The LEP ceiling will go from 7,700 euros to 10,000 euros. But very many other limits sometimes do not move for years. Even decades. However, when inflation accelerates, certain ceilings risk decrementing. Should they be indexed to inflation? Make up for the accumulated delay, as for LEP. Overview of 10 ceilings that have not been upgraded for a long time…
Popular savings booklet: 7700 euros, soon 10000 euros
This one, he will move: the Minister of the Economy Bruno Le Maire announced it this July 13 by announcing the maintenance of the rate of the Livret A 3%. Nevertheless: for two decades, this ceiling has never changed, even though it is a product intended for the most modest.
What. A boon. The People’s Savings Book (LEP) currently yields 6.1%, net, without any social or tax levies. And 6% from August 1st. Currently unbeatable for a risk-free investment. But… on the one hand, the LEP is reserved for low-income households (simplifying those who pay little or no income tax) and, above all, if you have one, you cannot deposit more than 7,700 euros in it.
Since when? January 1, 2002. So now over 21 years old.
Index ceiling on inflation. If ever the deposit ceiling set at 7700 euros in 2002 had been indexed – during these 21 years – to the rise in prices, you could today deposit up to 10416 euros on your LEP, according to the Insee monetary erosion simulator. In other words, the 10,000 euros increase announced by Bruno Le Maire is not enough to completely make up for lost time.
LEP: how much does it earn over a year?
Booklet A: 22950 euros
What. The money you deposit in your Livret A is capped at 22,950 euros. Precision: it is the ceiling of payments, but this ceiling can be drilled by the annual capitalization of the interests.
Since when? January 1, 2013. So 10 years and a few months.
Index ceiling on inflation. According to the INSEE simulator, due to inflation, with 22,950 euros in 2013, you can buy as many things as with 25,846 euros today.
Livret A, LDDS, LEP: What happens if I go over the limit?
Life insurance: 70,000 euros guaranteed in the event of bankruptcy
What. If the insurance company that manages your life insurance contract were to go bankrupt (despite the many existing parachutes), the Insurance Guarantee Fund (FGAP) would compensate the insured up to 70,000 euros. A guarantee that applies to each client of an insurer. The same person can therefore combine these guarantees by having several contracts with several insurers.
Since when? August 1999. So almost 24 years old.
Index ceiling on inflation. The purchasing power of 70,000 euros in 1999, or more than 450,000 francs at the time, is the same as that of 99,754.45 euros in 2022, according to INSEE.
Life insurance: can I save more than 70,000 euros on the same contract?
Bank deposits: 100,000 euros guaranteed in the event of bankruptcy
What. Here again if all the existing parchutes were to be pierced… which is very unlikely… the Deposit and Resolution Guarantee Fund (FGDR) would reimburse each customer of a bankrupt bank, up to 100,000 euros in assets accumulated in its coffers.
Livret A + LDDS + LEP: share guarantee
Did you know that regardless of your bank assets covered by the FGDR (see above), your Livret A, your Livret Bleu at Crdit Mutuel, your LDDS or your LEP are fully guaranteed by the State? Yes, and this potentially up to 100,000 euros per customer… even if it is obviously improbable to collect this sum on a Livret A capped at 22,950 euros in deposits, an LDDS capped at 12,000 euros and an LEP limited to 7,700 euros in payments.
Since when? October 1, 2010, date of publication at Official newspaper of the judgment raising the guarantee ceiling from 70,000 to 100,000 euros.
Index ceiling on inflation. If this ceiling were indexed, today it would be 118,266 euros.
Livret A, bank account… Is your guarantee of 100,000 euros insufficient?
Actions: 70,000 euros, title guarantee
What. The title guarantee, or investor guarantee, covers you up to 70,000 euros in the event of bankruptcy of the investment service provider. Clearly the company that maintains your securities account for shares, bonds, units of Sicav and UCITS, etc.
Since when? 1999.
Index ceiling on inflation. As for the guarantee of life insurance: 99,754 euros, if the ceiling had been revalued over the rise in prices.
The guarantee of securities and deposits: amount, accounts and banks concerned
Tax niches: 10,000 euros tax-exempt to the maximum (except…)
What. The tax exemption is completely legal… but supervised and limited, in order to avoid abuse. Do you invest in tax funds (FIP and FCPI), in Pinel investment or in SMEs in order to reduce your taxes? Possible. But the annual reduction will be limited to 10,000 euros (except for certain investments, which benefit from an additional ceiling of 18,000 euros).
Since when? 2013.
Index ceiling on inflation. Virtually, if this ceiling was indexed… it would have risen to 11,261 euros at the end of 2022.
Here’s how to escape the ceiling of 10,000 euros
Inheritance and donation: 100,000 euros tax deduction for children
What. If it is a question of giving money to each of your children, you have a certain margin before paying gift tax. The allowance is 100,000 euros for each child, and the meters are reset to zero every 15 years. In the event of death within 15 years, the calculation of inheritance tax takes the donation into account. Otherwise, the donation tax reduction is again 100,000 euros per child.
Since when? 2013 and the lowering of this reduction at the start of François Hollande’s five-year term.
Invest in real estate from €1,000. OUR rankings of the best SCPIs
Index ceiling on inflation. If ever this threshold brought to 100,000 euros 10 years ago had been indexed to inflation, it would today be 112,618 euros according to the INSEE converter.
This 2022 promise from President-candidate Macron… When will you be able to give up to 150,000 euros tax-free to your children?
Earnings from life insurance: 4,600 euros of tax relief each year
What. Each year, if your life insurance is more than 8 years old, you can withdraw up to 4,600 euros in capital gains without paying income tax. Yes, from capital gains or gains, and not from accumulated savings, which makes it possible to withdraw much more money each year, in fact.
Since when? 1998.
Index ceiling on inflation. The 30,000 francs at the time certainly give 4,600 euros if we stick to a pure conversion between francs and euros. But following the evolution of prices, it is equivalent today to 6551 euros.
Life insurance: these 3 ceilings blocked in the last century
Life insurance and inheritance tax: 30,500 euros
What. 1 million francs. Or 152500 euros. This is the abatement excluding inheritance, therefore without tax, for the sums transmitted via life insurance on the death of the insured. For each beneficiary. But if the latter has paid money after his 70th birthday, then the ceiling is 30,500 euros, all beneficiaries included.
Since when? 1991.
Index ceiling on inflation. In more than 30 years, this threshold would have had time to approach the bar of 50,000 euros, if it had been indexed to inflation.
Life insurance: what to do when approaching 70?
Housing savings plan: 61,200 euros
What. The ceiling for payments on a Housing Savings Plan (PEL): 61,200 euros. Exceeding it creates a chance and automatically schedules the closure of your PEL 5 years later.
Since when? April 1, 1992. So for more than 30 years.
Index ceiling on inflation. In 1992, the ceiling for deposits on a PEL was raised from 300,000 to 400,000 francs. The franc-euro conversion reduced this ceiling from 400,000 francs to 61,200 euros. Gold 400,000 francs, more than 30 years ago, this is equivalent to 95,932 euros in purchasing power at the end of 2022, according to INSEE…
QUIZ. Livret A, life insurance, inheritance… Are you better than your banker?