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Note 44 | 12 Months Ended
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Dec. 31, 2023
Administration Costs [Abstract] |
Disclosure of Administration Costs [Text Block] | Administration costs Personnel expense The breakdown of the balance under this heading in the consolidated income statements is as follows:
Personnel expense (Millions of Euros)
| Notes | 2023 | 2022 ⁽¹⁾ | 2021
Wages and salaries |  | 5,068 | 4,310 | 3,933
Social security costs |  | 834 | 708 | 668
Defined contribution plan expense | 25 | 139 | 87 | 71
Defined benefit plan expense | 25 | 49 | 42 | 49
Other personnel expense |  | 440 | 454 | 325
Total |  | 6,530 | 5,601 | 5,046
(1) Balances corresponding to 2022 have been restated according to IFRS 17 (see Notes 1.3 and 2.3). Share-based employee remuneration The amounts recognized under the heading “Administration costs - Personnel expense - Other personnel expense” in the consolidated income statements for the year ended December 31, 2023, 2022 and 2021, corresponding to the remuneration plans based on equity instruments in each year, amounted to €24 million, €32 million and €33 million, respectively. These amounts have been recognized with a corresponding entry under the heading “Shareholders’ funds - Other equity” in the consolidated balance sheets, net of tax effect. The characteristics of the Group's remuneration plans based on equity instruments are described below. Variable remuneration in shares BBVA has a specific remuneration scheme applicable to those employees whose professional activities have a material impact on the risk profile of BBVA and/or its Group (hereinafter “Identified Staff”) involving the delivery of BBVA shares or instruments linked to BBVA shares, designed within the framework of applicable regulations to credit institutions and considering best practices and recommendations at the local and international levels in this matter. Thus, according to the applicable remuneration policies, the variable remuneration for the Identified Staff members is subject, principally, to the following rules: –The Annual Variable Remuneration for Identified Staff members for each financial year will not accrue or will be reduced upon accrual, if certain profit and capital ratio levels are not achieved. –A maximum of 40% of the Annual Variable Remuneration for those members of the Identified Staff who receive particularly high amounts of variable remuneration and members of BBVA’s Senior Management and 60% for the rest of the Identified Staff (the “Upfront Portion” of the Annual Variable Remuneration) shall vest and be paid, provided the relevant conditions for payment are met, as a general rule, in the first quarter of the following financial year to which the Annual Variable Remuneration corresponds. –The remaining amount, and at least 60% of the Annual Variable Remuneration for those members of the Identified Staff who receive particularly high amounts of variable remuneration and members of BBVA’s Senior Management, and 40% for the rest of the Identified Staff, will be deferred over a period of 4 years (the “Deferred Portion” of the Annual Variable Remuneration). However, for members of BBVA’s Senior Management the deferral period shall be 5 years. In both cases, the Deferred Portion will be paid, provided the relevant conditions are met, once each of the years of deferral has elapsed. In no event will this Deferred Portion be paid faster than in a proportionate way. –Both the Upfront Portion and the Deferred Portion of the Annual Variable Remuneration of each member of the Identified Staff will be paid 50% in cash and 50% in BBVA shares or in instruments linked to BBVA shares. For members of BBVA’s Senior Management, the Deferred Portion will be paid 40% in cash and 60% in BBVA shares and/or in instruments linked to BBVA shares. –Shares or instruments received as Annual Variable Remuneration shall be withheld for one year running from the date of delivery. The foregoing shall not apply to those shares that are sold, where appropriate, in order to meet the payment of tax obligations accruing on the delivery of the shares and/or instruments. –The Deferred Portion of the Annual Variable Remuneration may undergo certain ex post risk adjustments, meaning that it will not vest, or may be reduced, if certain capital and liquidity thresholds are not met. –Up to 100% of the Annual Variable Remuneration of each member of the Identified Staff corresponding to each financial year, both in cash and in shares or instruments, will be subject to arrangements for the reduction of variable remuneration (malus) and arrangements for the recovery of variable remuneration already paid (clawback), which will remain in effect during the applicable deferral and retention period, and will be applicable in the event of the occurrence of any of the circumstances expressly named in the remuneration policies. –The cash amounts of the Deferred Portion of the Annual Variable Remuneration that ultimately vest will be updated by applying the consumer price index (CPI) measured as the year-on-year change in prices, or any other criteria established for that purpose by the Board of Directors. –Identified Staff members may not use personal hedging strategies or insurance in connection with the Annual Variable Remuneration and the responsibility that may undermine the effects of alignment with prudent risk management. –If the members of the Identified Staff are entitled to receive any variable remuneration other than the Annual Variable Remuneration but which qualifies as variable remuneration, such variable remuneration shall be subject to the rules regarding accrual, award, vesting and payment in accordance with the type and nature of the remuneration component itself –The variable remuneration of the Identified Staff for a financial year (understood as the sum of all variable remuneration) shall be limited to a maximum amount of 100% of the fixed component (understood as the sum of all fixed remuneration) of the total remuneration, unless the BBVA General Shareholders’ Meeting resolves to increase this percentage up to a maximum of 200%, In this regard, the General Shareholders’ Meeting of BBVA held on March 17, 2023 resolved to increase this limit to a maximum level of 200% of the fixed component of the total remuneration for a given number of the Identified Staff members, in the terms indicated in the report issued for this purpose by the Board of Directors