Payroll Outsourcing in Spain

Full compliance. Lower costs. One service.

  • Law Firm Backed
  • CBA Classification Specialists
  • TGSS + IRPF Experts

Your payroll processes fine until an auditor opens the file and asks: "What CBA framework are you actually under?" Most companies don't know. Six months of retrospective salary adjustments and fines later, they wish they'd known. We know before it becomes a problem.

Why Payroll Outsourcing matters in Spain?

The CBA misclassification problem

Most companies self-classify their CBA. A tech startup thinks they're under "Offices and Booths" (Oficinas y Despachos). They're not. They should be under the Engineering/IT framework — higher minimum salaries. Six months in, an audit catches it. Now you owe retrospective salary adjustments across your entire tech team, plus fines.

Your payroll software doesn't know which Convenio you're actually under. It just processes whatever you tell it. If you tell it wrong, it runs wrong for months. That's why you need payroll specialists who actually know Spanish law — not software templates.

Why choose Iberia Workforce for Payroll Outsourcing services in Spain?

  • We know Spain's Convenio landscape, including the grey areas your sector falls into.

    Tech, hybrid work, logistics, fast-growing startups — we see the classification mistakes. We catch them at onboarding, not at audit. Our legal team reviews your actual role structure and confirms the correct CBA upfront, so payroll runs under the right framework from month one.

  • CBA compliance lives inside your monthly payroll, not as a separate checkbox.

    Every payroll run, we verify your team's roles against their assigned Convenios. Salary minimums, overtime tiers, mandatory bonuses — all calculated under the correct agreement. That's not a one-time review. That's ongoing enforcement.

  • We carry the audit risk, so you don't.

    Misclassified payroll. TGSS registration gaps. IRPF withholding errors. If an audit flags it, we defend it and cover the cost of corrections. That's what "carrying compliance risk" actually means.

  • We've done this at scale, 10,000+ employees across Europe, now focused on Spain.

    9 years running payroll in one of the world's most compliance-heavy environments (UAE). That operational depth now ensures your Spanish payroll doesn't become a retrospective nightmare.

How Payroll Outsourcing works?

Looking to manage payroll in Spain without the legal risks?

Talk to a Specialist

What's included in Payroll Outsourcing services in Spain?

Payroll Outsourcing pricing in Spain

Pay by headcount or monthly retainer, whichever works for your structure.

Tell us about your team and we'll send you the most cost-efficient solution.

Frequently asked questions

How do you know which Convenio Colectivo applies to our company?

We review your company type, industry classification, and actual role breakdown. Then we confirm the applicable CBA(s) upfront. For example: tech company, 25 people, Barcelona-based, primarily engineers and product roles → Engineering/IT framework (not Offices and Booths). We make that call before payroll starts, not after an audit questions it.

What happens if we're currently using the wrong Convenio?

We catch it at transition. If you've been paying under the wrong Convenio, we flag the exposure, calculate what you owe in retrospective adjustments, and either adjust going forward or recommend a corrective filing with authorities. We don't hide it.

Why is CBA classification such a big deal?

Because the wrong Convenio means the wrong salary minimums, the wrong overtime rates, the wrong mandatory bonuses. Auditors flag it. You owe back pay plus fines. It's not a compliance box to check — it's the difference between payroll that holds up and payroll that becomes a liability.

Can payroll outsourcing software just handle this automatically?

No. Software processes whatever you tell it. It doesn't know your company's actual industry classification or which Convenio you should be under. That's a legal question, not a processing question. That's why you need lawyers reviewing the structure, not just accountants running the numbers.

What exactly does TGSS cover, and why does it cost so much?

TGSS is employer social security — pension contributions, healthcare, disability, workplace accident insurance. Employer cost runs roughly 30% on top of gross salary. It's mandatory and non-negotiable. We calculate it correctly, file it by the deadline, and track it per employee and per month. If your current payroll person is guessing at the rate, that's where problems start.

How does IRPF withholding work, and does location matter?

IRPF is personal income tax withholding. The rate depends on employee gross salary and regional deduction variances. An employee in Barcelona might have a slightly different withholding than one in Madrid for the same salary. We track location-specific rates and withhold correctly. It's filed monthly and reconciled annually.

What's the difference between nómina processing and payroll outsourcing?

Nómina is the monthly payslip and calculation. Payroll outsourcing is the full service: CBA classification, nómina generation, TGSS filings, IRPF handling, bonus management, leave tracking, severance planning. Nómina is one piece. Payroll outsourcing is the entire responsibility.

If we're audited, who handles it?

We do. If the audit flags a misclassification or filing error on our watch, we defend the position, file corrections if needed, and cover the cost of remediation. That's what carrying compliance risk means.

Can we transition mid-year, or do we have to wait until January?

You can transition any month. We handle the data migration, confirm CBA classification for your existing team, and calculate any pro-rata adjustments for the transition month. Most clients transition within 2–3 weeks of signing.

What if we're a foreign company hiring in Spain for the first time?

Tell us the role, location, and whether the hire is EU or non-EU. We confirm the applicable Convenio, run payroll correctly from day one, and handle TGSS/IRPF as if you'd been operating in Spain for years.

Who is Iberia Workforce, and how do you operate in Spain?

Iberia Workforce operates as a payroll outsourcing provider in Spain from our Barcelona office. We're part of Connect Group. Our in-house legal team and payroll specialists handle CBA classification, nómina processing, and TGSS/IRPF filings directly — no outsourced local partners. The team structuring your payroll is the same team that ensures it's legally sound.

Spain's payroll is a test.

Get the CBA classification right, and the rest of it runs smoothly. Get it wrong, and you're defending retrospective salary adjustments two years later.

You already have employees. Your job is managing them, not decoding Convenios and TGSS codes. Tell us your headcount, roles, and current setup — and we'll quote you exactly what payroll outsourcing costs to get it audit-proof from here forward.

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