Bills in Spain can vary greatly depending on the required electricity, gas, water, and other services. Before taking the plunge and investing your time, energy, and finances into living in Spain, you should consider some practical matters. One of those is understanding what kinds of bills and expenses you can expect as a resident. Read on to learn more!
What bills do you pay in Spain?
Trying to guess how much your utility bills in Spain will cost is almost impossible, as the amount varies drastically depending on the size and condition of your home. However, if you already own a Spanish property or know what kind you want to buy, it’s possible to use this info in order to calculate an estimate of what your monthly payments may be.
Local Property Tax
Once the title deed is signed before the Spanish Public Notary, you must pay the local property tax, IBI (Impuesto de Bienes Inmuebles). This is a yearly tax that depends on the cadastral value of your house. However, you can sometimes receive your first one for up to two years. These bills are sent directly to a Spanish property’s address. The specific percentage of taxes owed ranges from approximately 0.405% to 1.166%, depending on the province where the property is located. It’s worth noting that the cadastral value of a property is reevaluated periodically to ensure that taxes remain up-to-date.
Your energy supply bills vary hugely depending on electricity prices, the electricity company you use, and your own electricity consumption. When setting up an electricity supply to Spanish property, electricity companies will require proof of ownership (title deed) and proof of residence in Spain (a Spanish bank account).
If you’re living in Spain, it’s normal to expect your monthly electric bills to be between €60 and €100. But that can change depending on the contracted kW of your home, its size, and how much time you spend there. Small or medium-sized homes should have a 3.45kW contract. Larger homes need 5.75kW, while those with heavy electrical consumption require 10.35kW. To reduce electricity bills in Spain, it’s worth considering electricity-saving measures such as using energy-efficient appliances and installing solar panels.
Water in Spain is provided by local authorities and municipal authorities, although in some areas, there are local public services responsible for water supply. Approximately one quarter of the country relies on privately owned suppliers, another half primarily utilizes public sources for their supply, and the remaining area relies on private and public entities to maintain adequate water service. The price for a monthly water bill can fluctuate depending on the amount of water you use and how many people live in your home. The cost of a monthly water bill is usually between €30 and €150 depending on your location, consumption, and the type of contract you have in place. You should expect to pay between 40-60 euros each month for your water expenses.
When relocating to Spain without utilities, make sure the water contract is transferred into your name. Head over to the local town hall or check online for details on how to register as its new owner. Notice that this process may differ depending on where you live. You need to bring your ID and your address with you to register.
Bottled gas costs vary greatly depending on your location and the bottle size you purchase. The gas is used to heat water and cook food, so the cost can be quite high. After moving into your new home, contact your local gas supplier and request that they turn on the gas. Selecting the perfect gas supplier for your home in Spain is just as easy as selecting an electricity provider. Each region has its own primary supplier; however, you still have a few options. Once this has been done, a meter reading will be taken and you’ll become an official customer. Fortunately, these can easily be organized with your provider at around €60-€70.
In addition to electricity bills, utility bills, and water bills, you need to consider community fees if you own property in Spain. As a homeowner of property in a “community”, you are responsible for contributing financially towards the upkeep and maintenance of communal facilities. The amount allocated for these fees depends on various elements. Community fees can vary greatly depending on the region and size of the property, but they usually range from €50-€250 per month.
On average, you will be spending anywhere from 30 to 55 euros each month for your landline phone and broadband internet connection of between 50Mb to 300Mb. Most telephone companies offer discounts for long-distance calls and data packages.
Grocery bills in Spain also vary greatly depending on where you shop and the type of food/drinks you purchase. The average grocery bill for a family of four is €150-€200 per month. Supermarkets such as Carrefour, Mercadona, or Lidl typically offer the best prices.
If purchasing a home is not an option, you may consider renting in Spain. Rent cost is cheaper inland than it is along the coast and more expensive in tourist areas. A 1-2 bedroom apartment outside of a city typically costs €500 per month while one inside a city can range from €675 – €750. On the other hand, if you’re looking for something bigger such as a villa complete with its own pool, expect to pay at least €1,000+ per month.
Running a Car in Spain
The public transportation system in Spain is outstanding. Still, many choose to purchase a car after they relocate since it’s the fastest and most comfortable way to get from one place to another—especially if you live in an isolated holiday spot. Car insurance rates can vary significantly depending on the size and model of your car, but expect to pay anywhere from €85-€150 each month for a medium-sized vehicle.
Insurance in Spain
Depending on your age and history, life insurance can be costly. Health insurance is necessary and you should budget at least 30 euros per month for it. Additionally, be ready to spend around 250 euros yearly on building and content coverage.
A word from SpainDesk
If you are preparing to move into your new Spanish residence, opening a local bank account beforehand is essential. Not only is this the most convenient way of collecting utility bills via direct debit, but it will also simplify many everyday tasks. Bills in Spain are paid through automatic transfers from your bank. Therefore, you’ll need to input these data when signing up. While it’s possible to use other payment methods, this will likely remain the easiest option.
Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal or financial advice. We highly recommend seeking guidance from a legal or financial expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.