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France
| Total population (m.): | 62.6 |
| GDP per capita (USD): | 33674 |
Old Age, Disability and Survivors
Regulatory Framework
First law: 1928.
Current laws: 1945 (Ordinance No. 45-2454 of 19 October, social insurance scheme for nonagricultural professions); 1975 (Law No. 75-534 of 30 June, on handicapped persons), with 2005 (Law No. 2005-102 of 11 February, on rights and chances, equality, participation, and citizenship of handicapped persons) amendment; 1996 (Ordinance No. 96-344 of 24 April, on social security organization); 2001 (Law No. 2001-647 of 20 July, on dependency benefits); 2003 (Law No. 2003-775 of 21 August, on pension reform); 2006 (Law No. 2006-1640 of 21 December, on retirement reform); and 2009 (Amendment to the Social Security Code allowing for combination of disability benefit and gainful activity).
Type of program: Social insurance and social assistance system.
Note: A system of mandatory supplementary pensions is administered jointly by employers and employees.
Current laws: 1945 (Ordinance No. 45-2454 of 19 October, social insurance scheme for nonagricultural professions); 1975 (Law No. 75-534 of 30 June, on handicapped persons), with 2005 (Law No. 2005-102 of 11 February, on rights and chances, equality, participation, and citizenship of handicapped persons) amendment; 1996 (Ordinance No. 96-344 of 24 April, on social security organization); 2001 (Law No. 2001-647 of 20 July, on dependency benefits); 2003 (Law No. 2003-775 of 21 August, on pension reform); 2006 (Law No. 2006-1640 of 21 December, on retirement reform); and 2009 (Amendment to the Social Security Code allowing for combination of disability benefit and gainful activity).
Type of program: Social insurance and social assistance system.
Note: A system of mandatory supplementary pensions is administered jointly by employers and employees.
Coverage
Social insurance: Employed persons in commerce and industry; housewives under certain conditions.
Voluntary coverage for nonworking heads of household (old-age pension only), noncovered persons who previously had mandatory coverage for at least 6 months, nonemployed persons caring for a family member with a disability, and French citizens working abroad.
Special systems for agricultural, mining, railroad, public utility, and public-sector employees; seamen; nonagricultural self-employed persons; and agricultural self-employed persons.
Social assistance: All elderly and dependent persons residing in France.
Voluntary coverage for nonworking heads of household (old-age pension only), noncovered persons who previously had mandatory coverage for at least 6 months, nonemployed persons caring for a family member with a disability, and French citizens working abroad.
Special systems for agricultural, mining, railroad, public utility, and public-sector employees; seamen; nonagricultural self-employed persons; and agricultural self-employed persons.
Social assistance: All elderly and dependent persons residing in France.
Source of funds
Insured person: 6.65% of covered earnings for old-age benefits (up to a maximum) and 0.10% of earnings (without limit) for the survivor allowance. (Persons receiving an unemployment allowance greater than the legal minimum wage contribute 11.37% of the allowance for old-age benefits.)
The legal hourly minimum wage is €8.86.
Voluntary contributors pay quarterly contributions according to fixed income bands.
The maximum monthly earnings used to calculate contributions are €2,885.
Disability benefits and part of the cost of survivor benefits are financed under Sickness and Maternity.
Self-employed person: Not applicable.
Employer: 8.3% of covered payroll for old-age benefits (up to a maximum) and 1.6% of gross payroll (without limit) for the survivor allowance.
The maximum monthly earnings used to calculate old-age benefits are €2,885.
Employer contributions are reduced on wages less than 1.6 times the legal minimum wage; contributions made on behalf of newly recruited employees younger than age 23 are reimbursed under certain conditions.
The legal hourly minimum wage is €8.86.
Disability benefits and part of the cost of survivor benefits are financed under Sickness and Maternity.
A social solidarity contribution for old-age benefits for certain nonsalaried workers is made under Sickness and Maternity.
Government: Variable subsidies.
The legal hourly minimum wage is €8.86.
Voluntary contributors pay quarterly contributions according to fixed income bands.
The maximum monthly earnings used to calculate contributions are €2,885.
Disability benefits and part of the cost of survivor benefits are financed under Sickness and Maternity.
Self-employed person: Not applicable.
Employer: 8.3% of covered payroll for old-age benefits (up to a maximum) and 1.6% of gross payroll (without limit) for the survivor allowance.
The maximum monthly earnings used to calculate old-age benefits are €2,885.
Employer contributions are reduced on wages less than 1.6 times the legal minimum wage; contributions made on behalf of newly recruited employees younger than age 23 are reimbursed under certain conditions.
The legal hourly minimum wage is €8.86.
Disability benefits and part of the cost of survivor benefits are financed under Sickness and Maternity.
A social solidarity contribution for old-age benefits for certain nonsalaried workers is made under Sickness and Maternity.
