Entrepreneurs are being encouraged to blast-off all around Spain, with 12 months of zero fees for your first year of self-employment.
Among the many changes that took place in 2023, it’s worth paying special attention to the contributions self-employed workers now make based on net monthly incomes. The previous system failed to consider actual profits and its fixed contributions stifled many Spanish entrepreneurship.
Qualified self-employed workers in many Spanish communities can now enjoy the Zero Quota. Without further adieu, let’s dive into how.
The infamous Reduced Quota raised the monthly flat rate from €60 to €80 (which in 2024 terms, equates to about €86.66, thanks to the MEI–a new contribution aimed at pensions). Freelancers and self-employed Spanish residents could easily find themselves contributing disproportionate amounts, despite normal swings in income.
💡 If you want to learn more, check out our full blog on Everything You Need to Know About the New 2023 Self-Employment Quotas.
Some Autonomous Communities have since introduced the Zero Quota, aimed at encouraging entrepreneurship. If you meet the requirements, you could benefit from a subsidy that covers the cost of the reduced quota during the first year of your self-employment activity.
Not all regions offer this benefit, but if you live in one that does, it's a fantastic opportunity! Below, we provide a list of regions that have approved the Zero Quota, along with the requirements and deadlines, so you don’t miss out on any details.
On June 29, 2023, foundations were established for grants that fund Social Security contributions for self-employed workers who’ve benefited from the reductions and bonuses provided in Law 20/2007.
These subsidies cover various measures: funding reduced contributions for 12 months for general self-employed workers, 24 months for those with disabilities or victims of violence/terrorism, and an additional 12 months for low-income self-employed workers. Financial support is also available for female self-employed workers returning to work after a period of maternity leave or other family-related circumstances, covering 24 months from their return.
Be registered as self-employed
Conduct economic activity in Andalusia
Be a beneficiary of the reduced Social Security quota
Be registered with Social Security for at least 12 months
The subsidy can be applied for between January 2, 2024, and September 30, 2026.
Applications for Andalusia’s Zero Quota will be completed through forms published in the Official Bulletin of the Junta de Andalucía, and these forms will also be available at the general electronic headquarters of the Junta de Andalucía. Access the procedure in the Catalog of Procedures and Services - Line 1 Subsidies. Zero Quota.
Be registered as self-employed from January 1, 2024
Have benefited from the reduced quota for 12 full calendar months following the registration date
Conduct economic activity in Aragón
Remain registered as self-employed for a total of 24 months starting the day after completing your first year of activity
Be a beneficiary of the reduced Social Security quota
Be registered with Social Security for at least 12 months
The call for Zero Quota applications has not yet been published, so information regarding subsidies and grants will need to be reviewed at the Aragonese Employment Institute (INAEM).
On June 21, 2024, this Zero Quota measure was approved to promote and consolidate self-employment in the autonomous community of Cantabria. It will be retroactive from January 1, 2024.
Be registered as self-employed and conduct economic activity in Cantabria
Registration must have taken place from January 1, 2024
Be a beneficiary of the reduced Social Security quota
Be registered with Social Security for at least 12 months
The subsidy can be applied for within the month following the end of each 12-month period of enjoying the reduction or bonus.
Applications can be submitted through any of the electronic means established in Article 134.8 of Law 5/2018 of Cantabria on Legal Regime of Government, Administration and Public Sector Institutions of the Autonomous Community of Cantabria. Applications should be directed to the Cantabrian Employment Service.
Link to REC Cantabria: REC Cantabria
Zero Quota measure approved in the Official Gazette of the Canary Islands, BOC nº 86, May 2, 2024, with a public call under a non-competitive basis.
Be registered as self-employed and have benefited from the reduced quota for at least 12 months
Conduct your business or professional activity in the Canary Islands
The application period is from May 3, 2024, to November 30, 2024, or until available funds are exhausted. Applications submitted after this deadline will not be accepted.
Applications must be submitted within three months following the completion of each 12-month period during which the reduction or bonus was applied.
Applications must be submitted online through the Zero Quota subsidy process for self-employed workers on the Canary Islands' electronic headquarters: Apply Here
Castilla y León has launched five support programs for self-employed workers with a total credit of up to 10 million euros. These initiatives, managed by the Ministry of Industry, Trade and Employment, aim to help start-ups, consolidate businesses, attract self-employed workers to the region and promote hiring. The programs include subsidies for covering the first expenses of self-employed workers, incentives for young graduates starting their businesses, Social Security quota coverage (including a "Second Opportunity"), support for attracting self-employed workers from other regions, and grants for hiring a first, permanent employee. Deadlines for these programs vary, with cut-off dates in August and September 2024.
Currently, the only program still accepting applications, unless some previous programs are extended, is the one aimed at Attracting Self-Employed Workers to Castilla y León.
Be registered as self-employed with a fiscal address outside of Castilla y León for at least one year before submitting the application
Be under 35 years old
Move your business activity to Castilla y León for a minimum of 4 consecutive years
Be up to date with your tax and Social Security obligations
The deadline for submitting applications is September 30, 2024.
Applications can be submitted through the portal of the General Directorate of Social Economy and Self-Employed Workers.
Must be 18 years old at the time of registration with RETA (Special Regime for Self-Employed Workers)
Must have a registered domicile in the region of Extremadura
Must sign a responsible declaration
From June 7, 2024, to June 6, 2025
The subsidy must be requested within the validity period of the call. The application must be submitted, starting from the day after the activity begins, as indicated by the General Treasury of Social Security, and within five calendar months following the month of the start of the activity.
