Retirement Savings Plan (RIP) - Collective company PER

Verified 30 juin 2025 - Legal and Administrative Information Directorate (Prime Minister), Ministry of Finance

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  • This is a collective company PER
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The collective company PER (also called PERECO or PERECOL) is a plan open to all employees of a company, without the obligation to subscribe. This new product is the successor to Perco, which can no longer be implemented since the 1er October 2020. Your company can transform Perco into a collective company PER. The new plan entitles you to tax benefits and your rights are transferable to other PERs. The end of the plan is the retirement age, but with cases of early release.

Collective company PERE (also known as PERECO or PERECOL) is a long-term savings product. It allows you to save during your period of activity to get, with the help of your company, a capital or a rent at retirement age. The implementation of this plan by the company is optional.

All companies can offer a collective company PER to their employees, even if they have not put in place a company savings plan (PEE).

The plan must be open to all employees. However, a seniority condition may be required (3 months maximum).

Membership is optional, but the regulation may provide for automatic membership for all employees. In this case, you must be informed of your membership, under the conditions laid down in the regulation. You then have 15 days to make it known that you refuse to adhere to the plan.

If you change your company, you can transfer your collective company PER:

  • in the PER of your new business
  • or in an individual RIP.

FYI  

In a company with less than 250 employees, the company manager’s Civil partnership partner who has the status of employee may also benefit from the collective company PERP.

The collective company ERP may be set up at company level, or in a business-to-business framework.

The plan may be set up at the initiative of the company managers or by agreement with the employees' representatives. Where there is at least one trade union representative or social and economic committee in the company (ESC), the employer is obliged to conduct prior negotiations with them before creating the plan.

The company may choose to combine the voluntary group savings plan and the mandatory group savings plan in a single plan. Old savings plans, such as Perco and section 83, can be transferred into a single plan.

Origin of funds

Each PER, whether individual or collective, is organized in 3 separate compartments according to the origin of the funds feeding it :

  • Compartment 1 (individual compartment) receives voluntary payments from the plan holder. Within this compartment, in order to determine the tax applicable on leaving the plan, the managing bodies shall distinguish between two categories of payments:
    • voluntary payments deductible from the plan holder's taxable income,
    • and voluntary payments for which the holder waives a tax deduction at the time of payment.
  • Compartment 2 (collective compartment) shall be financed by payments from the employer of the holder of the plan. It accounts for the money raised by wage savings.
  • Compartment 3 (category compartment) collects the employer’s compulsory contributions, possibly supplemented by the employee’s compulsory contributions if the company agreement so provides.

Managed management

Unless otherwise stated by you, the management of the amounts paid out of the RIP follows the principle of managed management. This means that when retirement is distant, savings can be invested in riskier, more remunerative assets. As we approach retirement age, savings are increasingly being channeled into less risky assets.

The collective company PER must offer you at least one alternative investment vehicle, which notably allows you to invest in a solidarity fund.

Informing the employee

When you are hired, the employer must give you a payroll savings booklet indicating the arrangements put in place in the company.

If the company has a collective company PER in place, it must provide you with a settlement that informs you of the plan and its content.

Each year, the manager must provide you with the following information:

  • Evolution of savings
  • Financial performance of investments
  • Amount of charges levied
  • Conditions for transferring the plan.

From 5e year before retirement age, you can ask the PER manager about exit opportunities that are appropriate for your situation.

Payments by the employee

You can feed your collective company PER with:

  • Voluntary payments
  • Sums from profit-sharing
  • Sums from the participation
  • Payments of all or part of the Value Sharing Premium (VPP) or company Valuation Sharing Plan (VPP) premium
  • Entitlements registered on a time savings account (CET)
  • In the absence of the TRC, amounts corresponding to untaken rest days, up to a maximum of 10 per year.

You can also transfer to your collective company PER amounts from another company PER, an individual PER or another retirement savings product (PERP, Madelin, Perco, etc.).

As long as you work in the company, the costs associated with managing the collective PER are covered by your employer.

Employer Payments

The collective company ERP may be financed by supplementary company payments, known as abundances. The abundance may not exceed 3 times the amount you yourself paid, or be more than €7,536.

In addition, even in the absence of payment by the employee, if the plan regulations so provide, the company may make an initial and periodic abundance.

