Pensioners are subject to different levels of general social contribution. Find out which one is yours and if you will be exempt from paying the CSG in 2023.
Barring exceptional government measures, the levels of the general social contribution (CSG) are reviewed each year. An evolution closely followed by the 16 million retired people in France. Indeed, it is necessary to analyze with precision the figures shared each year by the National Old Age Insurance Fund (CNAV) while the thresholds are reviewed annually. Depending on these developments and the personal situation of retirees, contributors can determine whether they will have to pay the general social contribution or not.
In 2023, the CSG rates are revised upwards. An increase of 1.6%, the calculation of which is made taking into account the evolution of consumer prices recorded during the penultimate year, i.e. in 2021. Note: the calculation does not take into account the evolution of tobacco prices. The four CSG rates in 2023 were detailed in a circular shared by the National Old Age Insurance Fund (Cnav) last December. Here are the CSG rates used this year by the CNAV: 0%, 3.8%, 6.6% and 8.3%.
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Exemption conditions
Thus, depending on the tax situation in which a retiree finds himself, one of these CSG rates will be applied for the settlement of this tax introduced during the 1990s. Are you eligible for an exemption from the CSG in 2023? To find out, you should take into account your reference tax income for 2021, which is your tax notice for 2022. Depending on the evolution of your income in recent years, it is quite possible that your rate of CSG is revised upwards or downwards in 2023. But to avoid excessive changes, the government has implemented a special measure.
Thus, if your CSG rate is zero (0%) or reduced (3.8%) and you exceed a new CSG threshold this year, the rate will not be automatically applied.. In other words, your income must increase to the point of making you cross a new reference tax income threshold for two consecutive years for your CSG level to increase. If in 2022 your CSG rate was 3.8% and your income has increased this year to the point of moving you to a rate of 6.8%, you will not change next year. To see your rate increase, your resources must exceed the income threshold set by the government for two consecutive years. In 2023, if you are single and your reference tax income does not exceed €11,614 in 2022, you will be exempt from CSG.