Find out how the Special Social Security Agreement can be a convenient way to secure your retirement and improve your financial well-being so that your pension is not negatively affected by a redundancy.
Written by Albert Perez
Labour lawyer
What is the Special Social Security Agreement?
The Special Social Security Agreement is an agreement that allows people who leave the Social Security Scheme (who are not in active employment, whether due to unemployment, termination of activity or any other circumstance) to continue paying Social Security contributions in order to maintain their right to a pension and other benefits.
By applying for and benefiting from this special agreement, a relationship is established with the Social Security system whereby the individual makes regular contributions to maintain their contribution base and subsequent welfare protection, ensuring their future retirement with the most favourable payout.
It is a particularly interesting option for those who either do not want to lose money in their future retirement or do not qualify for a contributory pension, as it allows them to maintain their welfare protection and improve their financial position in retirement.
Advantages of making use of the Special Agreement
There are a number of important advantages of taking up the Special Social Security Agreement:
- Maintaining welfare coverage: By continuing to pay Social Security contributions, your rights to retirement and other benefits such as permanent incapacity and healthcare are maintained.
- Increase of the regulatory base: Contributions made through the Special Agreement can increase the regulatory base of the pension, which translates into a higher payout at the time of retirement.
- Flexibility of contributions: The Special Agreement allows the amount of contributions to be adjusted according to the economic means of each person, which makes it more accessible.
- Possibility of supplementing other pensions: If other non-contributory pensions or social benefits are accrued, the Special Agreement makes it possible to supplement them and improve the rate of income in retirement.
These advantages make the Special Agreement an attractive option for those who wish to guarantee their retirement and improve their financial security.
Requirements to apply for the Special Agreement
To apply for the Special Social Security Agreement, the following requirements must be met:
- Not be registered in any Social Security scheme.
- Workers with indefinite-term employment contracts and freelancers only when they are registered, are 65 years of age or older and have 35 years of effective contributions.
- Workers or self-employed persons who cease their activity and are hired with a contribution base which is lower than that of the last twelve months.
- Those with multiple jobs when they cease any of the activities and meet the requirements.
- Have paid a minimum of 1,080 days of contributions in the twelve years immediately prior to the de-registration
- Not be retired or permanently totally, absolutely or severely disabled (unless they subsequently meet the above requirements).
- Not be on leave due to illness or temporary incapacity.
- Not be in receipt of unemployment benefits (unless they subsequently meet the above requirements).
Find out more about the requirements in English via this link about the Special Agreement. If you meet these requirements, you can apply under the Special Agreement and protect your pension.
How to apply under the Special Agreement
To apply under the Special Social Security Agreement, follow the steps below:
- Go to your nearest Social Security office or contact us so that we can help you.
- Request the Special Agreement application form.
- Fill in the form with your personal and employment details.
- Provide the required documentation, such as your National Identity Card, Social Security number, etc.
- Hand in the completed application form at the Social Security office.
Once you have submitted your application, the Social Security authorities will assess your case and notify you of their decision. If the decision is in your favour, you will be able to start making the corresponding contributions.
Tips for maximising the benefits of the Special Agreement
If you are covered by the Special Social Security Agreement, you can apply these tips to maximise its benefits:
- Make regular contributions: It is important to make the contributions set out in the Special Agreement in order to maintain your welfare protection and ensure an adequate pension.
- Adjust the rate of contributions: If your financial circumstances change, you can adjust the amount that you pay according to your new situation.
- Find out about the regulatory base: Find out how the regulatory base of your pension is calculated and how you can increase it by making contributions to the Special Agreement.
- Plan for your retirement: Take advantage of the Special Agreement as a tool with which to plan for your retirement and ensure a stable financial future.
By following this advice, you can maximise the benefits of the Special Agreement and ensure a peaceful and secure retirement.
Contact us so that we can help you to plan for your retirement:
