Like your salary or other earnings during your career, retirement pensions are quoted in gross terms—before taxes and social security contributions. The true take-home amount for retirees, known as the net pension, is the gross figure minus social security deductions and, for taxable retirees, income tax withheld at source.
Pension funds always state basic retirement pensions in gross amounts. This is higher than what lands in your bank account because it excludes social security contributions and, for those who owe tax, a portion of income tax.
Supplementary pensions and survivors' pensions follow the same rule, with deductions for social contributions and income tax at source.
In essence, your net pension is calculated as:
Net amount = Gross amount – Social security deductions – Income tax deduction at source.
Retirees under France's compulsory health insurance and tax-domiciled in France have social contributions subtracted from their gross pension.
Exemptions apply only if reference tax income (from your tax return) falls below thresholds based on household tax shares and residence (mainland or overseas).
For others, deductions include the CSG (General Social Contribution, funding Social Security), CRDS (Social Debt Repayment Contribution), and CASA (Additional Solidarity Contribution for Autonomy, aiding elderly and disabled independence).
These are percentage-based rates tailored to your income and situation. CSG rates are 8.3%, 6.6%, or 3.8% per reference tax income. CRDS is fixed at 0.5%, CASA at 0.3%.
Note: CASA applies only to pensions charged CSG at 8.3% or 6.6%; those at 3.8% are exempt.
Overall, social contribution rates range from 4.3% to 9.1% based on income and family status.
For precise CSG rates by residence, tax shares, and income, use the simulator on the official Pension Insurance website.
Non-French tax residents may face a 3.2% health insurance contribution if under French health coverage or foreign nationals with 15+ years of French insurance.
Since 2019, income tax is withheld at source from pensions for liable retirees.
Pension funds, tasked by the DGFiP (General Directorate of Public Finances), deduct tax directly from basic, supplementary, or survivors' pensions.
This results in a net payment after both social contributions and tax. The rate, supplied by tax authorities from your latest return, is 0% for non-taxable retirees.
