Q.- I have lived and worked in Spain as a legal resident for more than 35 years. I was always an employee and my employers always deducted Social Security payments from my salary slip. These payments rose over the years as my salary rose. I am now approaching retirement age and I wonder if I can in fact retire at 65. I have seen various articles about retirement age being raised. Can you clarify?
J J (Costa Blanca)
A.- You can in fact retire at 65 with 100 per cent pension if you have paid into the system for 37 years and six months. If not you can retire at 66 years and two months. The bad news is that a range of reforms passed at the end of 2021 includes an extension of the time used to calculate the final amount of your pension. In 2013 this period was 16 years and it has gradually risen to 24 years.
This is bad news because formerly your pension was based on the last 16 years of your working life when your income was highest. Now it will be based on the last 24 years, thus including 18 more years of lower income meaning your pension will be less. Yes, it is complicated.