Social Security ceiling to rise in 2027

The annual ceiling for the French Social Security (PASS) will increase to 48,900 euros starting January 1, 2027, according to a notice from the Bulletin officiel de la Sécurité sociale (BOSS) released on October 16. This is an increase from 48,060 euros in 2026, with the monthly ceiling rising from 4,005 to 4,075 euros, a rise of about 1.7%.

Impact on social contributions and benefits

The Social Security ceiling is used to calculate various social contributions and benefits, including the part of a salary subject to basic pension insurance. Adjusting this ceiling could affect contributions taken from salaries, especially for people earning more than the monthly limit. However, a higher PASS does not necessarily lead to lower net pay for all workers.

Effect on illness and disability benefits

The ceiling also influences the calculation of several social benefits, such as daily allowances for illness, maternity, or paternity, as well as certain disability pensions. The increase may lead to higher maximum amounts for these benefits, depending on the specific rules that apply to each.

Role in retirement and savings

The PASS is also a reference point in retirement calculations, particularly for complementary pension contributions from Agirc-Arrco. It helps determine social or tax exemption limits, as well as thresholds for certain retirement savings and employee savings plans. It also sets a reference for trainee minimum allowances, though this is more closely tied to the hourly Social Security ceiling.

Implementation pending official decree

The new amounts are expected to take effect on January 1, 2027. However, a formal decree must still be issued to officially confirm the figures announced by the BOSS.