# Eng Tchr w/ ?s about going autonomo



## Carloz (Aug 5, 2010)

I am an English Teacher who is thinking about going autonomo. I am a US citizen, and have had a Spanish work/residence permit for about 8 years now, so I am a permanent resident. I have been doing in-company teaching for years, and each July the language training company I work for terminates my contract, then creates a new one come September or October, depending on when students want to re-start. I usually don't bother with unemployment because it's such a little amount, but just live off of the finiquito and savings. Oh, and since my contract is "por obro y servico" I don't get paid for bank holidays - a real pain at Christmas/New Year/Reyes and at Semana Santa. It's almost like being autonomo! I have had businesses offer me classes directly, but I have not been able to accept, because I cannot bill them myself, so I have passed them on to my company. For many reasons, I am thinking about going autonomo, and I have a few questions I was hoping some of you on this forum could help with.

1. I have heard that if you become unemployed and want to start your own business, it is possible to get the total unemployment benefit you've accrued in one lump sum to help you get started. Does anyone know anything about that, and if starting out as an autonomo English teacher would qualify?

2. I believe autonomo English teachers need to register as an IAE 934(empresasrial) with Hacienda, and as a CNAE 85.9 with Social Security. Can anyone confirm that?

3. I have heard that there are two ways to do the accounting: one simple and the other more complex. The monthly accounting and paperwork are my biggest fears. I hate math and am terrible at it, so would want to do things as simply as possible. Any advice?

4. I've found mentioned on-line an organization called "La Ventanilla Única Empresarial" which helps autnomos get started, and visited the website, but they do not have an office in Barcelona, which is where I live. Does anyone know of a similar organization here.

5. Would it e possible to do other kind of work with the same autonomo status? For example, if I did an occasional translation, could I invoice for that as an English teacher, or would I have to get separate autonomo status for that?

Those are the main questions I have. Thanks in advance for any input.


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## dunmovin (Dec 19, 2008)

Carloz said:


> I am an English Teacher who is thinking about going autonomo. I am a US citizen, and have had a Spanish work/residence permit for about 8 years now, so I am a permanent resident. I have been doing in-company teaching for years, and each July the language training company I work for terminates my contract, then creates a new one come September or October, depending on when students want to re-start. I usually don't bother with unemployment because it's such a little amount, but just live off of the finiquito and savings. Oh, and since my contract is "por obro y servico" I don't get paid for bank holidays - a real pain at Christmas/New Year/Reyes and at Semana Santa. It's almost like being autonomo! I have had businesses offer me classes directly, but I have not been able to accept, because I cannot bill them myself, so I have passed them on to my company. For many reasons, I am thinking about going autonomo, and I have a few questions I was hoping some of you on this forum could help with.
> 
> 1. I have heard that if you become unemployed and want to start your own business, it is possible to get the total unemployment benefit you've accrued in one lump sum to help you get started. Does anyone know anything about that, and if starting out as an autonomo English teacher would qualify?
> 
> ...


sorry that I can't help with this. It sounds like your employers ahve set up this terminate/rehire policy to avoid paying a severance for long term employees and if it works for both you and them good and well.

Why not go automo, on a part time basis, until the part time income equals or overtakes the other?

nothing ventured, nothing gained so to speak?


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## Pesky Wesky (May 10, 2009)

Hi there!
Some of your questions can be answered by looking at this recent thread
http://www.expatforum.com/expats/sp...1-teaching-private-english-classes-spain.html
Do a search for autonomo, self employed and or teaching English and some other info which may be to your interest may come up!
It would be very interesting to hear of your experience of teaching in Barcelona or other places especially as you are American and most people here are British. If you have time, post smth on the teaching English in Spain stickie at the top of the main Spain page


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## xabiaxica (Jun 23, 2009)

I really should know the answer to these questions as I work autonomo as a teacher.

I'm deeply embarrassed to say that my OH's accountant does everything for me so I haven't a clue (part of his deal with her)

I just keep a record of what I earn & let her know


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## Pesky Wesky (May 10, 2009)

dunmovin said:


> sorry that I can't help with this. It sounds like your employers ahve set up this terminate/rehire policy to avoid paying a severance for long term employees and if it works for both you and them good and well.
> 
> Why not go automo, on a part time basis, until the part time income equals or overtakes the other?
> 
> nothing ventured, nothing gained so to speak?


Unfortunately part time isn't really an option as the SS payments are always 270euros a month, no matter how many hours you work, so part time isn't really worth it as a teacher.


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## dunmovin (Dec 19, 2008)

Pesky Wesky said:


> Unfortunately part time isn't really an option as the SS payments are always 270euros a month, no matter how many hours you work, so part time isn't really worth it as a teacher.