Government: Variable subsidies.
Qualifying conditions
Old-age pension: Age 60 with at least 162 quarters of coverage under any scheme (rising gradually to 168 quarters by 2020). Persons who began working at age 16 and 17 may receive the pension at age 56 and 59 respectively.
A pensioner can begin a new gainful activity immediately after receiving the pension but must wait 6 months before resuming the same gainful activity undertaken before retirement.
Periods during which the insured received the unemployment benefit, preretirement benefit, or a disability pension (with an assessed degree of disability of more than 66.7%) are taken into account for the calculation of the coverage period. Coverage period bonuses are awarded under certain conditions to insured women who have given birth and to parents who have interrupted work to rear a child or to care for a sick or disabled child, up to 8 quarters per child.
There are special qualifying conditions for persons with disabilities, working mothers, and war veterans.
Partial pension: A reduced pension is awarded at age 60 with at least one quarter of coverage.
Deferred pension: The pension can be deferred after age 60.
Constant-attendance allowance: Paid if the insured requires the constant attendance of others to perform daily functions.
Spouse's supplement (income-tested): Paid for a spouse; the full benefit is paid if the insured had 150 quarters of coverage in the social insurance system.
Dependent child's supplement: Paid for a dependent child.
Child-rearing supplement: Paid if the insured has reared at least three children.
Solidarity allowance for the elderly (means-tested): Awarded to low-income pensioners at age 65 (age 60 if disabled). The solidarity allowance can supplement other old-age benefits.
Means test: A single pensioner must have an annual income of less than €8,309.27; less than €13,765.73 for a couple.
Disability pension: The insured must be younger than age 60, have an assessed loss of at least 66.7% of earning capacity in any occupation, and have at least 12 months of coverage before the disability began and 800 hours of employment in the last 12 months, including 200 hours in the last 3 months or has contributed based on earnings of at least 2,030 times the hourly legal minimum wage including at least 1,015 times the hourly legal minimum wage in the last 6 months.
The legal hourly minimum wage is €8.86.
Constant-attendance supplement: Paid if the insured requires the constant attendance of others to perform daily functions.
Survivor pension (means-tested): Eligible survivors must be aged 55 or older or disabled. Eligible survivors include a divorced wife who has not remarried. Nonmarried partners are not eligible, even if a civil partnership with the deceased had been contracted.
Means test: If the survivor is unmarried, annual personal income must be less than 2,030 times the hourly legal minimum wage. A reduced benefit may be paid on remarriage or cohabitation. The means-test threshold is adjusted annually in January.
The legal hourly minimum wage is €8.86.
Child's supplement: Paid if a survivor is younger than age 65, not eligible for a pension under the social insurance system, and has given birth to or reared three or more children.
Survivor allowance (means-tested): Paid if the deceased had at least 3 months of compulsory or voluntary coverage in the last 12 months before death. The survivor must be younger than age 55, reside in France or in French Polynesia, must have been married to and not divorced from the deceased, and must not have remarried or cohabited since the insured's death.
Means test: Personal income must be less than €2,119.23 per quarter.
Death grant: The deceased was employed or received an unemployment benefit, a cash sickness benefit, or a disability pension (with an assessed degree of incapacity of at least 66.6%).
A pensioner can begin a new gainful activity immediately after receiving the pension but must wait 6 months before resuming the same gainful activity undertaken before retirement.
Periods during which the insured received the unemployment benefit, preretirement benefit, or a disability pension (with an assessed degree of disability of more than 66.7%) are taken into account for the calculation of the coverage period. Coverage period bonuses are awarded under certain conditions to insured women who have given birth and to parents who have interrupted work to rear a child or to care for a sick or disabled child, up to 8 quarters per child.
There are special qualifying conditions for persons with disabilities, working mothers, and war veterans.
Partial pension: A reduced pension is awarded at age 60 with at least one quarter of coverage.
Deferred pension: The pension can be deferred after age 60.
Constant-attendance allowance: Paid if the insured requires the constant attendance of others to perform daily functions.
Spouse's supplement (income-tested): Paid for a spouse; the full benefit is paid if the insured had 150 quarters of coverage in the social insurance system.
Dependent child's supplement: Paid for a dependent child.
Child-rearing supplement: Paid if the insured has reared at least three children.
Solidarity allowance for the elderly (means-tested): Awarded to low-income pensioners at age 65 (age 60 if disabled). The solidarity allowance can supplement other old-age benefits.
Means test: A single pensioner must have an annual income of less than €8,309.27; less than €13,765.73 for a couple.
Disability pension: The insured must be younger than age 60, have an assessed loss of at least 66.7% of earning capacity in any occupation, and have at least 12 months of coverage before the disability began and 800 hours of employment in the last 12 months, including 200 hours in the last 3 months or has contributed based on earnings of at least 2,030 times the hourly legal minimum wage including at least 1,015 times the hourly legal minimum wage in the last 6 months.
