Exemption from IRPF of remunerations received abroad. Beckham Law10 December, 2015
1. What is the training contract?
The Contract for Training and Learning aims at professional qualification of the working people in a regime of alternating paid work activity in a company, received training activity under the vocational training system of education.
2. What are the requirements to benefit from training contracts?
- They must be over 16 and under 30 years.
- They must lack the professional qualification recognized by the vocational training system or the education system required to arrange an internship.
- Have an obligation to provide effective work.
- They must effectively participate in related training activities.
- Must simultaneously subscribe to the contract terms with the training center to impart training.
- Is required to provide effective work related to the professional profile of vocational qualification or professional certificate.
- It must guarantee the conditions that allow the worker to its assistance to certain training programs in the training activity according to the annex to the contract.
- No may impose a probationary period to exceed two months worker.
3. How is the effective working time and compensation established?
- It must be compatible with the time devoted to training activities.
- It can not exceed 75% during the first year or 85% in the second and third years of the maximum working day established in the collective agreement or, failing that, to the maximum legal workday.
- The remuneration is to be fixed in proportion to the actual working time, in accordance with the provisions of the collective agreement.
- In any case, such compensation may be below the minimum wage in proportion to the actual working time..
4. What is the duration of the Contract Training?
- The Minimum contract period is one year and the maximum is three years.
5. What is the role of Social Security in training contracts?
- The protective action of the Social Security worker hired for the training covers all contingencies ,so he is protected in all situations and benefits, including unemployment.
- Companies that enter into contracts for training and learning are entitled throughout the term of the contract, including extensions, to a reduction in employer Social Security contributions for common contingencies, as well as those for occupational accidents and occupational diseases, unemployment, FOGASA and vocational training.
- Companies that upon completion of its initial term or extended contracts to transform education and learning in permanent contracts are entitled to a reduction in the employer’s contribution to Social Security for three years from:
- 1,500 euros / year for men
- 1,800 euros / year for women
6. What are the advantages for the company and for the worker Training Contract?
- Savings 100% of Social Security if the requirements are met.
- Savings of 100% of the bonus cost of theoretical training.
- Bonus for three years, 1,500 euros (for men) or 1,800 euros (for women) per year if the training contract becomes indefinite.
- No limits on the number of hires. For every three training contracts should have a tutor in the company.
- The worker shall receive full unemployment benefit and social security coverage.
- The theoretical training will be subsidized 100%. On completion, the student may request the issuance of a Certificate of Competence.