dated February 9, 2023. In 2023, this remuneration scheme is reflected in the following remuneration policies: –BBVA Group General Remuneration Policy, approved by the Board of Directors on March 29, 2023, that applies to employees and BBVA Senior Management (excluding BBVA executive directors) and at Group companies with respect to which BBVA exercises control over management. This policy includes the specific rules applicable to the members of the Identified Staff, including BBVA Senior Management. –BBVA Directors’ Remuneration Policy, approved by the General Shareholders’ Meeting of BBVA held on March 17, 2023, that is applicable to the members of the Board of Directors of BBVA. The remuneration system for executive directors corresponds, generally, with the applicable system to the Identified Staff, incorporating some particularities of their own, derived from their condition of directors. The delivery of shares in 2023 to the members of the Identified Staff is derived from the settlement of the Annual Variable Remuneration for 2022 and deferred variable remuneration from previous years, which are subject to the vesting and payment rules established in the remuneration policies applicable in the year to which they correspond. According to the remuneration policy applicable in 2022, during 2023 a total amount of 3,305,980 BBVA shares or instruments linked to BBVA shares, corresponding, mostly, to the Upfront Portion of 2022 Annual Variable Remuneration and other variable components of remuneration, were delivered. In addition, according to the remuneration policy applicable in 2017, during 2023 a total amount of 106,072 BBVA shares, corresponding to the third and last payment of the Deferred Portion of 2017 Annual Variable Remuneration of the Chair and other members of BBVA's Senior Management, were delivered. Additionally, according to the remuneration policy applicable in 2018, during 2023 a total amount of 147,871 BBVA shares, corresponding to the second payment of the Deferred Portion of 2018 Annual Variable Remuneration of the Chair and other members of BBVA's Senior Management, were delivered. Likewise, according to the remuneration policy applicable in 2019, during 2023 a total amount of 4,348,742 BBVA shares were delivered, corresponding, mainly, to the first payment of the Deferred Portion of 2019 Annual Variable Remuneration of the executive directors and the rest of the members of BBVA's Senior Management and to the entire of the Deferred Portion of 2019 Annual Variable Remuneration of the rest of the Identified Staff, as well as to other variable components of remuneration. Lastly, according to the remuneration policy applicable in 2021, during 2023 a total amount of 740,382 BBVA shares were delivered, corresponding, mainly, to the first payment of the Deferred Portion of 2021 Annual Variable Remuneration of the Identified Staff, among which executive directors and the rest of the members of BBVA's Senior Management are included, as well as to other variable components of remuneration. Detailed information on the delivery of shares to executive directors and the rest of the members of BBVA's Senior Management who held this position as of December 31, 2023, is included in Note 54. Lastly, in line with specific regulation applicable in Portugal and Brazil, BBVA IFIC and BBVA Brazil Banco de Investimento have identified (on an individual basis, respectively) the staff in these countries whose annual variable remuneration should be subject to a specific settlement and payment scheme established in their corresponding remuneration policies, more specifically: –A percentage of the annual variable remuneration is subject to a three-year deferral that shall be paid yearly over the mentioned period. –50% of the annual variable remuneration, both the upfront portion and deferred portion, shall be established in BBVA shares. –In BBVA IFIC the deferred portion of the annual variable remuneration may be reduced, but never increased, depending on the result of multi-year performance indicators. The cash amounts of the deferred portion that are finally paid will be subject to updating by applying the consumer price index (CPI) measured as a year-on-year change in prices. –In BBVA Brazil Banco de Investimento, both the cash amounts and share amounts of the deferred portion may be subject to update adjustments which are payable in cash. According to this remuneration scheme, during financial year 2023 a total of 8,243 BBVA shares corresponding to the upfront portion of 2022 annual variable remuneration were delivered to the staff of BBVA Brasil Banco de Investimento. With respect to the staff of BBVA IFIC, it should be noted that the exception provided for in the remuneration policy for said year corresponding to payment in shares has been applied to the annual variable remuneration for fiscal year 2022 in line with the provisions of the regulations in force. For this reason, during 2023, no BBVA shares corresponding to 2022 annual variable remuneration have been delivered to the staff of BBVA IFIC. Additionally, during 2023 a total of 4,842 BBVA shares corresponding to the first third of the deferred portion of 2021 annual variable remuneration were delivered to the staff of BBVA IFIC and BBVA Brasil Banco de Investimento as well as a total of 795 euros as adjustments for updates (for shares delivered in Brazil), and a total of 3,517 BBVA shares corresponding to the second third of the deferred portion of 2020 annual variable remuneration and 889 euros as adjustments for updates (for shares delivered in Brazil), and a total of 4,422 BBVA shares corresponding to the last third of the deferred portion of 2019 annual variable remuneration and 1,347 euros as adjustments for updates (for shares delivered in Brazil). Other administrative expense The breakdown of the balance under this heading in the consolidated income statements is as follows:
Other administrative expense. Breakdown by main concepts (Millions of Euros)
| 2023 | 2022 ⁽¹⁾ | 2021
Technology and systems | 1,512 | 1,391 | 1,176
Communications | 219 | 195 | 175
Advertising | 349 | 266 | 207
Property, fixtures and materials | 520 | 440 | 380
Taxes other than income tax | 451 | 370 | 347
Surveillance and cash courier services | 234 | 214 | 179
Other expense | 1,090 | 897 | 786
Total | 4,375 | 3,773 | 3,249
(1) Balances corresponding to 2022 have been restated according to IFRS 17 (see Notes 1.3 and 2.3).

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