The French Social Security System Rates and ceilings of Social Security and unemployment contributions

as of 1st January 2016
Risks Employee Employer
Monthly ceiling
in EUR
Rate Monthly ceiling
in EUR
Rate
Social Security        
Health. maternity. disability. death. solidarity autonomy contribution (CSA)* total earnings 0.75% total earnings 13.14%
*(including 0.3% CSA)
Old-age insurance (with upper limit) 3,218 € 6.90% 3,170 € 8.55%

Old-age insurance
total earnings 0.35% total earnings 1.85%
Accidents at work -


-

total earnings variable based
on company size and risks
Family benefits 6 - - total earnings 5.25% or 3.45 %

Contribution sociale généralisée1
(CSG - Social security surcharge)
total earnings
minus 1.75%
7.50% - -
CRDS1 total earnings
less 1.75%
0.50% - -
Unemployment2
AGS3
  2.40%
-
12,872 €
12,872 €
4 %
0.25%
Supplementary pensions 4        
Non-executive employees        
- Bracket 1 3,218 € 3.10% 3,218 € 4.65%
- Bracket 2 from 3.218
to 9,654 €
8.10% from 3.218
to 9,654 €
12.15%
Executive employees        
- Bracket A (ARRCO) 3,218 € 3.10% 3,218 € 4.65%
- Bracket B - C (AGIRC) 5 from 3,218
to 25,744 €
7.80% from 3,218
to 25,744 €
12.75%
  1. Persons who are members of the French social security scheme but not residents of France for tax purposes are not liable to the CSG and CRDS. They are however liable for employee's health insurance contributions at a rate of 5.5% on total earnings. The CSG and CRDS are also deducted at rates of 6.2% and 0.5% respectively from replacement income (Daily compensation benefits, unemployment benefits, etc.) On retirement pensions, the CSG and CRDS rates are 6.6% and 0.5% respectively and a 1% contribution is payable on supplementary pensions.
  2. The upper limit is equal to 4 monthly social security ceilings (4 x 3218). The unemployment insurance contribution rate has changed as of July 1st, 2013: the employer's contribution due on certain fixed-term contracts has increased whereas a temporary exemption has been instituted for employers hiring employees under age 26 on an open-ended contract.
  3. AGS : wage guarantee insurance association. It is entirely employer-funded and finances the wage guarantee scheme: if a company goes into a receivership or court-ordered liquidation, it guarantees the payment of employees' wages, notice period, and compensation.
  4. Supplementary pensions: The contribution rate (125%) is generating surplus contributions without increasing pension entitlements. Points are calculated based on the contractual rate. For an employer's and employee's contribution of 7.63%, only 6.10% is used to calculate the employee's pension points while the rest is used to finance the scheme.
    In addition to the supplementary pension contributions mentioned above, other contributions are paid without generating points. These are:
    - The exceptional and temporary contribution (CET): this is a solidarity contribution set up by the AGIRC scheme. The rate is 0.35% (0.22% paid by the employer and 0.13% by the employee paying into the AGIRC scheme). It is paid on total income up to 8 times the social security ceiling.
    - The AGFF contribution (Association for the management of the AGIRC and ARRCO financing fund): this helps to finance pensions for people who retired before the age of 65/67 at the full rate. It is paid at a rate of 2% (1.20% employer and 0.80% employee) for bracket 1 and at a rate of 2.20% (1.30% for the employer and 0.90 for the employee) for bracket 2 for non-executive employees or bracket B for executives.   *
  5. For bracket C, which ranges from 12,872 to 25,744 per month, the breakdown of contributions between the employer and the employee can be determined freely.
  6. . As from 1st January 2015, there is a second family benefits contribution rate of 3.45% applicable to businesses covered by the "Fillon" reduction and only for salaries lower than 1.6 times the legal minimum wage (SMIC). As of April 1st, 2016, this 3.45% rate will also apply to annual salaries lower than or equal to 3.5 times the legal minimum wage (SMIC).