PENSION INCREASE. Recently, the amounts of several pensions have been revalued. Everything you need to know about the increase in basic pensions, supplementary pensions, and the pension reform.
[Mis à jour le 9 février 2023 à 08h09] In recent months, even in recent weeks, the retirement pensions of a large part of the French have been revalued. Indeed, from November 1, 2022, the complementary Agirc-Arrco increased by 5,12%. In other words, the service value of the point was set at 1,349.80 euros, against 1,284.10 euros previously. A little later, on January 1, 2023, came the turn of basic retirement pensions. These have been enhanced by 0,8% to account for runaway inflation (the third increase in a year). Thanks to this boost, each pensioner concerned now pockets a bonus of 12 euros each month, for a basic pension of 1,500 euros net. Finally, the pension reform project, currently being debated in the National Assembly, plans to increase the minimum pension to 85% of the minimum wage, i.e. 1 200 euros gross monthly. If the reform were to come into force, this increase would be effective from September 1, 2023.
THE retirement pensions from the basic scheme had their third augmentation in one year, Sunday January 1, 2023. This time, the increase reached 0,8%. This third increase in one year is part of the Social Security financing bill (PLFSS) and allows the seniors concerned to pocket an additional gain of 12 euros per month for a pension of 1,500 euros, or even 16 euros monthly. for a basic pension of 2,000 euros.
The retirees concerned are those affiliated with one of the following funds:
- CNAV (National Old Age Insurance Fund)
- CNRACL (National Fund of Local Authority Agents)
- SRE (State Pensions Service)
- CNAVPL (National old-age insurance fund for the liberal professions)
- Complementary public contractors (Ircantec)
- Special diets (SNCF…)
- Independents (SSI)
The beneficiaries of the retirement of proper rightof the pensions of reversionthe solidarity allowance for the elderly (BLADE) as well as the supplementary invalidity allowance (BUT) are also affected.
After the successive increases of 1.1% in January 2022, then 4% last July, the retirement pensions of the basic scheme experienced a new increase, Sunday January 1, 2023. Please note, the payment into your bank account, it , will only be effective from the month of February 2023.
Here is the calendar for the revaluation of pensions since September 2022:
- September 9, 2022 : 4% increase for pensions from the basic scheme
- September 28, 2022 : 4% increase for retirees from the State civil service
- September 29, 2022 : 4% increase for retirees from the hospital public service
- 1st November 2022 : increase of 5.12% for complementary Agirc-Arrco
- January 27, 2023 : payment of the 0.8% increase for CNRACL affiliates
- January 30, 2023 : payment of the 0.8% increase for public service retirees
- February 9, 2023 : payment of the 0.8% increase for CNAV and MSA affiliates
Thing promised, thing due? Emmanuel Macron had made it one of his campaign promises. As of September 1, 2023, the minimum pension will indeed increase, according to government announcements, to approximately 1,200 euros gross per month for new retirees, i.e. 85% of minimum wage. This amount will be for a full career. Without a full career, a proration will be applied. In total, 1.8 million retirees (which represents 10% of retirees in France) will be able to benefit from the revaluation of the minimum pension, of which 200,000 new retirees. This increase may “go up to 100 euros” said the Minister of Labor Olivier DussoptMonday, January 23 during the Report of the Council of Ministers.
The rules for increasing supplementary pensions (Agirc-Arrco, for example) differ from those for basic pensions. These supplementary pensions are calculated from the number of points acquired during the career, to which a value of the point is multiplied. Then, the social partners decide on a possible revaluation of the value of this point.
In an attempt to compensate for the galloping inflation observed in recent months, supplementary retirement pensions have increased by 5.12% since 1st November 2022. The decision was taken during the Board of Directors of Agirc-Arrco, on October 6, in the presence of employers’ organizations and trade unions. The service value of the Agirc-Arrco point was set at 1 349,80 euros, against 1,284.10 euros previously. The cost of this system is estimated at 4.5 billion euros over one year. This increase was decided on the basis of an increase in the average salary of 4.82%, to which is added a catch-up of +0.1% in respect of inflation observed in 2021. The social partners have decided to grant the Board of Directors an additional margin of maneuver of +0.2%, compatible with the plan’s financial trajectory.
The overall retirement pension for civil servants consists mainly of the basic pension. A supplementary scheme, the “additional public service pension (RAFP)” also exists, but is not not concerned over there revaluation of 0,8% retirement pensions. However, the scheme has raised its point of 5,7% on January 1, 2023.
Former state civil servants, who come under the SRE, therefore saw their basic pension increase by 0.8% and their supplementary pension by 5.7% on 1 January 2023.