I know of one man, who teaches part time. He charges 10 euros per session, twice a week, to a group of eight... the math is quite simple


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## xabiaxica (Jun 23, 2009)

dunmovin said:


> I know of one man, who teaches part time. He charges 10 euros per session, twice a week, to a group of eight... the math is quite simple


and half that income goes in SS payments!

of course if he's doing twice that it could just be worth it - but where is he teaching?

I'm very busy - but we as a family couldn't live on what I earn

and did you know that many studies say that teaching for more than 20 'contact' hours a week is bad for your health - and your ability to teach effectively!

I know if I do much more than 15 I'm exhausted - lesson prep & marking can take up t least an equal amount of time


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## Pesky Wesky (May 10, 2009)

xabiachica said:


> and half that income goes in SS payments!
> 
> of course if he's doing twice that it could just be worth it - but where is he teaching?
> 
> ...


Sorry, it don't think it was clear. The 270 € is what you pay for the privilege of being autonomo. On top of that I personally pay 15% IRPF. So, for the example Dunmovin' gives I'd make 274 € off a gross payment of 640€ minus travelling expenses, so for me, not worth it.


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## xabiaxica (Jun 23, 2009)

Pesky Wesky said:


> Sorry, it don't think it was clear. The 270 € is what you pay for the privilege of being autonomo. On top of that I personally pay 15% IRPF. So, for the example Dunmovin' gives I'd make 274 € off a gross payment of 640€ minus travelling expenses, so for me, not worth it.


that's what I was saying - although the 270 varies a bit by age - half this guy's income would immediately disappear - even if he didn't earn enough to pay tax (I have no idea about that:confused2 , had no premises or travelling expenses

it might just be a living wage if he earned twice as much - but not enough to support a family


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## Pesky Wesky (May 10, 2009)

xabiachica said:


> that's what I was saying - although the 270 varies a bit by age - half this guy's income would immediately disappear - even if he didn't earn enough to pay tax (I have no idea about that:confused2 , had no premises or travelling expenses
> 
> it might just be a living wage if he earned twice as much - but not enough to support a family


Sorry, I meant I hadn't been very clear to dunmovin'.
I knew that you knew what I was on about - if you see what I mean??!!


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## mrypg9 (Apr 26, 2008)

xabiachica said:


> and did you know that many studies say that teaching for more than 20 'contact' hours a week is bad for your health - and your ability to teach effectively!
> 
> I know if I do much more than 15 I'm exhausted - lesson prep & marking can take up t least an equal amount of time



How true!!
If only the UK Department of Education took that on board...


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## Carloz (Aug 5, 2010)

Thanks for the link, Pesky Wesky, and for the comments everyone. I usually teach around 25 hours a week. One of the problems with teaching business people is their high cancellation rate due o meetings and business travel - most of my classes are one to one, and if the cancellation is with more than 24 hours notice, then that means no pay for that lesson.


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## Maundler (Jul 30, 2010)

Carloz said:


> I am an English Teacher who is thinking about going autonomo. I am a US citizen, and have had a Spanish work/residence permit for about 8 years now, so I am a permanent resident. I have been doing in-company teaching for years, and each July the language training company I work for terminates my contract, then creates a new one come September or October, depending on when students want to re-start. I usually don't bother with unemployment because it's such a little amount, but just live off of the finiquito and savings. Oh, and since my contract is "por obro y servico" I don't get paid for bank holidays - a real pain at Christmas/New Year/Reyes and at Semana Santa. It's almost like being autonomo! I have had businesses offer me classes directly, but I have not been able to accept, because I cannot bill them myself, so I have passed them on to my company. For many reasons, I am thinking about going autonomo, and I have a few questions I was hoping some of you on this forum could help with.
> 
> 1. I have heard that if you become unemployed and want to start your own business, it is possible to get the total unemployment benefit you've accrued in one lump sum to help you get started. Does anyone know anything about that, and if starting out as an autonomo English teacher would qualify?
> 
> ...


Ok.. here I go... 


Answer to question 

1.- Yes, that is true, you can get all unemployment benefit in one sum, HOWEVER, you will have to justify 40% of those with invoices used to your "autonomo" investment business. You have to go to the INEM and they will "help" you get this started. I have to say though, once you do this, you are committed to be at least 3 years as "autonomo" and if you fail to do this, the INEM might claim some of this money. Besides you are no longer entitled to "el PARO", since "autonomos" are not entitled to one. They were supposed to include the "autonomos" at the "PARO" this year, but they didn't and I suspect, considering the situation, they never will, at least for the next 10 years.

2.- Yes, I can confirm that, I am sure on the IAE934, although I am going to have to chek on the Social Security, but most-likely that doen's change much, still will check. I have to say this... If you are going as an "autonomo" as an English Teacher there are a few advantages and disadvantages. There are some cases you can teach clases, invoice your clients and can be eligible for a TAX-FREE refund.

