+5.12%. Have you heard of this good news about supplementary private pensions? This announcement, which was partly leaked in September, was announced by Agirc-Arrco on 6 October. It is the day after All Saints’ Day that the increase will apply.
A year leaves. In 2022, if you are one of the 13 million private withdrawals, your monthly pension will have never stopped growing since the end of the summer. The very classic revaluation of January (at least, usual since 2018) having been very low with regard to inflation, the purchasing power law has allowed a boost of 4% on your basic pension from July. But, subtlety of the legislative calendar, the implementation has been postponed, which explains why your basic pension jumped only on September 9 (with the catch-up of the July pension) to find its cruising rhythm at the end of 2022 since the October 7 installment. All these changes concern only the basic pension, paid by CNAV.
+5.12% in 2022 after an increase of only 1% in 2021
This Wednesday, November 2, it is the Agirc-Arrco supplementary pension that is changing. It has not budged since November 2021, when it increased timidly by a small 1%. This year, after negotiations between the social partners managing this supplementary scheme, the Agirc-Arrco board of directors has decided to increase pensions by 5.12%. A percentage which corresponds to the evolution of the average salary (+4.82%) plus a catch-up from last year and an additional margin allowed by the financial balance of the plan. This change of 5.12% ultimately turns out to be very close to the inflation forecast by INSEE for the whole of 2022, 5.2%. This increase is valid from November 1, 2022 but, due to All Saints Day, the November pension will be pays on Wednesday, November 2.
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How much more on your November pension?
Let’s take the example of a retirement receiving a pension close to the average for a former employee in the private sector, 1,500 euros in net pension at the start of 2022 whose 1000 euros paid by the Cnav and 500 euros by Agirc-Arrco. After a slight jump in early September, his basic pension has reached 1,040 euros since October 7, which corresponds to the 4% increase in summer. New increase in novemberwith the revaluation of the complementary Agirc-Arrco: the boost of 5.12% allows this pensioner to benefit from a supplementary pension of 525.60 euros on November 2. By adding the pension paid by the Cnav on November 9 (under the October basic pension) of 1040 euros, the total amount is 1565.60 euros. An amount that will remain valid until the end of the year. And even until January since the annual increase in the basic pension will cover the month of January… paid at the beginning of February 2023.
What increase on the basic pension in 2023?
At this stage, nothing official or definitive… but the suspense is not really in order. Because the 4% increase last summer was an anticipated increase in the annual revaluation. Translation: your basic pension has already increased at a rate close to inflation during 2022. At the beginning of 2023, the State will just correct the margin for the increase already in force in order to stick to inflation.
Result? In 2023, the anticipated revaluation of 4% decides in the summer of 2022 being only an advance on that of 2023, pensions would be revalued by an additional 0.8% on January 1, 2023we read in the latest report on the Social Security accounts, published in parallel with the Social Security financing bill (PLFSS) for 2023. It should be noted that for the basic pension, the January 2023 pension is paid beginning of February: the payment at the beginning of January will therefore be identical to that at the end of the year.
| average inflation end of October* | Annual reset on January 1 | Early revaluation on July 1 | |
|---|---|---|---|
| 2019 | 0.9% | 0.3% | – |
| 2020 | 0.2% | 0.3% (1% for pensions less than 2000) | – |
| 2021 | 0.4% | 0.4% | – |
| 2022 | 1.1% | 1.1% | 4% |
| 2023 (estimate) | 4.8% | 0.8% | – |
* Measure of inflation used for the revaluation of basic pensions, ie the average over 12 months stopped in October of the year preceding the revaluation, compared to that of the 12 previous months.
Source: report of the Social Security Accounts Commission – results for 2021 and forecasts for 2022-2023
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