Last up dating on Tuesday 15 February 2022
For more information on inflation allowance (beneficiaries, eligibility conditions or payment modalities) see our latest news below.
In order to deal with the impact of inflation on French people's purchasing power, the government decided to grant an "inflation allowance" i.e. an exceptional aid of 100 €, which will be paid in a single instalment to people who meet the eligibility criteria.
This allowance is not subject to any social or fiscal contribution.
Employees living in France with an employment contract in October 2021 whose remuneration does not exceed €26,000 gross over the reference period (January 1st - October 31, 2021) are entitled to the inflation allowance.
It is the employer's responsibility to pay inflation allowance to eligible employees from December 2021.
The amount of the declared sums will be deducted from social contributions due to Urssaf.
- If you pay your contributions by direct debit, the total amount of these indemnities paid to your employees will be automatically deducted by the Urssaf from the contributions due under the January 2022 contribution statement (due February 15, 2022).
- If you pay your contributions by transfer, you must deduct the total amount of these indemnities paid to your employees contributions due under the contribution statement for February 2022 (due March 15, 2022).
In the event of a further modification of your declarations, adjustments will be necessary.
From now on, you can declare the inflation allowance under heading "Bonuses and allowances" in the December 2021 social security voucher. If your employee left the company during the months of October or November, you must amend the last social voucher of the contract.
For more information on how to report the inflation allowance, see this factsheet.
A summary certificate of the declared inflation allowance is now available in the “Print-outs” section of your employer area.
In the event of a further modification of your declarations, this certificate will be updated as soon as the contribution statement is made available.