Reform of Combined Employment and Retirement – The 2026 Guide for Businesses

Full vs. Capped Accumulation: Understanding the Two Systems

The system is divided into two main schemes which have very different effects for seniors and for businesses.

On one side, the full cumulative, sometimes called uncapped or liberalized, which offers great freedom of income and entitles the holder to a second pension.

On the other hand, the capped cumulative total, default regime as soon as one of the conditions for full accumulation is not met.

For an HR manager or executive, understanding these two systems is essential to properly advise a senior expert.

The same employee can move from one scheme to another over the years, for example by automatically switching to full accrual at age 67.

This detailed analysis also allows for the sizing of missions and the level of remuneration to be determined without unpleasant surprises.

Conditions for Access to Full Cumulation

The full cumulative is the system to aim for, because it removes income ceilings and allows the creation of new rights.

However, it is only accessible if three conditions are met simultaneously. Therefore, it is important to make an accurate assessment of each senior citizen's situation:

• First, you must have reached the legal retirement age, which is between 62 and 64 depending on your year of birth. Before this age, a truly full accumulation of pension benefits is not possible, even with a very long career. This can easily be verified using your pension statement.
• The retiree must also receive a pension at full rateThis requires either having accrued the required number of quarters for one's generation, or having reached age 67, the age for automatic full pension entitlement. Without this full entitlement, one remains within the limits of the capped pension accumulation.
• Finally, all mandatory basic and supplementary pensions must have been claimed, including those from abroad or from international organizations. This is an often underestimated step, but it is a prerequisite for full pension accumulation. Once these conditions are met, there are no longer any income limits or waiting periods before returning to work, even with the same employer.

HR tip: conduct a comprehensive retirement review 12 to 18 months before The start allows us to verify if the full accumulation will be accessible from the first year.

The Capped Cumulative Income: Rules and Limits 2026

As soon as one of the conditions for full accumulation is not met, the retiree finds himself in capped cumulative totalThis is often the case when retiring with a reduced pension rate due to insufficient quarters of contributions.

The mechanism remains interesting, but it becomes more restrictive and requires careful monitoring.

For a former employee:

• the total of pensions and new gross income must not exceed that is 160% of the minimum wage, or the average of the last three gross salaries., retaining the highest amount;
• In 2025, 160% of the minimum wage represents approximately €2,961 gross per month ;
• Beyond that, the basic pension is reduced or suspended to neutralize the excess.

For a self-employed individual, the ceilings are based on the annual PASS :

• Craftsmen, traders and manufacturers must not exceed 50% you PASS, either €23,550 per yearexcept in assisted areas where the ceiling rises to 100% of the PASS;
• Liberal professions affiliated with the Cnavpl can go up to 47 100 € of business income.

Contributions paid in this context do not create new rights.

In the event of a return to the same employer for a former employee, a period of six months must be observed.

HAS 67 years oldThe retiree automatically switches to full accumulation, which greatly simplifies the framework.

The Second Retirement Pension: A Major Innovation for 2025

The major innovation of the reform is the creation of a second pension for retirees receiving full benefits.

Since January 1, 2023, contributions paid on the new activity no longer disappear without compensation. They allow for the generation of additional rights in the basic pension scheme and, depending on the case, in certain supplementary schemes.

In practical terms, this second pension remains subject to a ceiling. It cannot exceed 5% of the annual Social Security ceiling, either 2 355 € gross per year in 2025, approximately €196 gross per month.

The pension is calculated at the full rate, without reduction, but also without any increase related to children or other criteria. This makes it simple and easy to understand for both the retiree and the company.

This second pension primarily concerns the basic pension scheme, but some supplementary pension funds have adopted it. This is the case, for example, with the Cipav for certain self-employed professionals, which also allows them to build up a second supplementary pension.

For employees, the periods of full cumulative continue to generate Agirc-Arrco points, which further enhances the appeal of the scheme.

A few practical points to remember:

• This second pension is never automatically granted, even if the rights exist. The retiree must apply for it. express request with their respective funds, often via online forms. Our role is often to remind them of this step and to verify that no rights are being overlooked.
• The application requires providing documents such as payslips for the period in question, recent tax assessments, and a bank statement. Some additional communication with the relevant funds may be necessary to clarify certain amounts. We manage these interactions to ensure that neither the senior citizen nor the company is overwhelmed with paperwork.
• Once the second pension has been claimed, it is no longer possible to generate a third, even if the employee resumes work. This encourages careful timing of the claim, depending on the amount of pension rights accrued. For a company, this second pension becomes a powerful incentive to encourage experts to remain on key projects for a few more years.

Self-Employed Retiree Status: A User's Guide 2026

The status of micro-enterprise It remains the preferred option for many active retirees. It appeals because of its administrative simplicity, contributions calculated as a percentage of turnover, and a great deal of organizational freedom.

For a company, it is also a clear framework for working with a former employee who has become self-employed.

In 2026, a self-employed retiree must comply with the turnover limits of the micro-enterprise scheme:

• For sales, catering or accommodation activities, the annual limit is 188 700 € ;
• For service provision and liberal professions, it is set at 77 700 €, under penalty of losing this status after two consecutive years of exceeding the limit.

From a social security perspective, contributions are calculated as a percentage of declared turnover:

• Commercial and craft activities support approximately 12,3 % ;
• Service provision and the liberal professions revolve around 21,2 %.

These contributions entitle you to coverage of health costs and, in some cases, to daily allowances in the event of sick leave.

The tax system also remains simplified. The self-employed individual benefits from a standard deduction for professional expenses, with different rates depending on whether it concerns sales, BIC services, or BNC. He can also, under certain income conditions, opt for the final payment income tax, which allows him to pay the tax at the same time as social security contributions. His income must then be reported each year in the 2042-C-PRO tax return.

In practice:

• Retirees must declare their revenue monthly or quarterly to URSSAF, even if they have no income. Repeatedly failing to declare these figures results in penalties and can hinder certain procedures. We emphasize this point during our support sessions.
• He must also, in parallel, respect the rules of the combining employment and retirementWhether under the full or capped regime, exceeding the income limits can reduce or suspend the pension, even if the turnover remains within the limits of the micro-enterprise regime. It is the combination of these rules that makes support so valuable.
• At the house of Work4ExpertsWe only use this framework when it is truly suited to the expert's project. In many cases, we instead implement a structured independent status in which we manage all the administrative, legal and tax aspects. This provides security for both the senior citizen and the company.