Originally Posted by chopera (Post 11191371)

Usually if a company pays say €24k gross they'll classify maybe half of that as "base salary" - the bit that counts towards social security. The rest will be labelled "bonuses" or "summer contributions" or whatever, so the pension will be based on maybe €12k.

Having said that it is still a good deal, for those who got in early (as with any Ponzi scheme). Personally I know of few Spaniards still working past the age of 55, even those who did fairly average jobs have been able to retire early. Unfortunately it is unsustainable - it relies on current tax receipts to pay for existing pension outgoings.

Originally Posted by andyrich666 (Post 11191502)

Back on to topic, Looking on Cuatro there is a lot of Riot Police out on the streets out side the Computense University in Madrid right now. More protests or arrests by the look of it.

Originally Posted by steviedeluxe (Post 11190082)

Shouldn't that read "The average state pension for someone retiring in 2013 in Spain AND who has paid fully into the system, was 1400 euros per month" ?

Otherwise it's a bit misleading? Ok, so it infuriates the "Spain bad, UK good" usual suspects, but it's not going to be the case for everyone who reaches retirement age? I know someone here in Madrid who works on the black, and they've been buying up property to rent out, primarily because they've realised they won't get much of a pension.

Originally Posted by me me (Post 11192372)

How would anyone who works on the black be able to buy property without alerting the anti money laundering brigade?

And buying up property to rent out, as you put it, sounds like more than one property to me.

And why would your comment 'infuriate' anyone?

Originally Posted by me me (Post 11192372)

How would anyone who works on the black be able to buy property without alerting the anti money laundering brigade?

And buying up property to rent out, as you put it, sounds like more than one property to me.

And why would your comment 'infuriate' anyone?

Originally Posted by jackytoo (Post 11192808)

Notaries now require a paper trail for property transactions. Stevie has been listening to bar room talk.

Originally Posted by steviedeluxe (Post 11192826)

Nope, wrong again. I know the person and I know (some of) the properties, not far from where I live.
There is also a lively Airbnb money-earning community in central Madrid. I have no idea how they do it (technically illegal to rent out without a licence?) - maybe they use foreign accounts to register on the website?

https://www.airbnb.com/s/Madrid--Spa...2014&source=bb

Originally Posted by me me (Post 11193005)

You could be right, I won't argue.

The funny thing is usually the people that are doing dodgy dealings, like to play their cards close to their chest.

They will probably tell the interested parties what they need to know, in case they die or become incapacitated.
These people will be the ones who benefit from the 'deals.

I imagine that only the idiots would let it become common knowledge, thus avoiding 'outside' parties blabbing and posting on the internet.

Originally Posted by chopera (Post 11193014)

I was under the impression that property transactions were still the number 1 way for laundering money in Spain. The main cuplrits used to be the constructors and promotors on new builds apparently. Cash would be paid and the contract would be rewritten for a reduced price before anyone got near a notary.

Originally Posted by jackytoo (Post 11193057)

That's not really money laundering, just evasion. I thought we were refering to individuals buying a property, not large companies. Sure there is still corruption but for a one man band working on the black it would not be worth his while if he had to bribe the notary etc. The last couple of property transactions we have done the Notary has been meticulous with all the paperwork. the days of handing over a suitcase of cash have gone.

The only way I can think of doing it now is to take out a mortgage and then pay it off with cash.