🧑💻 The Employee Tax Checklist: Managing IRPF on Your Nómina
As an employee (trabajador por cuenta ajena) in Spain, your employer is legally responsible for withholding your taxes and Social Security contributions throughout the year. Your main tasks are ensuring the correct withholdings are applied and maximizing your deductions in the annual tax return (Modelo 100).
🔑 Phase 1: Monthly Payroll & Withholdings
This phase is managed by your employer based on the information you provide.
| Task | Action Required / Form | Implication |
| 1. Provide Personal Data | Complete Modelo 145 (Communication of data to the employer). | Crucial for correct withholding. You must inform your employer of your personal and family situation (marital status, number of children, disability status). If you fail to do this, your employer may apply a higher retention rate. |
| 2. Review Your Nómina | Annually check the IRPF retention percentage applied to your salary. | The retention rate is progressive and varies significantly based on your salary and personal status (e.g., 19% to 47% across the brackets). The goal is for your total withholdings to closely match your final annual tax liability. |
| 3. Social Security Contributions | Your employer automatically deducts your portion of Social Security fees. | Unlike the US or other countries, these contributions (for common contingencies, unemployment, and professional training) are deductible expenses for IRPF purposes. |
| 4. Check Annual Earnings | Receive your Certificado de Retenciones (Certificate of Withholdings) from your employer in January/February. | This mandatory document details your total gross income and the total IRPF withheld in the prior year, which is essential for your annual tax return. |
💰 Phase 2: Annual Tax Return (Modelo 100) Income Tax IRPF
As an employee, you file the annual IRPF return, usually between April and June, to reconcile your total income and claim deductions.
| Scenario | Obligation to File | Key Implication |
| Two or More Payers | Mandatory if income exceeds €15,000 (combined) from two or more payers, unless the second and subsequent payers provided €1,500 or less. | This applies to many expats who change jobs mid-year or receive foreign and Spanish income. |
| One Payer | Mandatory if gross income exceeds €22,000. | This applies to most full-time employees. |
| IRPF Result | Check the result: A Pagar (To pay) means your withholdings were too low. A Devolver (To return) means your withholdings were too high, or you have large deductions. |
📉 Phase 3: Maximizing Key Deductions
These deductions are claimed when filing your annual Modelo 100. Remember that regional deductions set by your CC.AA. are crucial for employees.
| Deduction Category | General Deductible Amount / Rule | Note on Deductions |
| General Work Expenses | €2,000 automatically deducted from gross income. | This is a standard, automatic reduction for all employed taxpayers. |
| Union/Professional Fees | Fees paid to trade unions and mandatory professional colleges (e.g., medical, legal). | Capped at €500 annually for professional colleges. |
| Maternity/Child Deduction | €1,200 per year for mothers with children under three years old. | This is available for working mothers and can be claimed monthly in advance or as a single annual deduction. |
| Geographical Mobility | €2,000 additional deduction for two years if accepting a job that requires changing your residence to a new municipality. | Specific incentive for relocating for work. |
| Family & Personal Minima | Fixed amounts deducted for having children, dependent elderly relatives, or a disability. | Reduces the income subject to tax but is not a direct tax credit. |
| CC.AA. Specific Deductions | Varies widely by region. Check your specific Hacienda Foral (Navarre) or Regional Agency. | Common examples include deductions for rentals, childcare costs, or health insurance premiums. |
Tax Guide 2026
If you need an overall view of tax obligations, click on Taxes in Spain Guide 2026.