3.- Well, you might want to go to a trimestral one. Doing it monthly is a pain in the a***. Besides, you have to really take a look at some of these regulations which help professors, and as I said in the above question, you can be eligible for several TAX-FREE refunds... My suggestion will be to start calling some "gestorias" or probably a "gestor" you might know who does accounting and can handle Taxes. I have a friend who is "autonomo" and found out a guy who charged "150€ A YEAR"!!! And he has been with him for almost 6 years now, no problems whatsoever.. You might want to consider that option, and besides, I am sure they all know how this tax-free thing works.

4.- Well, to tell you the truth, I haven't even heard of "La Ventanilla Única Empresarial". And I don't really think you need one of those. You only have to go to the INEM, explain them you are going to be autonomo, they have to help you with everything you need, including the unemployment benefit "paro" all at once. and if you go with a "gestoria" as I suggested above, they will help you from scratch..

5.- Being autonomo gives you a certain liberty to do some things. You are always going to be able to invoice anybody for whatever you do, BUT in YOUR INVOICES your services will have to be that which you applied for. For example, you COULD even work in painting a HOUSE, but in your invoice you would have to put "12 hours on english classes" or something like this. But to answer your question, sure you will be able to translate some documents, but the invoice will have to be that of the sector you applied for. (WITH CERTAIN RESTRICTIONS)..(EXAMPLE IS NOT 100% VALID, BUT IT WAS TO GET TO THE POINT)

I hope I was able to help you...


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## Carloz (Aug 5, 2010)

> I hope I was able to help you...


You sure were, Maundler - thanks so much! I didn't know that paro for autonomos had fallen though - I thought it had kicked in already. Is the trimestral system the one they refer to as modulos? I went to hacienda to get some info on Friday and the person basically told me I needed to go to another office on the other side of town, but she did tell me some basics and mentioned modulos. Do you teach business English students? Thanks again, and any other advice you have would be appreciated. Cheers!


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## Maundler (Jul 30, 2010)

Carloz said:


> You sure were, Maundler - thanks so much! I didn't know that paro for autonomos had fallen though - I thought it had kicked in already. Is the trimestral system the one they refer to as modulos? I went to hacienda to get some info on Friday and the person basically told me I needed to go to another office on the other side of town, but she did tell me some basics and mentioned modulos. Do you teach business English students? Thanks again, and any other advice you have would be appreciated. Cheers!


Hi,... well, there are some things you might want to know... Paro for autonomus has fallen and you are not entitled to paro while autonomus... there are however exceptional circumstances you might get paro while autonomus, but you wouldn't be entitled to that exceptional circumstances, because you would get your full paro from day one.

Yeah, there are different modulos, but you want to pay it trimestral, just search for that one. Monthly might be a hassle. You have to go to the INEM first to ask for advise on how to get your full paro from day one, they will help you with that one and will let you know about the current situation and how to deduct your 40% on your investment as autonomus... they will then let you know where to go from there.

No, I actually work employed by a company as a Marketing Manager but do several other things on the side, as autonomus, but I am not registered as autonomus since that wasn't a choice for me. So, I work with an autonomus who can write invoices to my clients and I only pay this guy taxes for my services, call it translations from english to spanish, designs for webs, flyers, etc. and consulting in marketing for IT retailers... That is why I know how autonomus work!


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## Carloz (Aug 5, 2010)

Thanks again, Maundler, you've been most helpful. I am off to the INEM today. Cheers!


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## Maundler (Jul 30, 2010)

Hope you find what you are looking for!!


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## timr (Feb 1, 2010)

Thanks for all the ueful info. Just to add to what has already been said, it looks like from November, autonomos may be eligible for short-term unemployment benefit. Certain criteria have to be met - a min number of contributions made and that the "baja" must be involuntary or caused by economic circumstances. Here´s link with a bit more detail;

La prestación por desempleo para los autónomos, desde noviembre

I´m not sure whether this will be useful for English teachers who do a "baja" during the holiday period. :confused2:


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## Carloz (Aug 5, 2010)

Just an update, and an additional thanks to all, now that I am autonomo -- going on almost two whole months! I'll see how it goes for the next few months and decide whether to stick with it or not. Thanks, again.


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## Pesky Wesky (May 10, 2009)

Carloz said:


> Just an update, and an additional thanks to all, now that I am autonomo -- going on almost two whole months! I'll see how it goes for the next few months and decide whether to stick with it or not. Thanks, again.


Hi carloz,
Thanks for getting back to the forum. I wonder if you could just check smth on the Teaching English in Spain sticky at the top of the page? In post 347 I wrote about becoming an autónoma. Did you do the same paperwork, or perhaps someone hekped you out??
By the way I don't know anything about the tax free issues that maundler's talking about. Do you? I do know that when I do my taxes at the end of the year I usually get a lot of money back, but i don't do anything monthly nor trimestly. Have you been advised to?


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