Payroll Software in Spain
Mercans Payroll Software is the leading payroll program in Spain, offering a comprehensive and fully automated online payroll solution designed to simplify payroll management and ensure full legal payroll compliance in Spain. Our cloud payroll software streamlines every aspect of payroll processing, including accurate payroll calculation, social security administration, and labor management. Ideal for businesses of all sizes, from SMEs to large enterprises, Mercans delivers a powerful digital payroll solution that integrates seamlessly with existing HR systems. With features such as automated monthly payroll, customized reporting, and secure data management, our payroll software for Spain empowers organizations to reduce manual work, improve efficiency, and maintain compliance with Spanish payroll and labor regulations. As one of the best payroll programs available, Mercans combines innovation, reliability, and expert support to transform payroll administration into a smooth, error-free process.
Trusted the world over
Certified by Real Casa de la Moneda Certification
Real Casa de la Moneda Certification Integration (Spain)
Mercans Payroll Software is officially certified by the Real Casa de la Moneda, Spain’s trusted authority for secure digital documentation and compliance. This certification ensures full legal payroll compliance in Spain, covering everything from payroll calculation and social security contributions to labor management and statutory reporting. With seamless integration for Spanish payroll and labor regulations, our payroll software guarantees accurate, timely submissions while eliminating unnecessary administrative burden for HR and finance teams. Designed for businesses of all sizes, Mercans delivers a reliable and automated online payroll program that meets the highest standards of security and compliance in Spain.
Why Choose Mercans
- Native SaaS and Payroll platform
- Trusted by Fortune Global 500 and multinationals
- Manage All Employment Types - Employees, Freelancers, Contractors, Expats
- More than 100 inbound and outbound integrations are available today
- Suitable for enterprise businesses
- GDPR certified, SOC 1 & SOC 2 Compliant
- Supports Multiple Currencies
- ISO 20000 & ISO 27001 Certified
- Global presence and multi-country payroll capabilities
- OWASP ASVS 3.0 Compliant
Payroll Software Modules in Spain
Mercans Payroll Software in Spain offers managers and employees an intuitive, powerful portal designed to simplify payroll and HR processes while ensuring compliance with Spanish labor laws. Our advanced modules deliver efficiency, accuracy, and a seamless user experience for businesses of all sizes.
Manager Self Service
Allows managers to handle HR tasks such as approvals, performance tracking, and employee administration directly within the platform.
Employee Self Service
Gives employees instant access to personal records, payroll details, and HR tools, ensuring transparency and convenience.
Employee Help Desk
Provides a single point of contact for payroll or HR inquiries, improving employee communication and satisfaction.
Data Exchange
Facilitates smooth integration with Spain’s Real Casa de la Moneda and other systems for secure, error-free payroll processing.
eDrive and Workflows
Automates HR operations with customizable workflows and secure digital document handling to ensure compliance and efficiency.
Time and Attendance
Accurately tracks working hours, overtime, and productivity, integrating seamlessly into payroll calculations.
Leave Management
Manages all types of leave under Spanish regulations, including vacation, sick leave, and parental leave, with automated approvals and accurate tracking.
Loans and Expenses
Ensures precise processing of employee loans and expense reimbursements, integrated directly into payroll for efficient financial management.
Payroll Features in Spain
Mercans’ Global Payroll Software for Spain efficiently manages various aspects of regulations and social security. This encompasses:
Collective Agreements and Payroll Management
Mercans payroll software for Spain is designed to handle a wide range of collective agreements and sector-specific labor rules in full compliance with Spanish legislation. The platform enables precise control of salary scales based on collective agreements, employee rank, seniority, and contract type. It also allows seamless management of individual pay arrangements, giving employers the flexibility to administer both standardized and customized agreements efficiently.
Automated Compliance
The system is continuously updated to reflect changes in Spanish labor law, social security regulations, and tax requirements. It automatically prepares and delivers all mandatory filings to the relevant authorities, including:
- Social Security filings through the RED system (Sistema RED)
- Tax Authority declarations to the Agencia Tributaria, including IRPF, Modelo 111, and Modelo 190
- Annual employee income statements
This automation ensures businesses remain compliant while reducing administrative burden.