You can recover the savings early, as a one-time payment, in the following cases:

  • Disability (you, your children, your spouse or Civil partnership partner)
  • Death of your spouse or Civil partnership partner
  • Expiry of your unemployment insurance benefits
  • Over-indebtedness (in this case, the over-indebtedness commission has to write to the managing body of the ERP)
  • Termination of self-employed activity following a judgment on winding up by a court
  • Purchase of your principal residence (but in this case the rights from compulsory payments remain blocked).

Your collective company PER can be released as soon as possible on the date of receipt of your retirement pension or when you have reached the legal retirement age (between 62 and 64 years depending on your year of birth).

You can request that the savings from the installments in your RIP be paid:

  • or capital,
  • or a life annuity,
  • or partly in capital and annuity.

Savings from compulsory payments in a company RIP are paid only as an annuity.

But if the monthly amount of the annuity does not exceed €110, the annuity may be converted into capital by mutual agreement between the insurer and the beneficiary of the annuity.

This possibility of conversion (or redemption) exists at the time of the release of the RIP or even later when these small annuities are already being paid.

If you die, the plan will not be automatically closed.

The money you have saved will be repaid to your heirs or to the beneficiaries which you have designated in the contract, in the form of capital or rent.

If the plan is in the form of a securities account, the savings are included in the estate.

If it is a plan that has resulted in the enrollment of a group insurance contract, the amounts saved will be repaid to one or more of the beneficiaries that you have designated in the contract, depending on the life insurance rules.

Please note

In case of death after 70 years, the sums paid by the insurer (savings and earnings) are subject to the inheritance tax after application of a abatement of €30,500.

This rebate is global and must be shared among the beneficiaries and allocated according to their share in the taxable amounts.

Inheritance tax is calculated according to the relationship between each beneficiary and the deceased RIP holder.

Entry taxation

Voluntary and mandatory payments you make to a company RIP in a year are deductible from your taxable income in that year. This deduction shall not exceed an overall ceiling amount set for each member of the tax shelter.

For the year 2025, the ceiling on payments to your RIP is equal to the greater of the following 2 amounts:

  • 10% of 2024 professional income, net of social contributions and professional expenses, with a maximum deduction of €35,194,
  • or €4,637 if this amount is higher.

If you do not deduct voluntary payments from your taxable income, you will be taxed only on capital gains at the time of payment. liquidation savings.

Payments into an ERP of amounts and entitlements arising from company wage savings (profit-sharing, participation, employer contributions) are exempt from income tax.

Exit taxation

The output tax depends on the nature of the payments which fed into the RIP, and the method of liquidation savings (annuity or capital).

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Voluntary payments deducted for tax purposes

Annuity Exit

The annuity is taxable at income tax, in accordance with the rules applicable to retirement pensions.

The amount of the annuity must be reported and added to your taxable income in the category of pensions, pensions and annuities. On all income in this category, the tax administration automatically applies a abatement of 10%, subject to an annual ceiling per tax household.

Of social security contributions shall also apply to a fraction of the annuity. It varies according to your age at the date of release of the annuity. The rate of social security contributions is 17.2%.

Capital outflow

The share of capital received corresponding to voluntary payments shall be taxed on the progressive scale of income tax.

In practice, the share of capital corresponding to your voluntary payments (already deducted from your taxable income in the year of the payments) is added to your taxable income in the year of the exit, in the category of retirement pensions. This share of capital is taxable without the reduction of 10%.

The share of capital corresponding to the interest generated by the contract is subject to a lump sum levy (PFU) of 30%, corresponding to 12.8% income tax and 17.2% in respect of social security contributions. The bank shall make the withdrawal of 30% before paying you the principal.

Voluntary payments not deducted from tax

Annuity Exit

The annuity is taxable at income tax according to the applicable rules life annuities for consideration. This is a tax system that only addresses a fraction of the annuity which takes into account your age at the date of release of the annuity.

Thus, your age at 1er payment of the annuity determines the taxable portion of the annuity, this portion is:

  • 70% if you were under 50
  • 50% if you were between 50 and 59
  • 40% if you were between 60 and 69
  • 30% if you were over 69.

The taxable portion of the annuity is also subject to social security contributions. The rate of social security contributions is 17.2%.

Capital outflow

The share of capital corresponding to voluntary payments not deducted from tax is exempt from income tax and social security contributions.

The share of capital corresponding to the interest generated by the contract shall be subject to a lump-sum deduction of 30%.

This levy corresponds to income tax of 12.8% and social security contributions up to 17.2%.

