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PENSION

What to know about your French pension if you worked in another EU country

If you have worked and paid pension contributions in both France and another EU country - including pre-Brexit Britain - then here is what you can expect for how your combined pension will be calculated.

What to know about your French pension if you worked in another EU country
The EU flag and flags of other nations are pictured at the European Parliament in Strasbourg, France (Photo by FREDERICK FLORIN / AFP)

It is common for people to work in more than one country during the course of their career, and they usually end up paying pension contributions in each country. However it is not always clear how these are combined once you reach retirement age. 

This is the situation for people who have worked in France and another EU/EEA country or Switzerland. For those who have worked in a non-EU country, click HERE. For Brits, go to the bottom of the article. 

French pension

If you are an employee in France you will already be paying into your pension, since this is compulsory. If you take a look at your French payslip, among the deductions for social charges is the ‘retraits‘ section and this shows your pension contributions. These can be quite high – OECD data shows that the average French worker pays 11 percent of their monthly (gross) salary into their pension. 

READ MORE: Ask the experts: What foreigners living in France need to know about French pensions

In France, because the pension system is “pay-as-you-go”, you are technically eligible for a French pension after just one quarter (trimestre) of working in France under a French contract, though the value of the pension after just one quarter would be quite low.

You can use the French government pension simulator to check the level of your French pension – full details HERE on how that works.

READ MORE: EXPLAINED: The website to help you calculate your French pension

Non-French pension

In general, periods of employment outside France may be combined with years worked in France to boost or qualify for the French state pension. However, it depends on which country you have worked in, and whether that country has a social security agreement with France.

All EU, EEA countries, and Switzerland have social security coordination, so will have their pension contributions made in France calculated in the same way as for EU/EEA countries.

Retirement age

The first step is to look at how many EU/EEA countries you have worked in, and to check your retirement eligibility under each of those regimes.

For example, if you worked in both Denmark and in France, then you must consider the minimum age of retirement in both countries. If a person retired at the French legal age of 62, they would receive only the French portion of their pension until they reached Denmark’s legal retirement age (66 to 68), when they would start getting the Danish portion as well. 

Pension rates

Then, a calculation is done to determine the pension rate. This will look at the person’s would-be pension under the French scheme (also known as the national pension, or independent benefit). Another calculation will also be done to determine the pension rate under the European community formula (also known as the pro-rata benefit). In most cases the higher value will be the pension applied.

On the European Commission’s website dedicated to explaining old-age pensions across the EU, the European authorities explain how this double calculation is done. Taking the example of the hypothetical person “Rosa” who has worked 20 years in France and 10 years in Spain, the EU site explained how the two European countries would determine who pays what portion of Rosa’s pension.

Starting with France, the first calculation made determines Rosa’s current pension under the French scheme – which is based on Rosa’s 20 years contributing to the French pension system. It is determined that she is entitled to €800 per month.

READ MORE: Reader Question: How long do I have to work to qualify for a French pension?

The next calculation uses the European calculation that offers a theoretical amount – the pension Rosa would receive had she worked the entirety of her career in France.

This theoretical calculation determines that for 30 years working in France, and it determines Rosa would earn a €1,500 pension. To figure out the portion of Rosa’s total pension that France will pay, French authorities multiply Rosa’s would-be total pension (€1,500) by the 20 years worked in France. Then, they divide that by the total years worked in both countries (30 years).

This finds that ultimately France will pay Rosa €1,000 per month as her French pension.

As for the Spanish side, pension authorities will also look at Rosa’s “pro-rata” (or theoretical pension) if she had worked the entirety of her career in Spain. They determine that she would have received a Spanish pension of €1,200 for a full career. Then, Spanish authorities do the same European calculation where they multiply Rosa’s would be total pension (€1,200) by the number of years worked in Spain (10). They divide this number by the total number of years worked (30) to get the portion of Rosa’s total pension that should be paid by Spain.

This determines that Rosa ought to receive €400 of her pension from Spain.

In total, she will receive a pension of €1,400, but €1,000 will be paid by France, and €400 will be paid by Spain. 

You can see more examples of these calculations with specific simulations at the Europa.EU website page for State pensions abroad. 

You can also watch this video, made by the European Commission, to understand how the process works for EU nationals.

