Retirement pensions: 10% reduction, CSG rate and what you will pay in 2026

Your retirement pensions are subject to two separate mechanisms. For income tax purposes, the tax authorities automatically apply a 10% allowance to the total declared amount of your pensions, with a minimum of €454 per pensioner and a maximum of €4,439 per tax household (2025 income, 2026 tax return). Regarding social security contributions, the CSG (General Social Contribution) on your pension has a rate of 0%, 3.8%, 6.6%, or 8.3%: for 2026, this rate depends on your 2024 reference tax income (RFR).

This page deals with retirement pensions taxed in France. It does not cover the CSG (General Social Contribution) for people living outside France, nor the 2026 income tax allowance (2027 tax return), which are not included in the official sources consulted.

The 10% reduction on pensions

The rule

The allowance is 10% of the total declared amount of pensions and annuities for your tax household. You don't need to take any action: it is applied automatically. Two limits apply:

The minimum applies to each pensioner in the household. If a pension is less than the minimum, the deduction is limited to the amount of that pension. The maximum applies to all pensions in the household. Between the two years, the ceiling increased by €40.

Which pensions are included in the database

The service-public.gouv.fr website indicates that pensions to be declared include basic and supplementary retirement pensions, those from special schemes, and survivor's pensions. The 2026 income tax guide specifies that the allowance applies to the total of the amounts entered in boxes 1AS to 1DS (pensions, retirement benefits and annuities), 1AZ to 1DZ (disability pensions, allowances and annuities), 1AO to 1DO (alimony and maintenance payments), 1AL to 1DL and 1AM to 1DM (pensions from foreign sources).

Annuities acquired for valuable consideration (boxes 1AW to 1DW) are not eligible for this allowance. The brochure applies a different mechanism to them, which is not discussed here.

Where are pensions declared?

The amounts are pre-filled in the tax return, in box 1AS or 1BS. It is your responsibility to verify them. Pensions for dependents or those included in your tax return are not pre-filled: you must declare them yourself.

The CSG on pensions: four rates

There are four rates: zero rate (exemption), reduced rate, median rate, and standard rate. The CRDS (0.5% of %) and the Casa (0.3% of %) are added depending on the category. At the zero rate, you are exempt from CSG, CRDS, and Casa. These deductions apply to the entire pension, according to the official information sheet.

The survivor's pension is also subject to CSG, CRDS and Casa.

Which rate applies: the 2024 RFR?

For 2026, the applicable rate depends on the income declared on the 2025 tax return for 2024 income, i.e. the 2024 RFR which appears on your 2025 tax notice. Here are the thresholds from the form checked on 01/06/2026.

The information sheet provides these thresholds for 2026 (RFR 2024). For a different family quotient or a different year, please refer to information sheet F2971 for the year in question.

The rule of two consecutive years

The transition from the reduced tax rate to the intermediate rate, or from the reduced rate to the standard rate, only applies if your income has exceeded the reduced rate threshold for two consecutive years. A single instance of exceeding the threshold is therefore insufficient for this transition. Other changes in tax bracket are not detailed in the sources consulted: please check your tax assessment notice for your specific situation.

Numerical example (fictitious profile)

Situation. Michel and Hélène, both retired, form a two-person household. Michel receives €38,000 in pensions, and Hélène €12,000, for a total household income of €50,000. Assumptions in this hypothetical scenario: their 2024 reference tax income (RFR) is €39,500, and the pensions paid are equal to the declared amounts (the actual amount can be found on your pension statement).

Issue. How much does the allowance remove from their taxable base, and what CSG rate applies to their pensions in 2026?

Strategy. First apply the abatement rule, then read the CSG category in the "2 parts" line of the table.

Result.

The tax allowance ceiling comes into play: 10% of €50,000 (%) results in a tax allowance of €5,000, but only €4,439 is actually deducted. To illustrate the impact of this threshold, if the 2024 reference tax income (RFR) had exceeded €40,604, the standard rate of 9.1% (%) would have yielded €4,550 on the same pensions, or €850 more per year.

Let's consider a second case for the minimum. A single retiree receives a pension of €3,000 per year. 10 % equals €300, which is less than the minimum: the allowance is €454. Conversely, a single pension of €20,000 results in an allowance of €2,000, between the two limits.

This profile is fictitious. The RFR (Reference Taxable Income) and the equality between pensions paid and pensions declared are assumptions. The calculation isolates the allowance and social security contributions: it does not calculate income tax and does not predict your situation.

If you live outside of France

Pensions paid by a payer domiciled or established in France are considered French-source income. They are taxable in France for non-residents. The official information sheet on non-resident taxation sets minimum tax rates: 20% for income equal to or less than €29,579, and 30% for income exceeding this threshold. The amount taxed is the higher of the progressive tax scale calculation and the minimum tax rate calculation.

On two points, the sources consulted do not allow us to draw a conclusion, and this page does not resolve them:

• the information sheet on the taxation of non-residents does not mention the 10 % allowance; ;
• The information sheet on the CSG of pensions does not contain any rules for people who reside abroad or who are affiliated with a foreign scheme.

The rule depends on your situation. It should be checked before deciding to leave.

What changes depending on your situation

• The number of pensioners in the household : the minimum allowance applies to each individual, the maximum applies to the whole.
• Your 2024 RFR and your number of shares : they set the CSG category for 2026.
• Your income history : moving from the reduced rate to a higher rate requires two consecutive years of exceeding the limit.
• The nature of your retirement income Basic pension, supplementary pension, reversionary pension, foreign source pension, life annuity for valuable consideration do not follow the same boxes.
• Your place of tax residence.

No results are promised.