The compulsory flat-rate non-discharge levy of 12.8% is paid as income tax at the time of payment of interest.

You can apply to be exempt from the lump sum levy if your reference tax income for the penultimate year is less than €25,000 (€50,000 for a couple).

For an exemption request made in 2025, it is your 2023 benchmark tax income that must be taken into account.

The application is to be sent to the financial institution that pays you the income at the latest 30 November of the year preceding the year of payment (before 30 November 2025 to benefit from an exemption in 2026).

In general, the institution will send you an honorary attestation form to return to the institution if you meet the conditions.

Payments from salary savings in company

Payments from wage savings in company (profit-sharing, participation, abundances of employers) can be liquidated as an annuity or as capital.

Annuity Exit

The annuity corresponding to the payroll savings payments is taxable against income tax according to the rules applicable to life annuities for consideration. This is a tax system that only addresses a fraction of the annuity which takes into account your age at the date of release of the annuity.

Thus, your age at 1erpayment of the annuity determines the taxable portion of the annuity, this portion is:

  • 70% if you were under 50
  • 50% if you were between 50 and 59
  • 40% if you were between 60 and 69
  • 30% if you were over 69.

The taxable portion of the annuity is also subject to social security contributions . The rate of social security contributions is 17.2%.

Capital outflow

The share of capital corresponding to payments from wage savings is not subject to income tax.

Mandatory payments

Savings from compulsory payments in a company RIP are paid only as an annuity.

The annuity is taxed on income tax, according to the rules applicable to retirement pensions, and social security contributions.

But if the monthly amount of the annuity does not exceed €110, the annuity may be converted into capital by mutual agreement between the insurer and the beneficiary of the annuity.

This possibility of conversion exists at the time of the release of the RIP or even after when the annuities are already being paid.

In this case, the share of capital corresponding to the company's compulsory payments is subject to income tax, in the category of pensions and pensions, but without application of the 10%.

The share of capital corresponding to the gains is subject to the flat-rate levy of 30%, but with the possibility of an option for the application of the progressive income tax scale.

The UTP is income tax equal to 12.8% and social security contributions up to 17.2%.

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Transfer of old savings products to the Pereco

You can transfer retirement savings products that existed before 1er October 2019 on the collective company ERP:

  • Popular Retirement Savings Plan - Perp
  • Madelin Contract
  • Prefon
  • Group Retirement Savings Plan - Perco
  • Mutual pension supplement - Corem
  • Hospital Retirement Supplement - CRH
  • Article 83 contract.

The transfer must take place within a maximum of 4 months.

In case of delay, you can refer the matter to the Ombudsman of the Autorité des marchés financiers.

Who shall I contact

  • Ombudsman of the Autorité des marchés financiers (AMF)

    If you encounter a difficulty with a financial intermediary or a listed business, you can refer the matter to the AMF Ombudsman.

    Caution : before submitting your complaint, make sure that your request falls within the AMF's jurisdiction.

    By E-mail

    Access to contact form

    By mail

    Ombudsman of the Autorité des marchés financiers

    17 place de la Bourse

    75082 PARIS CEDEX 02

    By telephone

    01 53 45 60 00

In the event of a transfer of sums saved on a Perco to a collective company savings plan, the social security contributions in force at the time of the deposits are kept.

FYI  

The tax advantage linked to the transfer of an insurance contract of more than 8 years to a PER (doubling of the deductions related to detention) ceased on December 31, 2022.

Transfer of the collective company PER to another PER

You can transfer the accumulated savings from the collective company PER to all other PERs. The transfer is possible at any time when you have left the company.

If you are still in the company, the transfer is also possible, but within the limit of one transfer every 3 years.

The transfer is free if you have held the product for at least 5 years. If you have held the product for less than 5 years, the transfer fee may be charged, up to 1% of the outstanding amount.

The transfer must take place within a maximum period of 3 months.

In case of delay, you can refer the matter to the Ombudsman of the Autorité des marchés financiers.

Who shall I contact

  • Ombudsman of the Autorité des marchés financiers (AMF)

    If you encounter a difficulty with a financial intermediary or a listed business, you can refer the matter to the AMF Ombudsman.

    Caution : before submitting your complaint, make sure that your request falls within the AMF's jurisdiction.

    By E-mail

    Access to contact form

    By mail

    Ombudsman of the Autorité des marchés financiers

    17 place de la Bourse

    75082 PARIS CEDEX 02

    By telephone

    01 53 45 60 00