Bercy Plans to Subject Employee Savings to Social Contributions in 2027
The French government is preparing its 2027 budget and is considering subjecting part of the amounts paid for profit-sharing, incentive schemes, and employer contributions to collective savings plans to social contributions, beyond a threshold of 3,000 euros per year. This measure aims to reduce the deficit of the Social Security system. Currently, nothing has been voted on, and these proposals must go through Parliament in the coming weeks.
Employee savings include profit-sharing, incentive schemes, the company savings plan (PEE), and the collective retirement savings plan (PER Collectif or PERCO), benefiting from favorable taxation. If the measure is adopted, bonuses exceeding 3,000 euros per year would be subject to social contributions, reducing the net return for employees.
A bill for an early release of employee savings is also pending, with no guarantee of adoption before the presidential elections.
This issue adds to other concerns for French savers, including proposed changes to the taxation of the PEA and life insurance as part of the 2027 Budget. No measures have been finalized yet, and savers need to closely follow parliamentary debates.
-- Price
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