Salary Calculation
- Salary adjustments
- Holiday pay (pagas extra and vacaciones)
- Social Security contributions and pension deductions
- Overtime and allowance
- Bonuses and additional benefits
Integration Capabilities
Our payroll system integrates seamlessly with HR, accounting, and ERP solutions, ensuring smooth data exchange between departments. It supports connection to a broad range of Spanish accounting software, enhancing efficiency and reducing duplication of work.
Salary Module
The salary module covers all payroll operations in Spain:
- Daily routines: account maintenance, reporting, and financial reconciliations
- Monthly routines: wage transfers, Social Security contributions, tax declarations, and SEPA transfers
- End-of-period routines: automated closures with rollback and control options
The system uses preconfigured salary templates based on collective agreements to guarantee consistent and accurate payroll processing.
Bank Transfers
International Payroll Routines
- Reporting to the Agencia Tributaria (AEAT)
- Social Security reporting via Sistema RED
- SEPA bank transfers to Spanish and EU banks
- Pension fund transfers
- Annual tax reports, including Modelo 190 and Modelo 296 for non-residents
Spanish Payroll and Tax Compliance
- Withholding tax (IRPF), based on contract type, income level, family situation, and taxable income
- Social Security contributions (Seguridad Social), covering retirement, unemployment, occupational risks, and healthcare
Payroll files can be generated and submitted electronically to:
- Sistema RED for Social Security
- Agencia Tributaria for tax declarations
- SEPA banking systems for salary transfers
Holiday and Absence Management
- Paid annual leave of at least 30 calendar days per year
- Public holidays managed by region (festivos nacionales y autonómicos)
- Sick leave (baja médica) with Social Security integration
- Maternity, paternity, adoption, and parental leave, in line with statutory requirements
Pension and Contributions Management
- Social Security contributions for retirement, unemployment, healthcare, and occupational risks
- Occupational pension schemes under collective agreements
- Voluntary pension contributions with tax optimization
Other Statutory Deductions
The platform supports the processing of all legally required and court-ordered deductions, such as:
- Wage garnishments (embargos salariales)
- Union dues (cuotas sindicales)
- Voluntary deductions for insurance or savings plans
Benefits in Kind (Retribución en especie)
The software automatically handles taxation of non-monetary benefits in compliance with Spanish law, including:
- Company cars
- Meal vouchers (cheques restaurante)
- Health insurance
- Housing allowances
- Stock options
All benefits are included in taxable income with correct IRPF and Social Security treatment.
Payroll Dashboard
The real-time payroll dashboard gives administrators complete control over payroll processes. Features include:
- Payroll readiness checks
- Compliance tracking for IRPF and Seguridad Social
- Status monitoring of SEPA bank transfers
- Exception handling and corrections
Retroactive Pay and Adjustments
The system supports retroactive payments (atrasos) that often result from updates to collective agreements, ensuring correct backdated salary adjustments and tax recalculations.
Final Settlement (Finiquito)
Mercans payroll software calculates end-of-contract settlements accurately, including:
- Unused vacation days
- Severance pay (indemnización)
- Pro-rated bonuses (pagas extra prorrateadas)
- Pending salaries and allowances
Payroll Implementation in Spain
Mercans offers a tailored payroll implementation process in Spain, ensuring a seamless transition to our system while adhering to local labor laws, tax regulations, and social security requirements. Our approach is structured to provide clarity, efficiency, and compliance at every stage.
Implementation Planning
The process begins with the allocation of resources and the clear definition of roles and responsibilities. A comprehensive kick-off meeting establishes project objectives, scope, and timelines. Clients receive a detailed implementation calendar and a welcome package outlining all project details. Weekly progress meetings ensure alignment between teams, and a formal scope sign-off confirms agreement before work proceeds.
