Pension reform: the key figures to know about your pension

In recent weeks, the pension reform has panicked the media. But to find your way around, here are the key facts you need to know about our pensions.

The government is preparing to introduce a new law , which will impact everyone in the medium term. It is pension reform, whose presentation will take place tomorrow before the National Assembly. This heavy task falls to Elisabeth Borne . However, initially, the Prime Minister was to carry the text from December 7. But to continue dialogue with social partners , the date was therefore postponed. Cautious, the head of government recalled that the legal retirement age (65) is not a 'totem' . For the time being, we still do not know all the details of this bill . But to fully understand the reform that is coming, you still need to know the rights you have today.

How much is retirement in France?

Before' talk about pension reform , we must already know what we are talking about. It goes without saying that the amount of your pension depends on your career and the wages received throughout your life. However, there is a rather interesting figure . Thus, on average, it reached 1509 euros gross in 2020. However, this amount takes into account public and private schemes, as well as any increases. According to the DREES, we can even estimate the monthly balance at 1583 euros gross , i.e. 1473 euros net.

Besides, in the meantime, pensioners affiliated to the basic scheme like the complementary funds have undergone several upgrades. Moreover, basic pensions paid by the CNAV have just undergone a rise of 0.8%. This decision is in addition to the 4% increase , which took place in the summer of 2022.

And that's not the only good news for seniors. Indeed, since November 2022, pensions from supplementary funds increased by 5.12% . Enough to have more means to deal with the crisis.

Pension reform: do careers in the public sector make it possible to receive a more advantageous pension?

When we are talking about the labor market , we always put in opposition the employees of the private sector and the agents of the public sector. And besides, this distinction continues even at the end of his career. Whereas pension reform is fast approaching , some wonder if they pensions du service public turn out to be higher?

In the facts, former public sector workers receive a more attractive basic pension. Nevertheless, RAFP supplementary pensions remain quite low. Conversely, for retirees in the private sector, AGIRC-ARRCO pensions make it possible to improve the basic scheme .

For the time being, private and public pensioners, the rules for calculating pensions have nothing to do. And the pension reform should not change much to this very complex operation . If you have had a career in the private sector, your retirement takes into account the salaries of your best 25 years. On the other hand, if you worked for the public sector, only the last 6 months of wages count for the amount of your pension. To give you an idea, here are the average pension levels in 2019 , depending on the type of career pursued.

• civil servants of the state received 1924 euros net per month.
• Territorial civil servants were entitled to 1182 euros net on average.
• Pensions reached 1373 euros on average for the hospital public service .
• Military officials received 1442 euros net per month.

However, it should be kept in mind that these figures are simply averages . Indeed, in private companies, as in the public service, there are huge wage disparities , depending on the tasks performed.

What age for retirement?

Even before the pension reform takes place, it should be known that the he Tourraine reform of 2014 , has already had noticeable effects on the duration of our careers. Thereby, the retirement age has been gradually rising over the past two years . So, in 2020, the legal age remains fixed at 62 years and 4 months. Then, in 2021, it rose to 62 years and 7 months.

According to several studies, there are still differences according to the type of career pursued . Thus, executives tend to work 12 years past their 50s. On the side of the workers, instead, retirement takes place 8 years after their 50th birthday . In question ? Longer careers, and often harder jobs.

Pension reform: the government indicates that it will not go beyond 43 years of contributions

For now, people born after 1973 must complete 172 trimesters. Even before the entry into force of the pension reform , you may already have to work after age 65. Indeed, the legal retirement age is 62. However, not everyone contributes the same way throughout life .

Thus, some people started working at the age of 16 or 18. Conversely, others had to go through long studies. Result ? They enter the job market at 22 or 23 . If you are one of them, know that even without the future pension reform, you will probably have to stay in your job until you are 65 or 66.

That said, rest assured , there is a maximum threshold for obtaining a full pension . Thus, after age 67, there is no longer any discount on retirement. For the time being, the government has confirmed that it will not change anything in the system of 43 years of contributions. However, he may well return to the operation in place for people born between 1955 and 1957 .

At the end of 2020, France had nearly 17 million pensioners . And that number seems to be growing every year. However, as we have specified, not all seniors are entitled to the same level of pensions. Thus, as in the labor market, the omen generally remain less advantaged than men . On average, they tend to retire later, while earning less. In question ? Careers sometimes interrupted, due to pregnancies or young children who need full-time care.

The height? Repo errors can happen quite often. Fortunately, a new tool has just been released. And this, before the pension reform. He should allow CNAV beneficiaries to better monitor their rights in pension terms.

Source : Money Vox