What’s the best social regime for an entrepreneur in France?

Depending on the risks, the contribution calculation base is either:

• the remuneration paid to the manager,
• or part of that remuneration:
  • Segment A: 0 to 3 311euros per month
  • Segment B: 3,311 to 13,244 euros per month
  • Segment C: 13 244 to 26 488 euros per month

• If subject to Income Tax: it is the taxable activity income before:
  • the 25% increase applied to the income in the event of non-adherence to an approved management center or association, or even to a chartered accountant, an accounting firm or a management and accounting association contracted by the tax authorities,
  • possible tax breaks,
  • the deduction of optional social contributions.

For individual entrepreneurs subject to the tax regime of the conventional micro-company: the base corresponds to the turnover achieved after deduction of the standard abatement representative of expenses (except for the micro-social scheme where the base then corresponds to the turnover).

• If subject to the Corporate Tax: net remuneration paid to the manager, plus a fraction of the dividends received
• For the CSG and CRDS: all social security contributions (mandatory and optional) must be reinstated

Manager + employee rates

CSG – CRDS:

• 9.7% on 98.25% of the income

• 9.7% on the taxable professional income (to which social contributions are added)

Sickness and maternity:

• 13% one the whole income

• Merchants and craftsmen
  • from 0 to 3.16% if income below 40% of PASS (2)
  • from 3.16 to 6.35% if between 40% and 110% of the Annual Ceiling of the Social Security (PASS).
  • 6.35% if income is between 110% of PASS and 5 PASS
  • + 0.85% for daily allowances up to 5 PASS
• Liberal professions
  • 1.5% to 6.50% if income less than 110% of the PASS
  • 6.50% if income exceeds 110% of the PASS

Family allowances:

• 3.4% if salary is inferior to 3.5 times the minimum wage
• 2.25% otherwise

Family allowances:

• 0% for income below 110% of the PASS
• between 0 and 3.10% for income between 110% and 140% of the PASS,
• 3.10% for income above 140% of the PASS

Base old-age insurance:

• 15.45% on segment A
• 2.30% on the whole salary

Base old-age insurance:

• Merchants and craftsmen:
  • 17.75% within the limit of the PASS
  • 0.60% beyond the PASS
• Liberal professions:
  • 10.1% within the limit of the PASS
  • 1.87% between 1 and 5 times the PASS

Additional old-age insurance:

• 7.75% on segment A (arrco)
• 20.25% on segments B and C (agirc)
• +0.35% (exceptional and temporary contribution)

Additional old-age insurance:

• merchants and craftsmen:
  • 7% in the limit of the PASS
  • 8% between 1 times the PASS and 4 times the PASS
• Liberal professions: variable from 1,277 to 16,597 euros depending on income

AGFF (Association for the management of the financing fund of Agirc and Arrco):

• 2% on segment A
• 2.20% on segments B and C

Work accident:

• Variable Rate depending on the activity

Provident scheme:

• 1.5% on segment A

Provident scheme:

• merchants and craftsmen: 1.3% on income below the PASS
• Liberal professions: 76, 228, or 380 euros depending on the class chosen

APEC:

• 0.06% on segments A and B

National capital for housing help (FNAL) – companies with less than 20 employees:

•  0.1% on the whole salary

• 0.55% on the whole salary

Professional formation:

• Merchants and liberal professions: 0.25% of the PASS
• Craftsmen: 0.29% of the PASS