In Spain it is possible to access voluntary or involuntary early retirement, and advance the contributory pension up to twenty-four months at the ordinary retirement age. However, this modality facilitated by Social Security with the objective that the worker, whether salaried or self-employed, withdraws from the labor market can be expensive for potential pensioners. And never better said, because in some cases, such as those detailed below, they can lead to reductions in the financial benefit of up to 21%. From what got to this point, the first thing to know first hand is at what age can I retire in 2023.
To answer this question, we must go back to the beginning of 2013, the year in which the age of access to the retirement pension varies depending on two factors, provided that the following requirements are met. In the first place, and in any case, the necessary condition in all cases is that the interested party must contribute for a minimum of 15 years and that, in turn, two of them have occurred in the last 15 years before accessing the joy.
Having said this, in order to retire at age 65, you must have contributed for a minimum period of 37 years and 9 months or more. In the event that the contribution period is less than 37 years and 9 months or more, the retirement age reaches 66 years and 4 months. Therefore, how much is the pension reduced if you retire at 63? And at 64? There is no doubt that it is worth waiting until the age of 64, because as we will see now, if you do it at age 63, the penalty imposed by Social Security is notable.
How much is lost for each year of early retirement?
Social Security applies some reduction coefficients that penalize the pensions of those people who wish to retire voluntarily and whose collective agreement does not contemplate it. In these cases, Social Security allows you to request it up to twenty-four months before the legal age, that is, two years. On the other hand, in the case of the forced, that is, those that occur due to situations beyond the control of the worker, for example in early retirement or in a collective dismissal. In these cases, it is allowed to retire up to four years before the legal age.
In summary, for those people who retire early and voluntarily in 2023, they should know that the suspension import will decrease between 21% and 3.26%, depending on whether it is advanced 24 months or just one month. This is established in the first pension reform led by Minister José Luis Escrivá, approved at the end of 2021, and which came into force at the beginning of 2022. However, in the case of doing so at age 64, these rates are reduced between 5.50% and 4.75%, so, without a doubt, it is convenient to wait twelve more months to take this important step that puts the end of your professional career.