HE allowance for citizens over 52 years old in Spain is a crucial economic measure aimed at supporting people facing tough times who are nearing the end of their working lives. This article explains what the support is, who can receive it, and how to apply. It also covers the latest government changes that affect important elements such as the amount, contributions, and conditions for early retirement.
What is the allowance for people over 52 years of age?
The subsidy for people over 52 years of age is a benefit administered by the State Public Employment Service (SEPE) in Spain. It is designed to provide financial assistance to unemployed individuals aged 52 and older until they reach retirement age. This subsidy plays a key role by offering financial stability at a stage when finding new work can be particularly challenging.
To qualify for this subsidy, applicants must meet several requirements:
- Be at least 52 years old at the time of application.
- Be registered as a job seeker for at least one month after the end of unemployment benefits.
- Have paid unemployment insurance for at least 15 years over their working life.
- Meet the requirements to access a contribution-based pension, except for age. In the past, recipients were required to retire early, but that is no longer the case.
- Have income no greater than 75% of the Minimum Interprofessional Wage (SMI), excluding Social Security contributions.
How to apply for the subsidy for people over 52?
Applications for the allowance for those over 52 are made through SEPE. Interested individuals can submit their applications in person at SEPE offices, by appointment, or through SEPE’s electronic headquarters. It is important to have all required documents, including personal identification, employment records, and any other materials proving compliance with the eligibility criteria.
Significant changes to the subsidy for people over 52
Recently, the government introduced important changes to the subsidy for people over 52 years of age. These updates directly affect beneficiaries in several ways:
- The amount remains fixed. Contrary to expectations, the monthly subsidy did not increase and stays at 80% of the Public Indicator of Multiple Effects Income (IPREM), which equates to 480 euros per month. IPREM has not been updated for 2024 yet. If IPREM rises in the future, the subsidy amount for those over 52 would also rise.
- Lower contributions. One of the most notable changes is the reduction in SSI contributions. Starting June 1, 2024, the subsidy’s contribution rate shifts from 125% of the minimum base to 115% in 2025, 110% in 2026, and 105% in 2027 (or the applicable year as legislated).
- Work and fundraise as a complement to employment support. A new regulation clarifies that unemployment benefits can be combined with work. For beneficiaries who receive the subsidy full-time or part-time and re-enter the job market, the subsidy for those over 52 becomes a complement to employment support rather than a standalone program.
These changes reflect a broader effort to align unemployment assistance with active labor market policies, encouraging reentry into the workforce while maintaining essential financial support for late-career workers.