Hourly minimum compensation

Spain's Salario Mínimo Interprofesional (SMI), or statutory minimum wage, is set at €1,221 per month as of January 1, 2026, equivalent to €40.70 per day. This hourly minimum compensation applies uniformly across all sectors—agriculture, industry, and services—without distinction based on worker sex or age.

The SMI is governed by Spanish labour law and administered by the Ministry of Labour and Social Economy. The regulation establishes a floor below which employers cannot legally compensate workers for ordinary working time, ensuring a baseline standard of living across the Spanish workforce.

Spain's minimum wage is adjusted annually, typically on January 1st, to reflect inflation and economic conditions. The 2026 increase to €1,221 monthly represents the statutory adjustment for that year. The monthly figure assumes 14 annual payments, a standard calculation method in Spain that accounts for two additional payments (summer and Christmas bonuses) beyond the standard twelve months.

Employers and payroll teams must ensure all workers receive at least the SMI for hours worked, regardless of employment contract type or sector. This applies to full-time and part-time employees. Calculations must account for the 14-payment structure when converting between monthly and daily rates. Non-compliance carries significant penalties under Spanish labour law. Organisations operating in Spain should verify current rates annually and adjust payroll systems accordingly, as the SMI changes each January. Collective bargaining agreements may establish higher minimum wages for specific sectors or roles, but cannot fall below the statutory SMI floor.