Requirements Gathering
Workshops are conducted to gain a deep understanding of client-specific needs. A comprehensive business blueprint is created to capture payroll requirements, identify gaps, and define customization needs. These requirements are documented in detail, and formal sign-off ensures full agreement before moving forward.
System Configuration
The payroll system is configured to meet Spanish payroll regulations and the client’s specific requirements. Wage types and pay components are customized, interfaces for seamless data integration are established, and reporting tools are tailored to comply with local legal obligations. Employee and Manager Self-Service portals are configured to provide an efficient, user-friendly experience.
Data Migration
All employee and payroll master data is migrated with rigorous accuracy checks. Clients review and approve the migrated data to ensure completeness and correctness before entering the testing phase.
Test Payroll Run
Simulation payroll runs verify the system configuration. Parallel testing with existing payroll processes ensures accuracy and reliability. End-to-end testing and user acceptance testing confirm the system’s readiness, with any identified issues addressed before the final approval stage.
Payroll Transition and Go-Live
A clear transition plan is implemented to ensure a seamless move into live payroll operations. Comprehensive training is provided for all users, and a dedicated hypercare and escalation plan supports immediate post-go-live needs. A fallback plan is in place to ensure continuity, and a final checklist confirms readiness before formal sign-off.
Payroll Integration in Spain
Mercans stands out in Spain with certified integrations and reliable connections to the Seguridad Social RED system and the Agencia Tributaria (AEAT) electronic reporting platforms. Operating across more than 160 countries, Mercans combines global expertise with deep local knowledge, ensuring payroll is accurate, timely, and fully compliant with Spanish labor law, tax obligations, and social security requirements.
Trusted and Certified Integrations
Our integrations are supported by certifications from the Seguridad Social and AEAT, reflecting our commitment to compliance, security, and efficiency for every payroll cycle in Spain.
Integration with HCM, HRMS and Workforce Management Systems
Mercans Payroll Software integrates smoothly with leading human capital management (HCM), human resource management systems (HRMS), and workforce management platforms. This creates a unified experience, connecting HR administration directly with payroll processing and statutory reporting. Employees can use self-service portals to manage leave requests, view payslips, submit expense claims, and update personal data. Data entries are validated automatically and processed through the payroll system, reducing manual work and enabling HR teams and employees to focus on strategic priorities.
Mercans provides tailored API integrations for industries in Spain including manufacturing, logistics, finance, healthcare, and technology. These integrations ensure payroll systems align with sector-specific requirements, streamline processes, and maintain compliance with Spanish collective agreements and labor regulations.
Mercans Payroll connects with popular accounting and ERP platforms used in Spain, enabling seamless data transfer for wage payments, tax declarations, and statutory filings. This integration ensures faster processing, reduces errors, and improves payroll accuracy.
By combining certified integrations, custom API connections, and a deep understanding of Spanish payroll compliance, Mercans empowers organisations to achieve operational efficiency, accuracy, and confidence in every payroll cycle.