Applications must be submitted using the form available on the specific subsidy website of the Junta de Extremadura.
The Comunidad de Madrid was the first to publish and approve its Zero Quota plan for new self-employed workers. For this reason, we’ve linked the specific blog (In Spanish) where you can discover all details: Zero Quota for Self-Employed Workers in Madrid: How does it work?
The purpose of this program is to promote two lines of economic aid for unemployed individuals who intend to develop their business or professional activity in Galicia as self-employed workers, to help cover the various expenses generated at the start, and further maintenance of their business.
The program offers two lines of aid:
Line 1: Financial assistance for starting a business and maintaining employment as a self-employed worker.
Line 2: Aid to cover the costs of maintaining self-employment, equivalent to 12 months of the reduced quota amount, regulated in section 1 of Article 38.ter of Law 20/2007, of July 11, of the Statute of Self-Employment.
Must be registered as a job seeker with public employment services and, from September 30, 2023 to September 29, 2024, must register as self-employed (RETA).
Must be registered with the tax authorities and in RETA (Special Regime for Self-Employed Workers).
Must have a fiscal domicile in Galicia where the professional or business activity is carried out.
Must be up to date with tax and Social Security obligations.
Must remain registered with RETA for at least 24 months.
The 2024 call is open from January 16 to September 30, 2024 for this Zero Quota measure.
Applications are made through the Xunta de Galicia’s Consellería de Promoción do Emprego e Igualdade Portal, using the specific subsidy application form.
The purpose of this subsidy is to allocate resources to promote the establishment of self-employed workers who register for the first time in the Special Regime for Self-Employed Workers (RETA) or who have not been registered in this regime in the previous two years. It also applies to the reinstatement of self-employed women under certain circumstances outlined in this regulation, when they return to self-employment by registering in RETA within two years following the effective date of their cessation.
Must be unemployed for at least the day before registering with RETA.
Must have a fiscal domicile in the region of Murcia.
Must have an initial registration in the economic activities census with the tax authorities.
Must maintain registration in RETA for 2 years.
Must be up to date with tax and Social Security obligations, as well as with the region of Murcia.
Application period: from March 8, 2024 to October 31, 2024.
The individual deadline for submitting subsidy applications is 1 month from the date of registration with RETA.
Zero Quota applications must be submitted electronically through the subsidy website of the Region of Murcia's electronic headquarters.
In addition to the popular Zero Quota, some Autonomous Communities have implemented a variety of additional measures to support self-employed workers at different stages of their activity. These initiatives are designed to foster entrepreneurship, assist in the early months of operation, or provide specific benefits based on the needs of self-employed workers in each region. Below is a summary of the available aid programs in other regions, so you can make the most of the opportunities your community offers.
The purpose of these aids is to support self-employment in the Autonomous Community of Castilla-La Mancha, promoting the balance between work, family and personal life for self-employed workers, ensuring generational renewal, encouraging the labor market insertion of family collaborators, and supporting business growth through the indefinite hiring of staff.
While a Zero Quota subsidy for new self-employed workers is expected to be approved in 2025, the following lines of aid are currently available:
Line 1: Aid to promote the balance between work, family and personal life for self-employed workers, regulated in Section 1, Chapter II.
Line 2: Aid for the promotion of generational renewal, regulated in Section 2, Chapter II.
Line 3: Aid for family collaborators of self-employed workers, regulated in Section 3, Chapter II.
Line 4: Aid for the first indefinite hiring of employees, regulated in Section 4, Chapter II.
You can find more information on their website at the Office of Orientation, Training and Employment.
Currently not available to apply (Expired June 30th 2024)
This call for subsidies is aimed at providing aid to compensate for the first year of flat-rate contributions for self-employed workers residing in the Balearic Islands, starting from July 1, 2023.
It applies to self-employed workers who registered with RETA (Special Regime for Self-Employed Workers) between January 1, 2023 and June 30, 2024, and who have remained continuously registered at least until the date of application submission.
Requirements:
Be registered as self-employed
Conduct economic activity within the Balearic Islands
Be a beneficiary of the reduced Social Security quota
Be registered with Social Security for at least 12 months
Be registered as a job seeker with the Balearic Islands Employment Service at least the day before registration with RETA
Be up to date with tax and Social Security obligations
The ADER (Economic Development Agency of La Rioja) has announced the approval of the Zero Quota for entrepreneurs. This aid consists of a 100% bonus on Social Security contributions for new self-employed workers who opt for the state's flat rate of €80 per month during their first year. This subsidy provides a total of €960 annually per self-employed worker.
For more information, it is necessary to contact the managing organization: ADER (Economic Development Agency of La Rioja).
Additionally, there is support for the consolidation of self-employment for business activities carried out by entrepreneurs born between 1965 and 1994 (inclusive).
Requirements:
Registered with RETA (Special Regime for Self-Employed Workers) at the time of application submission.
Have maintained registration in the previous year before submitting the application.
Have a fiscal domicile in La Rioja and maintain it until the resolution of the grant and payment.
Be up to date with obligations to the tax authorities, Social Security and the region of La Rioja.
Deadlines:
The application submission deadline is October 31, 2024 at 2:00 p.m.
How to apply:
Applications must be submitted through the ADER's Electronic Headquarters at this link.
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