These retirees will receive 600 euros more pension automatically, many have forgotten this

2024-03-27 10:25:09

Pensions will suddenly, and without doing anything, increase for many retirees.

This is a welcome boost for retirees. Or rather, a fair return of things for them. The retirement pensions of around a million former workers will be higher when the April payment is made. In a few days, therefore, the sum which will appear in the bank account will be increased, on average, by around 50 euros, every month, or an additional 600 euros per year.

This sum – which obviously differs depending on each person’s situation – is the result of a change in the calculation of the supplementary retirement pension paid by Agirc-Arrco. Although the supplementary pension organization had made the announcement during the fall, the information did not remain in the minds of all those concerned.

The structure which pays former private sector employees has in fact decided to put an end to its penalty system. This penalized those who stopped working as soon as they had reached the full rate. During the first three years of their retirement, the amount of their supplementary pension was reduced by 10%.

But it’s now over! From the next Agirc-Arrco payment (April 2), the penalty will no longer be applied. All people affected by this system (those who retired between May 1, 2021 and November 30, 2023) will therefore see their supplementary pension increase by 10%. Be careful not to take into account your entire retirement income to simulate your gain: the basic pension paid by the CNAV must be excluded from the calculation.

Concretely, if Agirc-Arrco previously paid you 300 euros in supplementary pension, it is now 330 euros that you will receive. If you received 500 euros, 550 euros would arrive. And so on. However, no catch-up on previous months will be made.

This change, which has been in force since 2019, comes following the pension reform which pushed back the legal retirement age to 64 years. Initially, this penalty system was put in place to encourage people to work at least one more year. With its removal, the retirees concerned inherit a nice addition to their budget, welcome in the context of the rise in everyday prices.