Salary Calculator
France
Streamline your international hiring strategy with the Native Teams payroll calculator. Our tool empowers employers to accurately assess the total cost of employment in 85+ countries around the world. By inputting salary information, you'll receive a detailed analysis of all associated expenses, such as taxes, healthcare, and pension contributions, enabling you to make informed hiring decisions.
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How does the salary calculator for France work?
Our payroll calculator for France will help you estimate your net salary based on your gross salary while also taking into account the country’s mandatory deductions and tax regulations.
The calculation begins by inputting your gross salary, from which the calculator deducts France’s required social contributions, including those for health insurance, pension, family allowances, unemployment insurance, social security, and others. Next, the calculator applies a progressive income tax rate, which is calculated based on income brackets.
After all required deductions, including taxes and social contributions, our calculator will generate your net salary - the amount you receive after your salary is taxed.
What is the salary cost in France?
The salary structure in France involves the gross salary, employer contributions, employee contributions, and the net salary as the final take-home pay for employees.
In simple terms, the total cost involves the employer’s costs made to compensate the employee, which includes the gross salary and all employer-paid social contributions.
The employer is obligated to make deductions from the employee’s gross salary for social benefits, including 7.95% for health insurance, 16.45% for pension, 3.55% for family allowance, 4.2% for unemployment insurance, 1.6% for training, and 2.87% for social security.
When it comes to employer’s costs, they are calculated as a percentage of the gross salary, and they don’t impact the employee’s net salary but add to the employer’s total costs. Such costs include basic pension contributions of 7.3%, a supplementary pension of 3.15%, a general balance contribution of 0.85%, social security of 9.6%, and others.
Finally, the employer must also deduct a progressive income tax amount directly from the gross salary before it reaches the employee’s account.
How much tax do you pay in France?
Employers in France are obligated to deduct an income tax rate from their employee’s salaries. The income tax is calculated as a progressive rate, depending on the income level, as follows:
-Income up to €11,294: Tax rate of 0%.
-Income from €11,295 to €28,797: Tax rate of 11%.
-Income from €28,798 to €82,341: Tax rate of 30%.
-Income from €82,342 to €177,106: Tax rate of 41%.
-Income over €177,106: Tax rate of 45%.
*Please note that these rates can vary based on legislative changes.
What the the mandatory employee benefits in France?
Employed individuals in France receive mandatory social benefits supported through contributions from both employers and employees. Such benefits include health insurance, pension and retirement benefits covering basic state pension and supplementary pension, unemployment insurance, family allowances, social security contributions, and others.
Besides social benefits, French employees are entitled to paid annual leave, sick leave, maternity/paternity leave, parental leave, public holidays, and other mandatory provisions.
Are there any other benefits or additional expenses?
Employers in France often provide extra (non-mandatory) employee benefits to increase satisfaction among their employees and attract talent to their teams.
Such benefits often include supplementary health insurance (mutuelle), which covers a large portion of dental, vision, and other medical costs; meal vouchers, which can be used in grocery stores and restaurants; reimbursements for public transportation in urban areas; access to wellness programmes, and other benefits.
What is the difference between gross and net in the France salary calculator?
The terms gross and net salary refer to different amounts on an employee’s paycheck, accounting for a variety of taxes and contributions.
The gross salary represents the total salary agreed upon between the employer and the employee before deductions. It includes the base salary plus bonuses, overtime, and other pre-tax allowances. The gross salary, in fact, forms the basis for calculating mandatory social contributions and taxes.
The net salary is the “take-home” amount the employee actually receives after all deductions are applied to the gross salary. Such deductions include the employee’s portion of social contributions and France’s progressive income tax rate.
Hence, the net salary is much lower than the gross salary due to the mandatory deductions.
How can Native Teams help with employment, salary and taxes in France?
Native Teams provides a simplified, all-in-one solution to help you manage legal employment, salaries, and taxes in France. Our comprehensive solution is designed to simplify your employee and payroll management while ensuring that you hire and work in full compliance with French labour and tax laws.
Using our all-in-one solution and our team’s professional support, you can easily calculate salaries, fulfil your tax obligations, and administer employee benefits to your employees in France. Native Teams will take over your administrative and compliance duties so you can enjoy the peace of mind that all your legal and tax obligations are met efficiently.
