A worldwide-income jurisdiction with a progressive personal income tax and a statutory social-security charge — and a residency framework worth modelling before relocation.
Spain's Beckham Law overrides the standard schedule for qualifying residents, layered over the country's social-security charge. The effective burden on $120,000 settles at 30.3%, leaving $83,580 in hand.
A walk through the four statutory channels by which Spain claims part of a resident's gross compensation — followed by any special regime that overrides them.
6-bracket progressive system running from 19% to 47% on taxable income.
| Taxable income | Rate |
|---|---|
| up to 12,450 | 19.00% |
| 12,450 – 20,200 | 24.00% |
| 20,200 – 35,200 | 30.00% |
| 35,200 – 60,000 | 37.00% |
| 60,000 – 300,000 | 45.00% |
| over 300,000 | 47.00% |
On social security, employees pay 6.3%. Contributions are uncapped - high-income workers pay the full rate on every dollar.
| Instrument | $75k gross | $120k gross | $200k gross |
|---|---|---|---|
I. Statutory deductions | |||
Personal income tax Beckham Law | −$18,000 | −$28,800 | −$48,000 |
Social security · employee 6.3% employee · uncapped | −$4,763 | −$7,620 | −$12,700 |
| Gross income | $75,000 | $120,000 | $200,000 |
| Total deductions | −$22,763 | −$36,420 | −$60,700 |
| Effective rate | 30.3% | 30.3% | |
Tax residency in Spain is established by the jurisdiction's headline test[1]: physical presence of more than 183 days in a rolling twelve-month period, supplemented by 183+ days or center of economic/vital interests. Spouses and unemancipated minors are typically presumed to share the residency of the principal earner unless rebutted.
Once resident, any special regime is not automatic. Most jurisdictions require a formal registration with the tax authority within a defined window following arrival, together with proof of qualifying activity and a lookback period of prior non-residency. Late registration forfeits the regime for the year in question and, in some cases, for the entire benefit window.[2]
The common pitfalls are predictable. Treaty interaction with the home state can override the local regime where the home jurisdiction asserts primary taxing rights — most relevantly, United States citizens remain subject to US federal tax on worldwide income, with foreign-tax-credit relief but no escape from the higher of the two bills. Activities undertaken before registration is approved may also fall outside the regime entirely.[3]
| PPP basis · NYC = 100 | Spain | New York · NY | Δ |
|---|---|---|---|
Cost-of-living index Indicative · placeholder until COL table ships | 60.0 | 100.0 | -40.0 pts |
Nominal net (annual · $120k) From the engine — exact | $83,580 | $77,900 | +$5,680 |
| Real net · NYC basket | $139,300 | $77,900 | +$61,400 |
Every figure in this country reference traces to a primary instrument. We publish the model and welcome correction.
Read the full note ↗| Party | Rate | Cap |
|---|---|---|
| Employee / self-employed | 6.35% | none |
Healthcare financing on the resident side is normally embedded inside the social-security charge rather than carried as a separate payroll line. The Comparely engine models healthcare as part of the social contribution unless a country exposes a distinct line item — track additions in the schema for future surfacing.
| Instrument | Rate |
|---|---|
| Dedicated health levy | — |
| Long-term care levy | — |
| Embedded in social charge | included |
Beckham Law. Benefit runs for 6 years from first qualification. Eligibility: 5+ years of prior non-residency and employment by a local entity.
| Duration | 6 yrs |
| Prior non-residency lookback | 5 yrs |
| Applies to employment | yes |
| Applies to self-employment | no |
| Maximum eligible (local) | 600,000 |
| 30.3% |
| Net take-home | $52,238 | $83,580 | $139,300 |
| Net · monthly equiv. | $4,353 | $6,965 | $11,608 |
Table 1 · Net take-home under the auto-picked regime, three income points, FY 2026 indicative. Highlighted column is the $120k worked example used elsewhere on the site. |
| Arrival (day 0) | Establish address; obtain tax ID |
| Day 0 – 90 | Visa application (if required) and bank account |
| Day 183 | Default residency threshold crossed |
| Year-end | Tax year closes |
| Year + 1 · Q1 | Special-regime registration window (if any) |
| Year + 1 · Q2–Q3 | First annual return |