The French Social Security System Social Security and unemployment contribution rates

as of January 1st, 2019
Risks Rate
& Monthly ceiling
Employee Employer
Social Security
Health, maternity, disability, death1 - 13% or 7%
total earnings
Autonomy solidarity contribution ("Contribution solidarité autonomie"/ CSA) - 0.3%
total earnings
Old-age insurance (with upper limit)2 6.9%
3,377 €
8.55%
3,377 €
Old-age insurance 0.4%
total earnings
1.9%
total earnings
Accidents at work3 - variable based on company size and risks
total earnings
Family benefits4 - 5.25% or 3.45%
total earnings
Social security surcharge ("Contribution sociale généralisée" / CSG)5 9.2%
98.25% of gross salary
-
Social security debt reimbursement contribution ("Contribution pour le remboursement de la dette sociale"/ CRDS)5 0.5%
98.25% of gross salary
-
Unemployment6 - 4.05%
13,508 €

AGS6

-

0.15%
13,508 €
Supplementary pensions (Agirc-Arrco scheme) 7
- Bracket 1 3.15%
3,377 €
4.72%
3,377 €
CEG (Overall balance contribution) 0.86%
3,377 €
1.29%
3,377 €
- Bracket 2 8.64%
from 3,377
to 27,016 €
12.95%
from 3,377
to 27,016 €
CEG 1.08%
from 3,377
to 27,016 €
1.62%
from 3,377
to 27,016 €
  1. The Social Security financing law for 2018 has instituted a 7% employer's health-maternity-disability-death contribution as from January 1st, 2019, on yearly salaries not exceeding 2.5 times the French minimum wage.
  2. Monthly social security ceiling for 2019
  3. This rate varies based on company size and risks.
  4. The rate of 3.45% applies to businesses eligible for the general decrease in contributions and to annual salaries lower than or equal to 3.5 times the legal minimum wage (SMIC).
  5. The 2018 social security financing law increased CSG withholdings by 1.7 points on earned income (increase from 7.5 to 9.2%) and on retirement and disability pensions. With regard to these pensions, French Law No. 2018-1213 of December 24, 2018, instituting economic and social emergency measures, set a new, intermediate rate, bringing the number of different applicable rates as determined by an individual's reference taxable income for the year N-2 to 4. Persons who are members of the French social security scheme but not residents of France for tax purposes are not liable to CSG and CRDS. They are however liable for employee's health insurance contributions at a rate of 5.5% on total earnings. CSG and CRDS are also deducted at rates of 6.2% and 0.5% respectively from replacement income (Daily compensation benefits, unemployment benefits, etc.)
  6. The upper limit is equal to 4 monthly social security ceilings (4 x 3,377 €).
    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.
  7. The Agirc and Arrco schemes merged on January 1st, 2019. Compulsory supplementary retirement pension contributions are now calculated based on two brackets for both executive (“cadre”) and non-executive salaried workers:
    • The 1st bracket comprises from the first euro to the amount of the Social security ceiling,
    • The 2nd bracket comprises from the amount of the Social security ceiling to 8 times the Social security ceiling.
    The contribution adjustment factor (127%) generates excess contributions without increasing retirement pension entitlements. Points are calculated using the contractual rate. For bracket 1, which has an overall rate of 7.87%, only 6.20% is taken into account to calculate an employee's retirement pension points. The rest goes to finance the scheme. The following are added on to the aforementioned contributions:
    • The APEC contribution, which only applies to executive employees (those with “cadre” status), on the portion of their salary amounting to 4 times the social security ceiling. The overall rate of this contribution is 0.06%.
    • The CET (technical balancing contribution), which applies to both executive and non-executive employees whose salaries are above the monthly social security ceiling (the employee's share is 0.14% and the employer's share is 0.21%).