This January 1, 2025 begins with new developments that have a direct impact on soccer clubs, specifically due to the entry into force of the new “additional solidarity contribution” to social security, an obligation introduced in the 2023 pension reform in Spain (RDL 2/2023).
This measure will be applied progressively until 2045 by means of a gradual increase in the contribution rate and will only apply to those salaries whose amount exceeds the maximum contribution base. The amount of this maximum base for 2024 has been 4,720.50 euros/month, so that, pending the official figure for 2025, this figure will be around 4,900.00 euros/month, i.e. around 59,000 euros per year.
An extra contribution will be applied for the excess between the maximum contribution base and the employee’s salary. This contribution will take the form of a percentage in three different tranches, 5.5%, 6% and 7%, and will entail a significant increase in costs. However, as its application will be progressive, the applicable percentages for 2025 will be 0.92%, 1% and 1.17%, as indicated in the Forty-second Transitory Provision of the General Social Security Law, an annual increase of 0.25% until the following percentages are reached in 2045.
The distribution of the solidarity contribution rates between employer and employee will maintain the same proportion as the distribution of the general social security contribution rate for common contingencies, currently 83% to be paid by the employer and 17% to be paid by the employee.
This measure has a special impact on professional soccer since the salaries paid by clubs to athletes in sectors such as soccer are always higher than the maximum contribution base indicated above, since according to the collective bargaining agreement for professional soccer activity, it provides for a minimum guaranteed salary of 190,000 euros in the first division or EA League for the 2024/2025 season and 95,500 euros in the second division or Hypermotion League.
Regardless of the provisions of the collective bargaining agreement, the determination of the remuneration of athletes is part of the negotiation between both parties, club and athlete, and taking into account that the vast majority of players’ salaries are above the so-called minimum guaranteed salary, we will find a greater impact of this measure, so this new additional contribution will have a significant impact on professional soccer.
In the first division or EA League on an average salary of 600,000.00 euros for the year 2025 we would have a total contribution of 6278.72 of which 5,211.34 would be paid by the company and 1,067.38 euros by the player.
If we were to add up this cost over 30 athletes, including players and coaching staff, we would have the following approximate additional cost of social security:
In second division or Hypermotion League on an average salary of 250,000.00 euros for the year 2025 we would have a total contribution of 2,185.52 euros of which 1,813.98 euros would be paid by the company and 371.54 euros by the player.
As in the previous case, if we were to add this cost over 30 athletes, including players and coaching staff, we would have the following approximate additional cost of social security:
For further information on the subject, please contact Diego García Diego
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