Pensions: local elected officials can now contribute to their allowance

by time news

2023-08-31 12:33:37

It is a small boost for local elected officials who sometimes sacrifice their professional life, or slow it down, to exercise their elective function. However, in some cases, they cannot pay contributions – and therefore acquire social rights – on their compensation. A decree published in the “Official Journal” on Thursday will now allow those who wish to be subject to Social Security contributors.

In detail, local elected officials who have allowances greater than 50% of the annual social security ceiling (Pass, the maximum amount taken into account for the calculation of certain contributions) or those who have stopped working to exercise their mandate, were already subject to contributions from the 1st euro. But, for example, a mayor who has not ceased his professional activity and receives compensation less than 50% of the Pass only paid the CSG and the CRDS.

From now on, these elected officials will be able to ask to be subject to social security contributions, and thus accumulate rights. The community that pays them their compensation will pay – as a company does – the employer’s contributions. Contributors will thus be able to improve their future pension rights. These include the many mayors of villages and small towns.

A bonus for redeeming quarters

If this only applies to current and future elected officials, another legislative development allows past elected officials to improve their retirement. The pension reform recorded the addition of years of electoral mandate to the list of situations allowing the redemption of quarters of retirement, in the same way as the years of higher education or certain periods of internship.

The decree published on Thursday specifies that interested elected officials must file their request for redemption from the general scheme or the agricultural scheme depending on their affiliation. Elected representatives affiliated to these two schemes can submit their application to the scheme of their choice. Note, the redemption of quarters under elective functions was only possible so far for incomplete years, preventing in particular a redemption for years where an elected official has not validated any quarter.

What keys to adapt in a complex environment?

How to react to the challenges of the energy transition? How to position yourself in an unstable economic and political environment? How can the innovation opportunities in each sector be best exploited? On a daily basis, through our decryptions, surveys, chronicles, international press reviews and editorials, we support our subscribers by giving them the keys to adapting to a complex environment.

I discover the offers
#Pensions #local #elected #officials #contribute #allowance

You may also like

Leave a Comment