Retirees really too rich to benefit from the tax reduction of 10%?

According to the Court of Auditors, the standard of living of our retirees is much higher than that of our European neighbors. But if we compare it to the situation of French assets, this is another story.

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While the government is trying to find 40 billion euros in savings for the 2026 budget, the tax reduction of 10% which currently benefit from retirees may well be one of the main levers envisaged. Indeed, the abolition of this tax gift would represent no less than Five billion euros in savings per year. The idea agitates the corridors of Bercy, without any decision having been decided yet. Neither Eric Lombard, Minister of the Economy, nor Catherine Vautrin, Minister of Labor, gave a clear response. “No taboo”blows the first; “Nothing is arbitrated”assures the second.

Yet, The only evocation This deletion is enough to make jump. Laurent Wauquiez, leader of LR deputies, has already warned at the microphone of Franceinfo on April 23: “We will not vote for a budget that penalizes retirees.»» In public opinion too, the subject divides. According to an Elabe poll published the same day, 54% French people believe that retirees have a lower standard of living than assets. A reality?

Retirees have a financial situation “Relatively favorable”

Not necessarily, according to the Court of Auditors. In its report published last February, the institution is clear: with an average pension amounting to 1,626 euros gross per month at the end of 2022, “Retirees benefit from a relatively favorable financial situation compared to the rest of the population, in particular with a lower poverty rate”. The wise men of rue Cambon ensure that in 2022, 10.8% of retirees live below the poverty lineagainst 14.4% for the entire population.

Even internationallyFrench retirees are rather pulling out of the game. “In France, the standard of living of retirees is similar to that of assets, while it is a little lower in Germany and in the average of the OECD countries”notes the court, which evokes a ratio (standard of living of retirees / standard of living of workers) of 99.8% for France against 87.8% for our German neighbors. Clearly, French retirees live almost as well as assets. Because even with slightly lower raw income, the standard of living of retirees, often ownerscatches up with that of assets, which still often have a rent to pay or a mortgage to be reimbursed.

Especially since retirees benefit from a well -registered advantage in the law: their pensions are automatically indexed to inflationin accordance with the social security code. This rule applies to all basic regimes, without distinction. On the employee side, the story is very different: the revaluation of their salary according to prices only concerns those paid in the minimum wage – or only 14.6% of private employees in 2024, around 2.7 million people.

The steam will be overturned by 2045

But the Court of Auditors warns that this enviable situation of retirees should not last. Because if the standard of living of retirees remains today equivalent to that of the French, “He should become lower on average than assets»» within 20 years. First, because pensions will progress much slower than all wages. According to the Court, the average net pension should only increase “0.2 to 0.3% per year between 2025 and 2045”when, at the same time, the average activity income would climb from “0.8 to 0.9% per year”. The institution points to a structural cause: “Productivity gains will benefit mainly on activity income»». While pensions will remain by definition indexed “Mainly on inflation”. As a result, the difference in standard of living will be widen over the years.

Some retirees will not need to wait 2045 to see their standard of living drop. It’s already a reality for womenwhose direct law pensions remain lower by 38% to those of men – a gap which is reduced to only 26% by counting reversion pensions. The Court of Auditors points out the well -known reasons: “Skiller on average careers, often interrupted for the education of children, a more frequent recourse to part -time and lower wages.”