Important Payroll Reports & Documents in Spain
| Report / Document | Purpose / When Used | Key Contents / Required Data |
|---|---|---|
| Payslip (Recibo de Salario / Nómina) | Issued to each employee every pay period, usually monthly, and legally required under Spanish labor law. Ensures payroll transparency and employee record‑keeping. | Employee and employer details, gross salary, net salary, itemised deductions (Social Security contributions, IRPF withholding, union fees, garnishments), days worked, overtime, bonuses, professional category, job title, contract details. |
| Payroll Register / Salary Register (Registro Salarial) | Mandatory for all companies under Spain’s labor regulations. Supports compliance with equal pay and gender equality laws. Typically updated annually. | Base salary, allowances, non‑wage payments, benefits in kind, breakdown by occupational group, professional category, and gender, salary averages and medians, adjustments for compliance with equal pay legislation. |
| Monthly Social Security Reports / Contributions (TGSS Filings) | Required monthly to report and pay employer and employee contributions to Seguridad Social via Sistema RED. | List of insured employees, contribution bases, applicable rates, changes in employment status (hires, terminations, leaves), salary details, hours worked, statutory contributions, monthly totals. |
| Tax Withholding Declarations (IRPF / Retenciones / Modelos 111, 190) | Required to withhold and report employee income tax to Agencia Tributaria. Some declarations are monthly (Modelo 111), others annual (Modelo 190). | Amounts withheld from employees, employee and employer information, taxable bases, applicable rates, annual summaries, details of non‑resident tax withholdings where relevant. |
| Annual Income / Withheld Income Certificates (Certificado de Retenciones, Certificado de Ingresos) | Issued annually to employees and tax authorities to summarise income paid and taxes withheld. Required for income tax filing. | Total gross salary, total deductions (IRPF, Seguridad Social), employee details, contract type, employment period, employer identification. |
| Other Statutory Filings / Summaries | Includes specific filings depending on sector, collective agreements, or employee residency status. May cover extra payments or union contributions. | Non‑resident tax declarations, extra payment summaries (13th / 14th salary), benefits in kind reports, union dues, collective agreement contributions. |
| Audit / Pay Transparency Reports | Required for compliance with Spain’s pay transparency laws, especially for companies with more than 50 employees. Supports gender pay equality. | Salary data broken down by gender, professional categories, occupational groups; base pay, bonuses, benefits in kind; median and average salaries; justification reports for pay gaps exceeding thresholds. |
Benefits of Payroll Software
Mercans delivers a comprehensive payroll solution designed to simplify payroll management and human resources processes while ensuring full compliance with Spanish payroll regulations. Our software is built to support your organisation with efficiency, accuracy, and transparency.
Independent Payroll Management
Run payroll directly within our secure platform, reducing dependence on third‑party providers and ensuring faster processing.
Integrated HR and Leave Management
Combine payroll, HR administration, and leave tracking in a single system, cutting down administrative workload and enhancing operational efficiency.
Automated Workflows
Minimise manual input and human error by automating payroll calculations, statutory deductions, and reporting requirements such as Seguridad Social and IRPF filings.
Customisable Solutions
Adapt more than 150 workflows to meet your company’s specific needs, from industry‑specific pay rules to custom statutory reports.
Time Efficiency
Reduce administrative time so your HR and payroll teams can focus on strategic initiatives rather than routine tasks.
Mercans offers a complete payroll management solution for Spain that is secure, reliable, and easy to use. Our platform simplifies payroll and HR administration so you can focus on what matters most: your people and your business growth.
Always Accessible
Secure, cloud‑based access to payroll and HR data from anywhere, at any time
Transparent Pricing
Fixed monthly pricing with a per‑employee charge and no hidden costs, giving full cost control.
Dedicated Support
Expert guidance from payroll specialists knowledgeable in Spanish labour law and compliance requirements.
Secure Data Management
End‑to‑end encryption, GDPR‑compliant data handling, and self‑managed backups ensure data security.
Compliance Confidence
Stay fully aligned with Spain’s evolving labour, tax, and social security regulations through continuous software updates.
Mercans offers a complete payroll management solution for Spain that is secure, reliable, and easy to use. Our platform simplifies payroll and HR administration so you can focus on what matters most: your people and your business growth.
Streamlined Payroll Processing
Additional Key Features
Mercans offers a complete payroll management solution for Spain that is secure, reliable, and easy to use. Our platform simplifies payroll and HR administration so you can focus on what matters most: your people and your business growth.
FAQs
What is the biggest challenge your company faces with payroll compliance in Spain?
Keeping up to date with Spanish payroll regulations and ensuring compliance with Seguridad Social contributions, IRPF withholding, and other statutory requirements is a key challenge.
Do you file Social Security contributions and tax withholdings manually or use payroll software?
Most companies rely on automated payroll software in Spain to simplify monthly TGSS filings, Modelo 111/190 declarations, and reduce compliance risks.













