NewLifeAbroad

Hi all,

I'm considering a move to Spain to teach English privately and setting myself up as an Autonomo, and would like advice on my chances. I've got a TEFL certificate and around six weeks experience (not a lot, I know!). The aim is to go to a smaller town/city (less than 250,000 people) and become a private tutor. My Spanish level isn't great, but I can hold a basic conversation.

I know there are risks in terms of payment, not having regular clients, etc., but would like to try it anyway. If anyone has done it before or knows of people who have done it, and not necessarily in Spain, it'll be great to hear their stories/experiences.

One issue is 'where's the best place to go?'. I know Madrid, Barcelona or Valencia have the greatest demand, but I'd prefer to go somewhere smaller (Palma, Mallorca; Northern Spain; etc.).

Mitzyboy

Welcome

You're aware then that you will have to pay about €235 a month "NI" payments every month as an autonomo, if you earn 1 euro or 1000 euros?

NewLifeAbroad

No, I didn't know that. Is that a flat rate, then? Regardless of the amount I earn, I'll always have to pay 235 euros a month? Are there anymore costs similar to this?

valenciatim

When you become "Autonomo" you pay a minimum of 238 euros a month in social security, this gives you health cover and a pension. It it payable regardless of how much you earn. On top of that are your tax and vat contributions.

jdr

And insurances, accountant, someone to fill in your tax forms, bank charges.

NewLifeAbroad

So, say I make 1000 euros gross per month, how much will be taken out for tax, NI, vat, accountant, milkman, paperboy?

Then, is it nigh on impossible to make a living as an Autonomo?

Mitzyboy

I suppose it depends on how much you earn, but clearly on €12000 a year its a bad start as you are deducting €2856 in NI straight off. My figures are a little out of date, but Spanish income tax starts around 15% and reaches 45% at the high end, but there are allowances, shown here
http://www.spainaccountants.com/it.html

Fred James

I would be carefull recommending that site as all their personal allowance figures are wrong!

Also tax now starts at 20% with 43% being the top band.

NewLifeAbroad

So I'm guessing that it's not a good idea to become Autonomo? At least, not to start from scratch? Are there many that do it? Or are they working illegally?

spain

I expect a lot work on the black at first so they can "test the water" and build up a client base before then going legal

in this area I know of a couple of people teaching English cant remember how much they charge though

ShinyAndy

You often don't have much choice, very few employers are in a position to offer contracts of employment due to uncertainty here so if you want to work legally then you become autonomo

I started as autonomo in July last year, my NI contributions are as stated above. I pay my accountant 200€ a quarter which covers my IVA return and preparation for the end of year tax return. When you invoice a company they withhold a percentage (called IRPF) that goes toward your tax obligations. So far I'm paying 7% IRPF (you pay less for the first 3 years) and still managed to get a rebate this year

My other half is/was a TEFL teacher (taught in Peru and China) and was considering doing something here but has since found out that the earning potential is so little it's not even worth considering

Mitzyboy

Yes, as I said I know my figures were a year out of date but it was at least an indication.

Thanks for letting me know about the site, they obviously haven't updated

TheLostPhotographer

Grants are available for starting new businesses/working self-employed.

Find yourself a good accountant, or gestor and they will happily fill in all grant application forms for you free of charge in the hope that once you're up and running you'll continue to use their services at regular rates.

One grant effectively pays for the first 6 months NIE contribution. This means you only have to pay €1428 during the first year of business. That extra €1428 could be critical.

Grants are also available for publicity/advertising to most start-ups.

As for teaching English on a self-employed basis, there is plenty of demand for TEFL qualified teachers in most areas of Spain. However, it's not well paid. There are plenty of people (unqualified) who will teach children for €5/hour. Not sure what they teach them, but that's another issue. Most don't even know basic rules of English. The problem is that there are so many people teaching cash in hand at very low rates it's difficult to find people willing to pay a professional fee (you'll be very lucky to break €10/hour).

Personally, I'd recommend building up a casual client base whilst teaching via an established school/business part-time for 6 months, or so before taking the plunge into autonomo status.

TEFL qualified teachers seem to have no problem finding work here in Granada, but generally it's only €7 - €9/hour.

NewLifeAbroad

Mmm, it's a bit more complicated than I first imagined. I knew it would be tough, but maybe not that tough! I'll have to rethink my plans...

Thanks for the advice everyone! :-)

Ali in jaen

I both teach as a teacher on the books and as autonomo.

When I'm an autonomo its because its european funded courses which pay well so the teaching centres insist you become autonomo. I pay 185 euros a month because you have to pay less if you've been autonomo for two years or less. I do all my paperwork through an asesor as I hate paperwork and like to be on the safe side.
But its very expensive. Also if you have to pay monthly even if you only work one day!!

When I'm employed by others it's less flexible but a lot easier.

Perhaps working in an English school for a year, picking up experience and advice from other teachers and using that year to pick up the language, meeting potential students etc might give you a head start.
All the best
Ali