Overview
- The BOE published the Royal Decree setting the 2026 minimum wage at €1,221 per month in 14 payments (€17,094 a year), a 3.1% rise from 2025.
- Economic effects apply from 1 January, requiring companies to regularize payrolls and pay the difference even to former employees who can claim outstanding amounts.
- The rule takes legal effect on 20 February, with Labour Ministry estimates indicating roughly 2.5 million workers will benefit, especially in hospitality, commerce, cleaning, agriculture and care.
- Related rates are defined at €40.70 gross per day generally, €57.82 per legal working day for temporary and seasonal workers, and €9.55 per hour for domestic employees.
- The BOE also updates income tax relief: SMI-level pay is exempt from IRPF, a new deduction of up to €590.89 applies below €20,048.45 annually, and a worker on the SMI is estimated to pay €356 less IRPF than last year.