During your career, you earn pension points through the payment of mandatory pension contributions. It is, in fact, this total number of points acquired, which will allow you to determine the annual amount of your future supplementary pension. The contributions paid by your employer thus give the right to additional pension points. Two elements enter into the calculation of contributions with the contribution base and the contribution rate. Does a maximum of points exist?
Several elements of remuneration such as salaries, bonuses, indemnities for the end of a fixed-term employment contract or benefits in cash or in kind are included in the contribution base. The latter is divided into salary brackets, depending on the amount of the Social Security ceiling. It is thus a reference amount taken into account for the calculation of certain social benefits. Tranche 1 is thus up to the Social Security ceiling, while Tranche 2 is between one and eight times the Social Security ceiling.
Retirement points are calculated according to the contribution base, the point calculation rate, but also the price of a point. The number of points therefore corresponds to the formula “Basis of contributions x Rate of calculation of points / purchase value of a point”. The purchase value of a pension point is thus set each year: for example, in 2022, it stopped at the threshold of 17.4316 euros. With regard to the contribution base, it is limited to eight Social Security ceilings, i.e., in 2023, more than 351,000 euros annually.
