Manager of a SARL or president of a SAS: the social status of the executive

The president of a simplified joint-stock company (SAS) is considered an employee and is covered by the general social security system. The manager of a limited liability company (SARL) depends on their share of the capital. If they hold a majority stake, they are considered self-employed, even if they are not paid. If they hold a minority, equal, or non-shareholding stake, they are considered an employee, like the president of an SAS.

This page compares the two statuses: affiliation, contributions, unemployment, and combining with an employment contract. It does not provide contribution rates, detail the level of benefits, or quantify the trade-off between salary and dividends.

Who falls under which status

The service-public.gouv.fr fact sheet on social protection for company directors summarizes the rule: self-employed individuals (TNS) are the majority shareholder-manager of a SARL, the managing partner of an EURL, and the partner of an SNC. Other directors have employee-like status.

One point requires careful attention. The exact distinction between a majority shareholder and a minority shareholder is defined differently in official documents. If you hold approximately half the shares, have your situation reviewed before making any decisions.

What each status contributes

The president of SAS and other equivalent employees

The contributions are the same as those of a salaried executive, except for unemployment insurance. The company director is not entitled to unemployment insurance and therefore does not pay it. They can, however, take out supplementary unemployment insurance.

The company calculates the contributions each month and pays them to the Urssaf (French social security agency). These contributions are deducted from payroll. The declaration and payment dates for your company should be verified with the Urssaf.

The information sheet lists the coverages: health and maternity insurance, family allowances, work accident insurance, basic pension, supplementary pension and assurance-vie.

The majority shareholder of a limited liability company (self-employed)

He contributes to sickness and maternity, daily allowances, basic retirement, supplementary retirement, disability and death, family allowances, vocational training, CSG and CRDS.

According to the service-public.gouv.fr fact sheet on SARL (F37411), it must pay minimum social security contributions even in the absence of remuneration.

The payment schedule is as follows:

• In December, only one notice of demand for provisional contributions for the following year; ;
• in October, an adjustment of contributions from the previous year, based on actual income; ;
• a payment every month (on the 5th or the 20th) or every three months (February 5th, May 5th, August 5th, November 5th).

Contributions are generally deducted from the company's account. They are then deducted from its taxable income.

From April 2026, according to the information sheet on service-public.gouv.fr verified on October 8, 2026, the Urssaf (French social security agency) applies a flat-rate allowance of 26 % to the self-employed worker's income when calculating their contributions. This page does not specify the rates that are subsequently applied.

Unemployment: the difference that is most noticeable early on

For a minority shareholder in a limited liability company (SARL), the information sheet specifies that they are not entitled to unemployment insurance based on their corporate mandate. They may be eligible under a separate employment contract, provided they meet several conditions: actual employment, technical functions distinct from the mandate, remuneration, and a subordinate relationship.

According to the information sheet on the SASU, during the creation phase, the president can receive the back-to-work allowance (ARE) and continue to benefit from the Acre if he does not receive any remuneration from the company he manages.

Employment contract and mandate: who can hold both positions?

• Majority shareholder of a limited liability company : he cannot combine his corporate mandate with an employment contract.
• Minority shareholder : he has the possibility to accumulate.
• Equal manager : he cannot combine them.

This point is important for unemployment: a separate employment contract can open this right to the minority manager, under the conditions seen above.

Dividends and social protection

For a president of a SASU (Simplified Joint-Stock Company with a Single Shareholder), the service-public.gouv.fr information sheet on SASUs states that a shareholder remunerated exclusively by dividends does not contribute to social security and therefore does not benefit from any social protection. This rule applies specifically to SASUs. It does not apply to other types of companies.

• In a SASU (simplified joint-stock company with a single shareholder), dividends are not subject to social security contributions; ;
• In EURL companies, they are subject to it and count in the calculation of the ARE (unemployment benefits); ;
• In a limited liability company (SARL) subject to corporation tax, the information sheet indicates that dividends exceeding 10% of the share capital are subject to social security contributions under the self-employed scheme. This page does not detail the basis for this threshold; ;
• The majority manager of a limited liability company must also pay minimum contributions even without remuneration (see above).

Workplace accidents: a gap in coverage

Self-employed individuals do not contribute to the insurance that covers workplace accidents and occupational illnesses. They can take out voluntary individual insurance with their health insurance fund. Employees, on the other hand, are among the beneficiaries of workplace accident insurance.

Numerical example (fictitious profile)

Situation. Marc manages a limited liability company (SARL) that conducts commercial activities. He owns 60% of the shares: he is the majority shareholder and therefore self-employed. He has been registered with the self-employed health insurance scheme for at least a year. He is wondering what his gross salary would be in the event of a 30-day sick leave. Assuming the first 3 days are not compensated (3-day waiting period), official sources do not describe this waiting period in the same way in all cases: the rule applicable to your leave should be verified with the health insurance provider.

Issue. The daily allowance for a self-employed worker depends on their average annual business income (RAAM) and is capped. The amount paid is not equivalent to a maintained salary.

Strategy. Calculate the maximum benefit of the formula for two income levels, then measure the difference with your standard of living before deciding on supplementary coverage.

Result. For a craft or commercial activity, the daily allowance is equal to 1/730th of the RAAM (Average Annual Income for Self-Employed Workers), without exceeding €65.84 gross (amount set as of January 1, 2026, with the RAAM capped at €48,060). The RAAM is the average of the contributory income for the 3 calendar years preceding the work stoppage (ameli.fr). Based on 27 days of compensation (30 days minus a 3-day waiting period):

In case B, Marc's income more than doubled compared to case A, but the compensation only increased by €298.35. The cap comes into play.

These amounts apply to craft or commercial activities. For freelance activities, the amounts differ: check with your social security office before making any calculations.

Sophie, president of a SAS (simplified joint-stock company), is subject to a different calculation: the compensation for an employee treated as such is equal to 50% of their basic daily wage, with a cap. This page does not specify this cap.

These profiles are fictitious. The calculation gives the maximum gross benefit of the formula, before any supplementary coverage. It does not predict your individual situation.

What changes depending on your situation

• Your share in the capital, if you are the manager of a limited liability company (SARL), and its evolution.
• Your method of remuneration : mandate, possible employment contract, dividends.
• Your current protection : supplementary benefits, unemployment insurance, coverage for work-related accidents.
• Your family situation, for insurance purposes.

Contributions, benefits, and choice of status are determined based on your application. No results are guaranteed.