The cumulative job retirement less advantageous if you liquidate your pension before 67 years?

In a report presented Monday, May 26, the Court of Auditors recommends reducing the amount of the pension paid within the framework of the accumulation of retirement from all or part of the income received until the full -rate retirement age.

• 
  

  To safeguard
  

  
  
  

  Saved
  

THE Cumulation retirement employment is in the viewfinder of the Court of Auditors. Judge “Contradictory with the objectives aimed at encouraging the postponement of the age of retirement liquidation” In their report on the application of social security financing laws presented on Monday, May 26, this mechanism must be reformed according to the wise men on rue Cambon. In question: a poorly supervised and very expensive device, which benefits far too many profiles far from its target, namely “To professions in tension or modest retirees who wish to obtain additional income”.

Created in 1945 and reformed many occasions, this mechanism makes it possible to recall retirement and activity income. A cumulation which can be partial or total, if the insured has liquidated all of its basic and complementary pensions with the number of quarters necessary for theObtaining full rate or that he reached the age of cancellation of the discount (Age of the full rate), set at 67 years. Conditions far too generous for the 710,000 retirees benefiting from the accumulation of retirement in 2020.

“Many OECD countries provide for a cap in income from retirees before the age of automatic obtaining the full rate (67 years in France). France is distinguished by more accommodating regulations »deplores the institution. The “cumulators” indeed have very comfortable resources compared to other retirees, namely an annual amount of average pension of 21,577 euros, 20% more than all retirees (18,384 euros). “The supplement of income provided by the cumulative salary was on average 9,255 euros gross per year, equivalent to a half-time in the minimum wage or a quarter of a time at the average salary”adds the courtyard. In total, the net income of people in cumulative employment retirement thus reaches 2,300 euros per month, against 2,518 euros for assets, she compares.

A device that benefits above all the richest retirees

Another illustration of the problem raised by the accumulation of retirement and revenues, according to the Elders, in 2020, around 10% of the beneficiaries of the system under the age of 67 benefited from a retirement greater than the national average of 18,000 euros and at the same time received even higher income, for a total of 36,000 euros. Even more speaking, among the 2.5% of employees in cumulative employment retirement in 2020, “20% of them were 62 or 63 (…). More than 15% had annual wage income more than 100,000 euros while benefiting from an average annual pension amount of 61,000 euros, much higher than the average (18,000 euros) ”underlines the court.

While modest pensioners are only a minority of beneficiaries of the cumulation of retirement, the Court of Auditors therefore calls to put an end to the dumplings of the system, “By providing for the crushing of pensions served by basic diets up to all or part of activity income until the insured has reached the age of automatic obtaining the full rate”. In other words, to decrease the pension served up to all of the affected activity income, or at least a game. A reform which, according to it, would allow to refocus the mechanism on retirees with limited income and to encourage activity beyond the only Legal retirement age called to increase in the coming years, “What is more favorable to the balance of social accounts”. Such a reform would indeed make it possible to generate nearly 400 million savings in the long term, according to its costing.