultural workers and people under 45 years of age.
In addition, the unemployed were given the opportunity to combine aid collection with salary for a maximum of six months (180 days). This measure aims to facilitate the reintegration of beneficiaries into the labor market and allow them to receive both subsidies and salaries for a limited period.
To ensure the correct implementation of this reform, the Government has established tighter control mechanisms. These include carrying out quarterly checks to verify that beneficiaries continue to meet established requirements and the obligation to file an annual income tax return similar to that done for Minimum Vital Income (IMV). These checks aim to prevent the misuse of help and ensure that only those who really need it receive help.
Prices are falling
Another important point when examining the changes made by the government in unemployment benefits is that the contribution base of these unemployed people will decrease for those who start collecting benefits as of June 1, 2024. So currently the minimum contribution is set at 125% of the minimum base, but here’s how it’s now reduced:
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during exercise 2024 The contribution base will be equivalent to: 120% between minimum contribution base General Social Security Regime in force at all times.
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during exercise 2025 The contribution base will be equivalent to: 115%.
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during exercise 2026 The contribution base will be equivalent to: 110%
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during exercise 2027 The contribution base will be equivalent to: 105%.
Will the amount of support increase?
Despite these changes, it is important to highlight the reform. Did not increase the amount of subsidies for people over 52. These beneficiaries will continue to receive assistance based on 80% of the Multiple Impact Public Income Indicator ().IPREM,) which is 600 euros per month this year therefore, 480 euros per month.
This fact caused some disappointment among those who expected an increase in the IPREM percentage for this specific group. But all is not lost. Just as we could see this support on the Administraciontop YouTube channel, we could also see how its amount was increasing… but how? The answer is simple: Raising IPREM.
The fact is that we still do not know the IPREM for 2024, so there is a possibility that it will rise, which will lead to an increase in the amount of subsidy. It is not yet known whether it will rise as explained on this channel, but “When the Minimum Interprofessional Wage (SMI) increases, IPREM also rises and this will increase in 2024.” “Let’s see what happens,” he says.