Question about being autonomo in Spain
I am looking at the difference between being an autonomo in Spain and single person company in Spain (essentially I am looking at the viability of going from permanently employed to autónomo but essentially getting paid the same gross salary from the same company (basically a contractor instead of permanently employed).
– Are there other things/costs I am missing that the calculator doesn’t account for?
– When is it better to rather register as a single-person company?
– Can you be an Autónomo and bill 1 client only?
Answers
These are the answers of some Facebook group members:
”Your last question, yes! My wife is autonomous and teaching and invoicing just 1 company where she works as a self-employed teacher”
”You need to sign a contract with the company called “TRADE”, is meant trabajador autónomo económicamente dependiente. With this contract, you state invoicing a minimum of 75% of your total to one only company (100% is no problem). It guarantees you a few simple things on top of what autónomos have in case of losing a job or illness”
”Based on similar conversations with my gestor my understanding is: At the 50-60k mark it becomes worth looking at creating an SL and being an “employee” of the SL. Pros: This reduces the tax burden due to corporate Vs personal tax limits Increases the items that can be company expenses Gives you, personally, and employee protections regarding unemployment/health etc Cons: Significantly higher accounting work required (every payment and bank movement must be accounted for and documented) Accountant fees for SL are usually significantly higher than as an autónomo Possible costs for notary /lawyer when setting up/changing the company You still have to pay a fixed social security payment when you are the director of a company – I’m not sure of the amount under the new rules but this used to be higher than standard autónomo payment So, as with all things it depends what works best for your specific situation”
”A 1-person ‘SL’ is called an ‘SLU’ (‘Sociedad Limitada Unipersonal”
In conclusion, according to Spainguru Facebook group members, transitioning from permanent employment to self-employment as an autónomo or creating a single-person business (SLU) has financial and legal considerations. Additional costs like accounting fees and potential lawyer and notary expenses should be considered, especially when opting for an SLU. Depending on income levels (around 50,000-60,000 euros annually), an SLU may offer tax advantages and increased business expense deductions. As an autónomo with one client, the “trabajador autónomo económicamente dependiente” concept allows for invoicing a single company. Making the right choice between autónomo and SLU requires individual assessment and advice from professionals to navigate the best option for one’s situation.
