According to comprehensive reports from Worldway: Spain is caught in the vortex of the European economic crisis and has yet to fully emerge, leading the government to reduce the budget allocated to the Royal Family year by year. In the 2014 budget, the Royal Family's salary income was slightly less than 700,000 euros. The King's income was approximately 292,000 euros; according to Spanish tax law, he would have to pay about 150,000 euros in personal income tax on that amount. Therefore, the King's net take-home pay was only about 150,000 euros (approximately 1.25 million RMB).
In Madrid, Spain, King Felipe VI of Spain attends the coronation ceremony with the new Queen Letizia Ortiz and their two daughters.
On June 19, 2014, King Juan Carlos I of Spain abdicated, and his son, Felipe VI, ascended to the throne. This was the first transition of monarchs in Spain since the democratic reforms of the late 1970s and was a major event for the country. Even the Spanish national football team "voluntarily" exited the World Cup competition, freeing up enough front-page space for the new King's coronation.
Some Spaniards have linked the high unemployment rate to this succession, joking that Prince Felipe is finally "not unemployed." Since he is now employed, he must collect a salary. Let our Worldway Spanish immigration experts take a look at what the salary of the King of Spain really is.
To study the issue of salary, we must first look at what work the King does.
According to the Spanish Constitution, the King represents the nation. Therefore, the King fulfills basic head-of-state functions such as promulgating laws and appointing the Prime Minister. However, the King and other members of the Royal Family are not idle in their remaining time.
Members of the Royal Family are often required to attend significant events. In Spain, one can often see the words "Attended by the King/Queen" printed on buildings. Many gymnasiums are also named after Prince Felipe.
Spain is a country that loves football. Members of the Royal Family can be seen at the annual Copa del Rey or Champions League matches involving Spanish teams. During this year's Champions League final, television cameras caught Queen Sofía looking drowsy, which leads one to wonder: being a member of the Royal Family is not easy.
The Spanish Constitution stipulates that the Royal Family's budget is proposed by the central government and implemented after approval by Parliament. The King allocates funds based on the budget amount. From this perspective, the King determines the salaries of his family members. However, allocating the budget is not a simple task, especially when funds are becoming "scarce."
It is reported that in 2010, the Royal budget was 8.897 million euros. By 2014, this figure had decreased to 7.775 million euros, a decline of 12.61%. However, this budget is not all for the King to spend at will.
Some online comments suggest that the Spanish Royal Family is one of the poorest in Europe, but a lean camel is still bigger than a horse. Although there is no money for the King to inherit, the long-standing House of Bourbon has left the Spanish King a number of keepsakes: several castles and various works of art. However, these keepsakes cannot be sold or discarded; they must be properly preserved—all of which entails maintenance costs. Additionally, expenses for state banquets, gifts, and travel during state activities must be paid from this budget. In the 2014 budget, these expenses totaled 3.106 million euros, accounting for nearly 40% of the total budget.
The King must represent the country, which inevitably involves making speeches, stamping documents, and signing papers. Therefore, he needs to employ secretaries. With so many castles, staff must be hired for cleaning, gardening, and landscaping. During holidays, there are also bonuses to be distributed. These labor costs account for nearly 50% of the total Royal budget, reaching 3.87 million euros.
Excluding minor investment and accounting fees, the remainder constitutes the Royal Family's salaries. In the 2014 budget, the Royal Family's salary income was just under 700,000 euros. Let's find a reference point: according to the agreement signed between the Spanish national football team and the Royal Spanish Football Federation, if the "defending champion" Spanish team had successfully defended their title in the Brazil World Cup, each player would have received a bonus of 720,000 euros. The Spanish Royal Family is indeed not very wealthy!
This 700,000 euros is not for the King to keep privately. There are six members in the Royal Family. Four of them receive a salary through the Royal household: the King, the Queen, the Prince, and the Princess. In the budget, the King's income was approximately 292,000 euros, of which 140,000 euros was salary and 152,000 euros was an allowance. Prince Felipe's salary was half of the King's, about 146,000 euros. The Queen's income was 45% of the King's salary, totaling 132,000 euros. The Princess's salary was 35% of the King's, totaling 102,000 euros. One princess could receive a subsidy of no more than 25,000 euros based on her workload, while the other princess received no allowance from the Royal household.
A very important point is that the King must also pay taxes. Under Spanish tax law, he would have to pay about 150,000 euros in personal income tax on 292,000 euros. Therefore, the King's take-home pay was only 150,000 euros (approximately 1.25 million RMB).
Note: Because the Spanish Royal budget was prepared while Juan Carlos I was on the throne, for the sake of convenience, the "King" in this article refers to Juan Carlos I, who was in power at the time, and the "Prince" refers to the then-Prince Felipe, now King Felipe VI.
About the King of Spain and His Titles
Worldway Spanish immigration experts explain: Many people think that the "Spain" in "King of Spain" refers only to modern geographic or political Spain, but this is not the case. The King of Spain is actually a collective term for a series of titles, or essentially a short form.
The King of Spain is also the King of Castile, León, Aragon, the Two Sicilies (now part of Italy), Jerusalem, Navarre, Granada, Majorca, Toledo, Seville, Valencia, Galicia, Sardinia (now part of Italy), Corsica (now part of France, the birthplace of Napoleon), Algarve (now part of Portugal), and the Spanish East and West Indies (now the Philippines and surrounding islands). He is also the Archduke of Austria, Duke of Milan and Athens... and the list goes on for hundreds of words.
Having too many titles is also a hassle. Some titles can only appear in important headers with an "etc." at the end. There are some that sound quite impressive, such as King of Hungary, King of Croatia, etc. Although there are many titles, most have long been abandoned; the only one widely used now is King of Spain.
For more information on Spanish immigration and living, trust Worldway! Spanish Immigration Hotline: 400-138-2929
