Find out whether it's better to continue as a freelancer or create a Limited Company. Complete tax comparison with IRPF, self-employed quota, Corporate Tax calculation and personalized recommendation.
Total income before expenses
Percentage of expenses on revenue
As company administrator
Applies 15% reduced Corporate Tax rate first 2 years
Enter data to see the comparison
Comparing both options is very simple. You only need 4 data points:
Estimate how much you'll invoice in a year. It's your business volume before subtracting expenses.
Choose what percentage of your revenue are business expenses (rent, materials, software, etc.). If unsure, use 20-30%.
If you created an SL, what salary would you like to pay yourself as administrator? This affects SS and IRPF calculation.
If you've never had an SL, you can benefit from the reduced 15% Corporate Tax rate for the first 2 years (instead of standard 25%).
Understand the fundamental differences between being a freelancer and having a Limited Company:
As freelancer you pay IRPF (19-47% by brackets) on your net income and self-employed quota based on real income (2026: bracket system). Simple management but no asset separation.
The SL pays Corporate Tax (25%, or 15% first 2 years for entrepreneurs). You receive a salary as administrator (with IRPF and General SS Regime). More complexity but asset protection.
Approximate revenue from which SL starts to be more tax advantageous. Varies by expenses, salary and whether you apply 15% Corporate Tax. Typically between €40,000-60,000 net profit.
As freelancer you're liable with your personal assets. In an SL, your liability is limited to contributed capital (except cases of fraudulent management or gross negligence).