The legal hourly minimum wage is €8.86.
Constant-attendance supplement: Paid if the insured requires the constant attendance of others to perform daily functions.
Survivor pension (means-tested): Eligible survivors must be aged 55 or older or disabled. Eligible survivors include a divorced wife who has not remarried. Nonmarried partners are not eligible, even if a civil partnership with the deceased had been contracted.
Means test: If the survivor is unmarried, annual personal income must be less than 2,030 times the hourly legal minimum wage. A reduced benefit may be paid on remarriage or cohabitation. The means-test threshold is adjusted annually in January.
The legal hourly minimum wage is €8.86.
Child's supplement: Paid if a survivor is younger than age 65, not eligible for a pension under the social insurance system, and has given birth to or reared three or more children.
Survivor allowance (means-tested): Paid if the deceased had at least 3 months of compulsory or voluntary coverage in the last 12 months before death. The survivor must be younger than age 55, reside in France or in French Polynesia, must have been married to and not divorced from the deceased, and must not have remarried or cohabited since the insured's death.
Means test: Personal income must be less than €2,119.23 per quarter.
Death grant: The deceased was employed or received an unemployment benefit, a cash sickness benefit, or a disability pension (with an assessed degree of incapacity of at least 66.6%).
Cash benefits for insured workers (except permanent disability)
Old-age pension: The full pension is 50% of the insured's reference earnings.
Reference earnings are average adjusted earnings in the best 25 years for those born after 1948.
The maximum monthly earnings used to calculate benefits are €2,885.
Partial pension: The pension is proportionately reduced for coverage of less than 150 quarters. The partial pension must not be less than 25% of the insured's reference earnings.
Deferred pension: The pension amount is increased by 1.25% for each quarter of activity exceeding the number of quarters required for a full pension or for each quarter of activity after age 60 if the insured has yet to qualify for a full pension at that age.
If the insured continues to work on a reduced basis after the retirement age, 30% to 70% of the old-age pension is paid, depending on the number of working hours. The total amount of the pension and income from gainful activity must not exceed the insured's last wage before retirement.
The minimum pension is €6,958.21 a year. The benefit is reduced proportionately with less than 162 quarters of coverage.
Constant-attendance allowance: €12,129.94 a year is paid.
Spouse's supplement (income-tested): €609.80 a year is paid at age 65 (ages 60 to 64 if disabled) if the insured had at least 150 quarters of coverage. The benefit is reduced proportionately with less than 150 quarters.
Dependent child's supplement: Each child receives €84.69 a month.
Child-rearing supplement: 10% of the pension is paid.
Solidarity allowance for the elderly (means-tested): Paid to increase the old-age pension for a single person to €8,309.27 a year; to €13,765.73 for a couple.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
Reference earnings are average adjusted earnings in the best 25 years for those born after 1948.
The maximum monthly earnings used to calculate benefits are €2,885.
Partial pension: The pension is proportionately reduced for coverage of less than 150 quarters. The partial pension must not be less than 25% of the insured's reference earnings.
Deferred pension: The pension amount is increased by 1.25% for each quarter of activity exceeding the number of quarters required for a full pension or for each quarter of activity after age 60 if the insured has yet to qualify for a full pension at that age.
If the insured continues to work on a reduced basis after the retirement age, 30% to 70% of the old-age pension is paid, depending on the number of working hours. The total amount of the pension and income from gainful activity must not exceed the insured's last wage before retirement.
The minimum pension is €6,958.21 a year. The benefit is reduced proportionately with less than 162 quarters of coverage.
Constant-attendance allowance: €12,129.94 a year is paid.
Spouse's supplement (income-tested): €609.80 a year is paid at age 65 (ages 60 to 64 if disabled) if the insured had at least 150 quarters of coverage. The benefit is reduced proportionately with less than 150 quarters.
Dependent child's supplement: Each child receives €84.69 a month.
Child-rearing supplement: 10% of the pension is paid.
Solidarity allowance for the elderly (means-tested): Paid to increase the old-age pension for a single person to €8,309.27 a year; to €13,765.73 for a couple.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
Permanent disability benefits for insured workers
Disability pension: If the insured is assessed as incapable of any professional activity, the pension is 50% of the insured's average earnings; 30% if capable of some gainful activity.
Average earnings are based on adjusted earnings in the best 10 years.
The maximum monthly earnings used to calculate benefits are €2,885.
The minimum annual pension is €3,201.24.
Constant-attendance supplement: 40% of the disability pension. The minimum supplement is €1,029.10 a month.
The monthly disability pension is replaced by the old-age pension at age 60.