The case for Brits

Brexit has made pensions more complicated for Brits, and essentially divides British workers into two groups.

Those who arrived in France before December 31st 2020 – and are therefore covered by the Withdrawal Agreement – continue to benefit from EU social security co-ordination. They should therefore have their pensions calculated as described above.

Those who moved to France after December 31st 2020 are treated as non-EU nationals for pension calculations – click HERE for a full explanation of the system for non-EU workers.

This article is a general view of the pension system and does not constitute individual financial advice. If you are are unsure about your pension rights, seek independent financial advice.

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POLITICS

Rugby tickets, coffee and stickers – French presidential candidates chastised over expenses claims

From coffee runs to rugby tickets and professional photos - France's election financing body has revealed some of the items it has refused to reimburse from the 2022 presidential race.

Rugby tickets, coffee and stickers - French presidential candidates chastised over expenses claims

Spending on the election trail is tightly regulated in France, with maximum campaign spends per candidate as well as a list of acceptable expenses that can be reimbursed.

In France the State pays at least some of the election campaign costs, with the budget calculated according to how many votes the candidate ends up getting. 

READ MORE: 5 things to know about French election campaign financing

On Friday, the government body (la Commission nationale des comptes de campagne et des financements politiques – or CNCCFP) released its findings for the 12 candidates who ran in the April 2022 presidential campaign. 

All of the candidates had their accounts approved, but 11 out of the 12 were refused reimbursement on certain items. Here are some of the items that did not get CNCCFP approval;

Rugby tickets 

Jean Lassalle – the wildcard ‘pro farmer’ candidate who received about three percent of votes cast in the first round of the 2022 election – bought “19 tickets to attend a rugby match” according to the CNCCFP’s findings. The organisation said it would not be reimbursing the tickets and questioned “the electoral nature of the event”. 

The total cost of the tickets was €465 (or €24.50 each).

Too many coffees

Socialist candidate, and current mayor of Paris, Anne Hidalgo reportedly spent at least €1,600 on coffee for her team during the campaign.

According to the CNCCFP, however, the caffeine needed to keep a presidential campaign running did not qualify under the country’s strict campaign financing rules.

Too many stickers

Hard-left candidate Jean-Luc Mélenchon’s was told that the 1.2 million stickers that were bought – to the tune of €28,875 – to advertise the campaign would not be reimbursed. Mélenchon justified the purchasing of the stickers – saying that in the vast majority of cases they were used to build up visibility for campaign events, but CNCCFP ruled that “such a large number” was not justified. 

Mélenchon was not the only one to get in trouble for his signage. Extreme-right candidate Éric Zemmour was accused of having put up over 10,000 posters outside official places reserved for signage. The same went for the far-right’s Marine Le Pen, who decided to appeal the CNCCFP’s decision not to reimburse €300,000 spent on putting posters of her face with the phrase “M la France” on 12 campaign buses.

Poster pictures

Emmanuel Macron – who won re-election in 2022 – will not be reimbursed for the €30,000 spent on a professional photographer Soazig de la Moissonière, who works as his official photographer and took the picture for his campaign poster. 

The CNCCFP said that Macron’s team had “not sufficiently justified” the expenditure.

Expensive Airbnbs

Green party member Yannick Jadot reportedly spent €6,048 on Airbnbs in the city of Paris for some of his campaign employees – an expense that the CNCCFP said that public funds would not cover.

Translating posters

The campaign finance body also refused to reimburse the Mélenchon campaign’s decision to translate its programme into several foreign languages at a cost of €5,398.

The CNCCFP said that they did not consider the translations to be “an expense specifically intended to obtain votes” in a French election.

Best and worst in class

The extreme-right pundit Zemmour had the largest amount of money not reimbursed. Zemmour created a campaign video that used film clips and historic news footage without permission and also appeared on CNews without declaring his candidacy – because of these two offences, CNCCFP has reduced his reimbursement by €200,000. He has been hit with a separate bill of €70,000 after he was found guilty of copyright infringement over the campaign video. 

The star pupil was Nathalie Arthaud, high-school teacher and candidate for the far-left Lutte Ouvriere party, who apparently had “completely clean accounts”. A CNCCFP spokesperson told Le Parisien that if all candidate accounts were like Arthauds’, then “we would be unemployed”.

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