Public Non-Contributory Old Age Pensions

Pensiones de jubilación no contributivas

Coverage

Persons legally residing in Spain who have reached the age of 65 and cannot sufficiently cover their necessary subsistence from income and assets and are not eligible to any contributory pension benefits (incl. minimum supplements to contributory pensions).
Under certain conditions, the scheme also covers Spaniards born in Spain who have established their residence abroad; Spaniards not born in Spain who have resided in Spain 8 years prior to the date of the application as far as they held Spanish citizenship during this period; Spaniards living abroad who have returned to the national territory.

Financing

The scheme is entirely tax-financed out of the general budget.

Administration

The scheme is managed by the ‘Institute for the Elderly and Social Services’(Instituto de Mayores y Servicios Sociales, IMSERSO).
In the case of Spaniards living abroad and returnees, the scheme is managed by the ‘Directorate General for Migration’ (Dirección General de Migraciones).

Qualifying Conditions

Persons must be at least 65 years old.
Persons must have resided legally in Spanish territory and have done so for a period of 10 years (8 years for Spaniards living abroad and returnees) between the age of 16 and the accrual of the pension, two of which must be consecutive and immediately prior to the date of the application.
Persons must not be eligible to any contributory pension benefits (incl. minimum supplements to contributory pensions).
Benefits are means-tested: the person’s incomes and assets must be below the defined ‘minimum amount’ (set annually by the General State Budget Law).
If the beneficiary lives together with family members, the lack of sufficient resources requirement is only fulfilled when the sum of the annual income or income of all the members of their economic unit of coexistence is less than the legally established amounts.

Benefits

The amount of the flat-rate benefit is based on the annually defined ‘minimum amount’ (EUR 5,538.40 per year in 2020) minus the person’s/household’s income and assets.
The payment will be divided into 14 payments, corresponding to each of the months of the year and two extraordinary payments (12 monthly payments for Spaniards living abroad and returnees).
Citizens over 65 years of age and in a state of need are provided with free medical-pharmaceutical assistance and complementary social services.
Beneficiaries who prove that they do not own property and have a rented house as their habitual residence will receive an economic supplement.
Benefits are considered as income from work and are subject to income tax.
Yet, benefits fall below the minimum threshold of income tax set at EUR 22,000, unless the beneficiary receives income from other sources.

Coverage

Financing

Administration

Qualifying Conditions

Benefits

Persons legally residing in Spain who have reached the age of 65 and cannot sufficiently cover their necessary subsistence from income and assets and are not eligible to any contributory pension benefits (incl. minimum supplements to contributory pensions).
Under certain conditions, the scheme also covers Spaniards born in Spain who have established their residence abroad; Spaniards not born in Spain who have resided in Spain 8 years prior to the date of the application as far as they held Spanish citizenship during this period; Spaniards living abroad who have returned to the national territory.

The scheme is entirely tax-financed out of the general budget.

The scheme is managed by the ‘Institute for the Elderly and Social Services’(Instituto de Mayores y Servicios Sociales, IMSERSO).
In the case of Spaniards living abroad and returnees, the scheme is managed by the ‘Directorate General for Migration’ (Dirección General de Migraciones).

Persons must be at least 65 years old.
Persons must have resided legally in Spanish territory and have done so for a period of 10 years (8 years for Spaniards living abroad and returnees) between the age of 16 and the accrual of the pension, two of which must be consecutive and immediately prior to the date of the application.
Persons must not be eligible to any contributory pension benefits (incl. minimum supplements to contributory pensions).
Benefits are means-tested: the person’s incomes and assets must be below the defined ‘minimum amount’ (set annually by the General State Budget Law).
If the beneficiary lives together with family members, the lack of sufficient resources requirement is only fulfilled when the sum of the annual income or income of all the members of their economic unit of coexistence is less than the legally established amounts.

The amount of the flat-rate benefit is based on the annually defined ‘minimum amount’ (EUR 5,538.40 per year in 2020) minus the person’s/household’s income and assets.
The payment will be divided into 14 payments, corresponding to each of the months of the year and two extraordinary payments (12 monthly payments for Spaniards living abroad and returnees).
Citizens over 65 years of age and in a state of need are provided with free medical-pharmaceutical assistance and complementary social services.
Beneficiaries who prove that they do not own property and have a rented house as their habitual residence will receive an economic supplement.
Benefits are considered as income from work and are subject to income tax.
Yet, benefits fall below the minimum threshold of income tax set at EUR 22,000, unless the beneficiary receives income from other sources.

Legal Basis: Royal Legislative Decree 8/2015 of 30 October approving the consolidated text of the General Social Security Act (Real Decreto Legislativo 8/2015, de 30 de octubre, por el que se aprueba el texto refundido de la Ley General de la Seguridad Social); Royal Decree 357/1991 of 15 March implementing, as regards non-contributory pensions, Law 26/1990 of 20 December establishing non-contributory social security benefits (Real Decreto 357/1991, de 15 de marzo, por el que se desarrolla, en materia de pensiones no contributivas, la Ley 26/1990, de 20 de diciembre, por la que se establecen en la Seguridad Social prestaciones no contributivas); Royal Decree 8/2008 of 11 January, which regulates the benefit for reasons of need in favour of Spaniards living abroad and returnees (Real Decreto 8/2008, de 11 de enero, por el que se regula la prestación por razón de necesidad a favor de los españoles residentes en el exterior y retornados).