PENSION INCREASE. Supplementary pensions benefit from an increase in November 2022. For basic pensions, the next increase will take place at the beginning of 2023.
[Mis à jour le 21 octobre 2022 à 08h14] In an attempt to compensate for inflation, and to index retirement pensions to this price increase, two successive increases will take place in the coming months. First of all, the supplementary pensions Agirc-Arrco will be relieved of 5.12% starting the November, 1st next. The service value of the point will therefore increase from 1.2841 euros to 1.3498 euros. The decision was recorded at the plan’s last Board meeting on October 6th. Also, the January 1, 2023will take place the new increase in basic pensionof 0.8% after the two successive increases of 1% and 4% in January and July 2022. Here, 14 million seniors are concerned.
And retirement pensions are not the only ones to increase in 2022! Inflation is (unfortunately) hitting the food sector hard. You must have noticed the soaring prices when shopping. In some departments, prices have soared by more than 40% in less than a year, between January and October 2022. Discover without further delay, our file dedicated to the food products that have increased the most this year:
The rules for increasing supplementary pensions (Agirc-Arrco, for example) differ from those for basic pensions. These supplementary pensions are calculated from the number of points acquired during the career, to which a value of the point is multiplied. Then, the social partners decide on a possible revaluation of the value of this point.
In an attempt to compensate for the galloping inflation observed in recent months, supplementary retirement pensions will increase by 5.12% from the November 1, 2022. A decision taken during the Board of Directors of Agirc-Arrco, on October 6 in the presence of employers’ organizations and trade unions. “This significant revaluation, made possible thanks to the robust financial situation of Agirc-Arrco, was decided after having secured the financial balance of the scheme and its level of reserves over the next 15 years”, welcomed Didier Weckner, president of the regime. The service value of the Agirc-Arrco point will be set at €1.3498, against 1.2841 euros currently. The cost of this system is estimated at 4.5 billion euros over one year.
This increase was decided on the basis of a change in the average salary of +4.82%, to which is added a catch-up of +0.1% in respect of inflation observed in 2021, the social partners have decided to grant the Board of Directors additional leeway of +0.2%, compatible with the plan’s financial trajectory. Here are some concrete examples of the gain you will be able to benefit from with the revaluation of November 1, 2022:
- Additional 500 euros: +€25.60
- Additional 700 euros: +€35.84
- Additional 900 euros: +€46.08
- Additional €1,000: +€51.2
- Additional €1,200: +€61.44
Starting the January 1, 2023them basic pension will already see their third increase in a year. This time, the increase should reach 0.8%. With the latter, the government intends to index pensions to inflation (more than 5% on average over the year 2022). As a reminder, this year, pensions have already increased by 1% in January, and by 4% in July. This new measure in favor of purchasing power concerns 14 million seniors. The retirees concerned are those affiliated with:
- CNAV (national pension fund)
- CNRACL (national fund of local authority agents)
- ERS (state pension service)
- CNAVPL (national old-age insurance fund for the liberal professions).
This increase in pensions concerns all the basic schemes! In other words, the retirement of proper rightthe pensions of reversionthe beneficiaries of theASPA as well as theUPS.
After successive increases of 1% in January 2022, then 4% last July (+60 euros per month for a pension of 1,200 euros), retirement pensions under the basic scheme will experience a further increase in January 2023.
The increase should be around 0.8%, as included in the Social Security financing bill. The government’s objective being to index the rise in pensions to the rise in inflation, measured at 5.6% in September over one year, and which should exceed 5.3% on average over the whole of 2022. With the three successive increases, the increase in pensions could then offset inflation. Here is the full schedule:
- September 9, 2022 : 4% increase for pensions from the basic scheme
- September 28, 2022 : 4% increase for retirees from the State civil service
- September 29, 2022 : 4% increase for retirees from the hospital public service
- November 1, 2022 : increase of 5.12% for complementary Agirc-Arrco
- January 1, 2023 : increase of 0.8% for pensions from the basic scheme
The overall retirement pension for civil servants consists mainly of the basic pension. A supplementary scheme, the “additional public service pension (RAFP)” also exists, but is not affected by the revaluation of retirement pensions. The increase in retirement pensions for civil servants should therefore be the same as for other employees.