Originally, companies could pay their employees up to 1,000 euros, or even 2,000 euros under certain conditions, as part of the Macron Bonus if they earned less than three times the minimum wage. This bonus had the advantage of being completely exempt from taxes and social security contributions, including the CSG.
The Macron Bonus: A Continuous Success Since 2018
Since its introduction, the Macron bonus has undergone several extensions and modifications. Until March 31, 2022, the payment conditions remained relatively similar, benefiting several million employees. In 2021, it was widely paid by companies, with an average amount of 542 euros per beneficiary.
In July 2022, the ceiling for the bonus was increased to 3,000 euros, and even 6,000 euros if the company has a profit-sharing or participation agreement. This bonus has been extended to all employees, but with a tax and social security exemption only for salaries below 3 times the minimum wage, and this until the end of 2023.
Macron Bonus 2024: The Return of Taxes
However, the windfall is soon to be over… for both employees and employers. The government wants to replenish the coffers as the country’s debt explodes, and is looking for all means to do so. Naturally, this involves an increase in taxes. And the Macron Bonus is not spared.
As of January 1, 2024, a major change will take place: most bonuses will be subject to income tax and social security contributions. Adopted by the Senate, this decision marks a turning point in the management of the PPV. However, an exception: companies with fewer than 50 employees will be able to continue to pay tax-exempt bonuses to employees earning less than 3 times the minimum wage until the end of 2026.
Macron Bonus 2024: Less Money for Employees?
The payment of the Macron Bonus remains at the discretion of the employer. All employees linked to the company, including public officials, temporary workers, and disabled workers, are eligible. The bonus cannot replace a pay raise provided for by a wage agreement and can be adjusted based on various criteria such as salary, seniority, or working hours.
This taxation could prompt employers to reduce the number of bonuses awarded, thus affecting the net amount received by employees. In 2022, the value-sharing bonus benefited more than 5.5 million employees for an average amount of 789 euros. But with taxation, the amounts and number of bonuses paid could drop. It must be said that the additional cost is significant for both employers and beneficiaries: the taxation of these bonuses is expected to bring in about 200 million euros to the state and 500 million euros to the Social Security funds in 2024.
#des #impôts #tout
publish_date]
