Supplementary Pension Scheme for Self-Employed Persons

Mandatory insurance

• Self-employed persons mentioned in Art. L611-1 of the Social Security Code and not covered by any other supplementary pension scheme.

General finances

• PAYG-financed from insurance contributions.

Contribution rates

• The contributions are calculated according to two levels of income, with contribution assessment ceilings: the first level (up to EUR 37,960 per year in 2019) will be subject to a contribution at a rate of 7%; the second level (above EUR 37,960 and up to EUR 162,096 per year in 2019) will be subject to a contribution at a rate of 8%.

Taxation of contribution payments

• Tax exemptions for contribution payments.

• The scheme is administrated by the Sécurité sociale des indépendants.

• The person must have the right to benefit from the basic general scheme for employees in industry and commerce (i.e. the person must fulfil the conditions to apply for the pension of the general scheme for employees in industry and commerce).

Pension benefits

• The benefit is determined by a system of points. 
• The number of the points acquired is determined by the contributions paid by the insured person.

Factors for benefit calculation

• The sum of the benefit equals the point value multiplied by the number of points.
• If the person does not satisfy the conditions for a full-rate pension, negative adjustments will be applied to the sum of the benefit. 
• Adjustments: the point value is readjusted every year.

Taxation and social security contributions

• Benefits are subject to income tax.
• Pension benefits are subject to CSG, CRDS and CASA.