Many retirees in Spain paused their professional careers to care for their children, a choice that impacted their pensions. The government has proposed an offer aimed at narrowing the gender pension gap. The benefit ranges from 425.6 euros to 1,702.4 euros per year, and eligibility is attainable for those who qualify.
What is a gender gap reduction supplement?
About 432,000 retirees receive this supplement due to the pension gender gap, with women comprising roughly 92% of recipients (approximately 397,721). The average monthly amount is 66 euros, and a subset of beneficiaries, about 10.8%, receive the maximum 1,702.4 euros per year. Many retirees remain unaware of this option, yet it remains available to those who meet the criteria.
Innovation in pension reform that impresses you
The gender gap supplement, unlike the earlier birth subsidy, provides 30.40 euros per month for each child starting with the first child. Eligibility applies to both women and men who apply with their pension and meet specific requirements.
Requirements to achieve complement to reduce the gender gap
To receive the gender gap supplement, a claimant must be a beneficiary of a contributory pension and have experienced a disruption in their professional career due to caring for a minor. Permanent disability can also qualify retirees who receive a widower’s pension or who opted for early retirement, provided the status is recognized as of February 4, 2021.
Although both parents can request the supplement, typically only one person receives it, ideally the one with the lower pension. Detailed requirements are published on the Social Security website.
When will the new pension reform take effect?
The policy emphasizes that mothers must be registered with the Social Security system and qualify for subsidized retirement benefits, permanent disability, or widowhood. Registration of children in the population registry is also necessary.
Men must meet the same basic requirements, though their pensions may be lower. For births prior to December 31, 1994, a minimum contribution gap of four months is required during the nine months before birth or adoption and the three years after. For births after January 1, 1995, the combined contributions in the two years after birth or adoption must be less than 15% of the sum of the previous two years.
Social Security advises retirees who want that extra “pinch” in their pension
The amount of the gender gap supplement varies from 425.6 to 1,702.4 euros per year, depending on the number of children and the impact on pension contributions. The 2023 figures illustrate the scale:
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One child: 30.40 euros per month, 425.6 euros per year.
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Two children: 60.8 euros per month, 851.2 euros per year.
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Three children: 91.2 euros per month, 1,276.8 euros per year.
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Four or more children: 121.6 euros per month, 1,702.4 euros per year.
The supplement continues until the gender pension gap reaches five percent or less. Applications are submitted through the Electronic Office or by calling the social security help lines, and it should be requested alongside the pension claim itself. If the requirements are met, recipients may obtain an annual boost of up to 1,702.4 euros in their pension.