For the self-employed, social security contributions refer to all payments made to the social security administration and to private schemes to finance their social protection.
They are essential to enable each worker to finance the various public schemes and organizations in charge of social protection : health insurance, retirement, industrial accidents, unemployment, supplementary pensions, etc.
Formerly managed by the Régime Social des Indépendants (RSI), social protection for the self-employed is now integrated into the general Social Security system. general Social Security scheme. This transition is automatic and requires no action on your part.
Let's find out everything you need to know about social security contributions for the self-employed in 2021.
Social Security for the self-employed is a new public scheme created to manage the social protection of the self-employed.
It replaces the RSI (Social Regime for the Self-Employed), widely criticized for its lack of efficiency and the imperfections of the health cover offered.
From now on, all self-employed workers will belong to the general social security scheme managed by the health insurance and URSSAF agencies. It is important to stress that this reform has not altered the rights of self-employed workers.
Social security for the self-employed covers anyone working on their own account (i.e. without a salaried relationship with an employer). The main categories are listed below:
- Craftsmen and retailers
- The micro-entrepreneurs
- Self-employed professionals
- Certain non-salaried company directors or partners
- Persons with the status of "conjoint-collaborateur" for certain shopkeepers or craftsmen
- Certain specific professions, such as sales agents, driving school operators, private school principals, etc.
Social security contributions are calculated on the basis of your professional income declared for income tax purposes.
This calculation base does not take into account any tax exemptions.
On the other hand, it includes the amount of dividends received (only the fraction exceeding 10% of the share capital held, or 10% of affected assets for EIRLs) and the flat-rate tax allowance of 10% for professional expenses.
To find out the amount of your contributions, go to the Sécurité sociale des indépendants website, heading "Annual contributions.
Social security contributions for the self-employed are proportional to the income generated during the period, with a minimum amount for low or zero income.
At the beginning of the year, you pay provisional social security contributions, calculated on the basis of your income for year n-1. Once you have filed your DSI (Déclaration sociale des indépendants) in year n, your social security contributions are adjusted according to your declared income.
The DSI allows you to adjust your situation according to the positive or negative variation in your income from one year to the next. If your income has increased, you are obliged to pay additional contributions.
If your income has decreased, you will receive an overpayment from URSSAF.
Since January1, 2020, URSSAF has been managing social security contributions for the self-employed, and the Assurance Maladie is responsible for your healthcare costs. For your pension, you need to contact the pension insurance fund where you live.
The integration of the various social security schemes is designed to simplify administrative procedures and the payment of social security contributions for all self-employed people. If you have any questions about your social protection, please visit our website: www.secu-independants.fr.
Written by our expert Paul LASBARRERES-CANDAU
February 9, 2021
