The Junta de Andalucía regional government has launched extra incentives to encourage residents to start their own entrepreneurial projects as self-employed workers.
As of this week, people setting up as 'autónomo' (self-employed) for the first time in Andalucía won't just benefit from the national government's one-year reduced rate for monthly social security contributions. The regional government has also put its hand in its pocket and will finance an extra year of reduced social security for people in Andalucía, including Malaga and the Costa del Sol.
The flat rate to cover compulsory minimum payments for social security and health cover, as well as state pension contributions, for the first two years will be 60 euros, as opposed to the normal 283 euros minimum monthly fee that 'autónomos' need to pay.
The scheme to stimulate more self-employed will cost the Andalusian regional government 28.8 million euros this year.
Regional president, Juanma Moreno, said on Monday that the scheme, "will simplify bureaucratic hurdles, set up a very low flat rate and, overall, create a climate of trust for the self-employed and business people so they can generate employment, wealth, progress and well-being."
Extra money will go to women who live in municipalities with under 5,000 inhabitants and to young people under 30. Both these groups will only have to pay 30 euros a month, instead of 60, for the first two years in business.
Andalucía now has the best incentives of any region, the Junta explained, and 24,000 are expected to benefit.