From 2026, the rules for calculating social security contributions for the self-employed will change. This reform, which applies to income received from 2025 onwards, affects several million self-employed workers in France: craftspeople, shopkeepers, members of the liberal professions and majority shareholders.
More than just a technical adjustment, this represents a structural transformation of how social security contributions are calculated, with measurable impacts on cash flow, remuneration and social entitlements.
Prior to the reform, self-employed workers were subject to a system based on two distinct bases :
- one for social security contributions (health, pensions, family allowances)
- another for the CSG-CRDS, which alone accounted for 9.7% of income
This duality resulted in :
- complex calculations
- limited visibility regarding the actual level of contributions
- a significant proportion of deductions without entitling the contributor to benefits
A single tax base to simplify the calculation
The main change introduced by the reform is the introduction of a single tax base.
Social security contributions are now calculated on the basis of business income, after deduction of operating expenses, to which a flat-rate allowance of 26% is applied.
This allowance is subject to the following limits :
- a minimum threshold
- a ceiling based on the Annual Social Security Ceiling (PASS), set at €48,060 in 2026
This new method eliminates the effects of ‘double counting’, improves clarity and stabilises the contribution bases.
A rebalancing of contributions : lower taxes, greater entitlements
La réforme repose également sur une redistribution des prélèvements :
- Baisse de la CSG-CRDS (9,7 % actuellement)
- Augmentation des cotisations contributives (retraite, invalidité, maladie)
Ce rééquilibrage vise à améliorer les droits sociaux des indépendants, notamment :
- une meilleure constitution des droits à la retraite
- une couverture plus cohérente en cas d’aléas de santé
- une logique contributive renforcée
What are the financial implications for the self-employed ?
The reform was designed to be broadly neutral, but its effects vary depending on individual circumstances.
For an average income
For a self-employed person earning around €40,000 a year :
- the overall impact is expected to remain broadly neutral
- with a possible slight variation of a few percentage points in contributions
For higher incomes
For incomes above the PASS threshold :
- the effect of capping the allowance may lead to
- a moderate increase in contributions
- offset by increased social security entitlements
For lower incomes
For those on more modest incomes :
- the reform may be slightly favourable
- notably thanks to the 26% allowance
- a reform that directly impacts remuneration strategy
Beyond the level of contributions, this reform alters certain fundamental balances.
It may influence :
- the trade-off between remuneration and dividends
- the level of remuneration to be paid
- short- and medium-term cash flow management
For example : a change of 2 to 3 percentage points in contributions on a €50,000 basis represents an impact of €1,000 to €1,500 per year, which is not insignificant at company level.
A direct impact on the remuneration strategy
Beyond the level of expenses, this reform alters certain fundamental balances in the management of the business. It may influence the level of remuneration to be paid, the trade-off between remuneration and dividend distribution, as well as short- and medium-term cash flow management.
It affects the vast majority of self-employed workers, whether they are craftspeople, traders, members of the liberal professions or majority shareholders. Only micro-entrepreneurs remain outside the scope of the scheme, as their regime has not been amended at this stage.
In this context, a good understanding of the new mechanisms is essential to ensure sound decision-making and avoid having to make adjustments under pressure.
Plan ahead to safeguard and optimise your situation
The reform of social security contributions offers greater clarity, but its impact varies depending on individual circumstances. At RUFF & ASSOCIÉS, we know that every entrepreneur is unique: that is why anticipating these changes is essential to ensure your decisions are sound, optimise your remuneration and effectively protect your business.
By supporting you every step of the way, we turn these regulatory changes into tangible opportunities. Our teams analyse your situation, identify areas for optimisation and advise you on the decisions to take so you can manage your business with confidence.
The teams at RUFF & ASSOCIÉS are here to assist you in analysing these impacts and help you manage your business with complete peace of mind.
This article was written by the teams at RUFF & ASSOCIÉS Group in March 2026. Please note that this analysis is current as of today and does not take into account any subsequent changes; the data is subject to change.