If the insured resumes gainful activity, the pension continues to be paid for 6 months without an income test; thereafter, the pension is suspended if total income from the pension and earnings exceeds the average wage paid during the calendar year before the year the disability began.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
Average earnings are based on adjusted earnings in the best 10 years.
The maximum monthly earnings used to calculate benefits are €2,885.
The minimum annual pension is €3,201.24.
Constant-attendance supplement: 40% of the disability pension. The minimum supplement is €1,029.10 a month.
The monthly disability pension is replaced by the old-age pension at age 60.
If the insured resumes gainful activity, the pension continues to be paid for 6 months without an income test; thereafter, the pension is suspended if total income from the pension and earnings exceeds the average wage paid during the calendar year before the year the disability began.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
Survivors benefits for dependents
Survivor pension (means-tested): The pension is 54% of the pension the deceased received or was entitled to receive. If the deceased was married more than once, the pension is split among the surviving widow(er)s according to the length of their marriage to the deceased.
If the deceased had at least 60 quarters of coverage, the minimum annual pension is €3,153.30; the pension is reduced proportionately for coverage of less than 60 quarters.
The maximum annual pension is €9,263.16.
Child's supplement: 10% of the survivor pension is paid. The supplement is reduced if the survivor pension is reduced according to a means test.
Survivor allowance (income-tested): €565.13 a month is paid for up to 2 years following the insured's death; may be extended until age 55 if the survivor is at least age 50.
Death allowance: A lump sum is paid of 90 times the deceased's average daily wage in the 3 months before death.
The maximum monthly earnings used to calculate benefits are €2,885.
The minimum lump-sum benefit is €86.55.
The maximum lump-sum benefit is €8,655.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
If the deceased had at least 60 quarters of coverage, the minimum annual pension is €3,153.30; the pension is reduced proportionately for coverage of less than 60 quarters.
The maximum annual pension is €9,263.16.
Child's supplement: 10% of the survivor pension is paid. The supplement is reduced if the survivor pension is reduced according to a means test.
Survivor allowance (income-tested): €565.13 a month is paid for up to 2 years following the insured's death; may be extended until age 55 if the survivor is at least age 50.
Death allowance: A lump sum is paid of 90 times the deceased's average daily wage in the 3 months before death.
The maximum monthly earnings used to calculate benefits are €2,885.
The minimum lump-sum benefit is €86.55.
The maximum lump-sum benefit is €8,655.
Benefit adjustment: Benefits are adjusted periodically according to changes in the cost of living.
Administrative organization
Ministry of Health, Youth, Sports, and Communities (http://www.sante.gouv.fr) and Ministry of Economy and Finance (http://www.minefi.gouv.fr) provide general supervision and issue regulations.
Ministry of Health, Youth, Sports, and Communities
8 avenue de Ségur,
75350 Paris 07-SP,
France
Tel.: +(33) 1 40 56 60 00
National Old-Age Pension Insurance Fund (http://www.cnav.fr) administers old-age pensions and survivor allowances.
National Old-Age Pension Insurance Fund (CNAV)
110/112 avenue de Flandre,
75951 Paris Cedex 19,
France
Tel.: +(33) 1 55 45 50 00
Fax: +(33) 1 40 45 51 99
National Sickness Insurance Fund (http://www.ameli.fr) administers disability and survivor pensions.
National Sickness Insurance Fund of the Salaried Workers (CNAMTS)
26/50 avenue du professeur André Lemierre,
75986 Paris Cedex 20,
France
Tel.: +(33) 1 72 60 10 16
Fax: +(33) 1 72 60 17 82
Joint collection agencies (http://www.urssaf.fr) collect contributions.
Agency of Social Security Institutions (http://www.acoss.fr) administers contributions.
Ministry of Health, Youth, Sports, and Communities
8 avenue de Ségur,
75350 Paris 07-SP,
France
Tel.: +(33) 1 40 56 60 00
National Old-Age Pension Insurance Fund (http://www.cnav.fr) administers old-age pensions and survivor allowances.
National Old-Age Pension Insurance Fund (CNAV)
110/112 avenue de Flandre,
75951 Paris Cedex 19,
France
Tel.: +(33) 1 55 45 50 00
Fax: +(33) 1 40 45 51 99
National Sickness Insurance Fund (http://www.ameli.fr) administers disability and survivor pensions.
National Sickness Insurance Fund of the Salaried Workers (CNAMTS)
26/50 avenue du professeur André Lemierre,
75986 Paris Cedex 20,
France
Tel.: +(33) 1 72 60 10 16
Fax: +(33) 1 72 60 17 82
Joint collection agencies (http://www.urssaf.fr) collect contributions.
Agency of Social Security Institutions (http://www.acoss.fr) administers contributions.
Last survey reply: 01 January 2010
Last ISSA update: 01 January 2010
Exchange rate: US$1.00 equals 0.70 euros (€).