PER and death: how savings are transferred to beneficiaries

If the account holder dies before withdrawing funds from their retirement savings plan (PER), the plan is closed. The funds go to the heirs or designated beneficiaries. Taxation depends on the type of plan. For a bank-based PER (securities account), the savings are included in the estate. For an insurance-based PER, the rules are similar to those for assurance-vie and differ depending on whether death occurs before or after age 70.

This page deals with the individual PER (Retirement Savings Plan). It does not provide the inheritance tax rates and does not detail the taxation of a bank PER beyond its inclusion in the estate.

What happens at death

The death of the account holder before the plan is released results in the closure of the PER (service-public.gouv.fr, verified on 12/10/2026; economie.gouv.fr). The savings are paid to the heirs or designated beneficiaries, either as a lump sum or as an annuity (economie.gouv.fr, page written on 01/06/2026).

The designation of beneficiaries is provided for in the PER (Retirement Savings Plan) for insurance purposes (service-public.gouv.fr). According to economie.gouv.fr, the funds go to the beneficiaries designated in the contract.

Bank PER or insurance PER: two treatments

The individual PER exists in two forms: the bank PER, which results in the opening of a securities account, and the insurance PER, which results in joining a group insurance contract.

The rates of 20 % and 31.25 % described below apply to insurance-based retirement savings plans (PER). They do not apply to bank-based retirement savings plans (PER).

Assurance-vie plan, death before age 70

The death of the policyholder before age 70 is subject to the levy under Article 990 I of the French General Tax Code (BOFiP, BOI-TCAS-AUT-60: all payments fall within the scope of this levy). The mechanism is as follows:

1. A tax allowance of €152,500 is applied to the amounts due to each beneficiary (service-public.gouv.fr). The BOFiP (Official Bulletin of Public Finances) refers to a total allowance of €152,500 per beneficiary.
2. The balance is subject to a levy of 20 % for the taxable share of each beneficiary less than or equal to €700,000.
3. The taxable share of each beneficiary exceeding €700,000 is subject to a levy of 31.25 %.

If several contracts are concluded on the life of the same insured person for the benefit of the same beneficiary, the BOFiP requires that all taxable shares of this beneficiary be taken into account to calculate the allowance (§ 300).

Who is not subject

The BOFiP (§ 120) indicates that the surviving spouse, the partner bound to the deceased by a civil partnership agreement (PACS), and siblings exempt from inheritance tax are not subject to the levy, subject to articles 796-0 bis and 796-0 ter of the French General Tax Code (CGI). For siblings, the exemption condition is verified on a case-by-case basis.

Who pays, and when?

According to the BOFiP (Official Bulletin of Public Finances), the levy is payable by the beneficiary and paid to the public accountant by insurance companies (§ 10). The taxable event is the death of the insured (§ 330). For contracts that provide for deferred payment of the capital, the insurer must file a declaration before releasing the funds (BOFiP, § 220).

Assurance-vie (PER), death benefits from age 70

The sums paid out by the insurer (savings and gains) are subject to inheritance tax, after a deduction of €30,500 (service-public.gouv.fr). economie.gouv.fr states that the portion of the sums paid out exceeding €30,500 is subject to inheritance tax. The BOFiP (Official Bulletin of Public Finances) specifies that, for a PER (Retirement Savings Plan), the sums are only included in the tax base for the Article 990 I levy if the insured was under 70 years of age at the time of death.

The €30,500 allowance is a global one: it is shared among the beneficiaries according to their share of the taxable amounts (service-public.gouv.fr, F34982). This page does not specify the amount of tax due: this depends on the relationship to the beneficiary and the applicable tax brackets, which are not discussed here.

What this page does not cover

• The form and the deadline for declaration by the beneficiary.
• The scale of inheritance taxes and allowances according to the relationship of kinship.
• Taxation of a bank retirement savings plan (PER) beyond its inclusion in the estate assets.
• The taxation of an annuity possibly paid to a beneficiary.
• Social security contributions upon death.

On these points, the rule depends on your situation. It should be verified with official sources or with the firm before making a decision.

Numerical example (fictitious profile)

Situation. A 62-year-old business owner has a retirement savings plan (PER). Upon his death, the beneficiaries would receive €600,000 (hypothetically). He has a spouse and two children. The PER is the only contract covered by these beneficiaries. His surviving spouse is not subject to the withholding tax (BOFiP, § 120).

Issue. If death occurs before age 70, the provisions of Article 990 I apply. The allowance of €152,500 is calculated per beneficiary. The final amount therefore depends on how the funds are distributed among the beneficiaries.

Strategy. The firm reviews his beneficiary clause and the form of his PER (Retirement Savings Plan) with him. Two draft clauses are presented as examples.

Result. The calculation takes into account the allowance per beneficiary, then 20 % on the taxable share (no beneficiary reaches €700,000).

These two scenarios describe different situations; they do not constitute advice on inheritance distribution. The calculation ignores rights to the remainder of the estate and the family's civil choices. This profile is fictitious. The figures illustrate the mechanism and do not predict the outcome for your specific situation.

What changes depending on your situation

• The form of the PER: bank (securities account) or insurance.
• Your age at death, before 70 years or from 70 years old, for a PER insurance.
• The number of beneficiaries and the share of each, since the allowance of €152,500 is calculated per beneficiary, while the allowance of €30,500 is shared between them.
• The relationship: spouse, civil partner, brothers and sisters, children, third party.
• Other assurance-vie policies on your life for the benefit of the same beneficiary.
• Drafting and updating the beneficiary clause.

This page does not show the amount due in your specific situation. It is calculated based on your case. No results are guaranteed.