Agirc-Arrco contributions: CEG, CET and call rate explained

Quick answer. In 2026, the Agirc-Arrco supplementary pension is levied at 7.87 % on bracket 1 (up to EUR 4,005/month, 1 PASS) and at 21.59 % on bracket 2 (from 1 to 8 PASS), after a 127 % call rate. On top come the CEG (2.15 % on bracket 1 and 2.70 % on bracket 2) and the CET (0.35 % on brackets 1 and 2), the latter only above the ceiling.

On a French payslip, the supplementary pension never appears as a single line. It breaks down into several levies (Agirc-Arrco, CEG, CET, sometimes APEC for executives), each with its own base and rate. This mechanism confuses many business owners, especially when hiring a first executive or reviewing a payslip produced by software.

Recently, the head of an SME consulted us after finding that the cost of an executive far exceeded projections: they had assumed a single rate while the salary crossed the social security ceiling, triggering bracket 2 and the CET. This article lays out the full logic, line by line, so you can read a payslip and anticipate an employer cost without surprises.

The Agirc-Arrco scheme rests on a two-stage mechanism that the Agirc-Arrco sheet sets out precisely.

The first stage is the contractual rate: the rate used to calculate entitlements, that is, the number of points earned. The second is the call rate, set at 127 %, which increases the amount actually levied to fund the scheme's balance. Multiplying the two gives the effective rate (or called rate) shown on the payslip.

Key formula: contractual rate x 127 % = effective rate levied. The portion linked to the call rate generates no additional entitlement: it funds the scheme without creating points.

Contributions then apply by salary bracket, aligned with the annual social security ceiling (PASS), set at EUR 48,060 per year and EUR 4,005 per month in 2026 according to Urssaf. To place these thresholds, revisit the 2026 social security ceiling, which also drives other contributions.

• Bracket 1 (T1): the share of pay up to 1 PASS, i.e. up to EUR 4,005 per month.
• Bracket 2 (T2): the share between 1 and 8 PASS, i.e. from EUR 4,005 to EUR 32,040 per month (from EUR 48,060 to EUR 384,480 per year).

The table below shows the effective rates (after the call rate) and their split between employer and employee, under the standard split of 60 % borne by the employer and 40 % by the employee.

The 7.87 % rate on T1 results from a 6.20 % contractual rate multiplied by 127 %. On T2, the 17 % contractual rate becomes 21.59 % after the call rate. These values come from the Agirc-Arrco rate sheet.

The general balance contribution (CEG) has, since the 2019 Agirc-Arrco merger, funded the cost of early departures and the scheme's charges. It is due from all employees who contribute to Agirc-Arrco, at 2.15 % on T1 and 2.70 % on T2.

The technical balance contribution (CET), at 0.35 % on the combined T1 + T2, is by contrast due only from employees whose pay exceeds the social security ceiling (above 1 PASS, i.e. more than EUR 4,005 per month). An employee paid below the ceiling pays no CET.

Key point for entitlement: neither the CEG, nor the CET, nor the "call" portion of the main contribution earns points. They fund the scheme but do not increase the future pension.

The underestimated risk: crossing the ceiling#

The most frequent risk in the files we handle concerns moving from bracket 1 to bracket 2. As long as an employee stays below EUR 4,005 per month, the cost is limited to T1 and there is no CET. As soon as pay exceeds this ceiling, three effects combine: the T2 contribution (21.59 %), the CEG T2 (2.70 %) and the CET (0.35 % on the total). To cost an executive hire, assuming a single rate underestimates the real cost. This is exactly the point we factor into simulations of variable pay for senior executives.

This breakdown makes more sense in light of how entitlements are calculated, described by Agirc-Arrco.

Only contributions calculated at the contractual rate (6.20 % on T1, 17 % on T2) are converted into points. The conversion uses the reference salary, which is the purchase price of a point, set each year by the scheme. When the pension is liquidated, the annual pension equals the number of points earned multiplied by the point's service value, also set each year.

1. Each month, the contribution at the contractual rate is divided by the year's reference salary to obtain a number of points.
2. These points accumulate over the entire career, on an individual account.
3. At retirement, the total points are multiplied by the prevailing point service value.
4. The call rate, the CEG and the CET do not feed into this points total.

Our reading. For the employee, what matters in the long run is the contractual rate, not the rate shown on the payslip. For the employer, it is the opposite: the effective called rate is what weighs on the payroll. The 2026 point value and reference salary should be checked at the start of each year in the Agirc-Arrco "Parameters" circular before any entitlement calculation.

A compliant payslip must show distinct lines: supplementary pension T1, supplementary pension T2 where applicable, CEG T1, CEG T2, and CET for pay above the ceiling. The rates shown are the effective (called) rates, not the contractual rates.

In digital payroll, these contributions are reported through your nominative social declaration, following the coding guide published by Agirc-Arrco. A bracket or code error in the DSN results in an incorrect points account for the employee and a correction risk for the company.

In practice: securing the setup#

• Check that the software applies the correct PASS (EUR 4,005 per month in 2026) to delimit T1 and T2.
• Verify that the CET only triggers above the ceiling, never below.
• Ensure the employer/employee split respects the standard percentages, unless a more favourable company agreement applies.
• When switching providers, secure the carry-over of your payroll history so that bracket cumulatives and points are not distorted.
• Have the setup reviewed by our payroll and HR team in Paris at the first payroll run for an executive.

An integrated payroll tool such as an integrated payroll and accounting tool limits input errors, but the initial bracket setup remains a control point to secure.

The contribution rates, the 127 % call rate and the PASS are fixed for the year: a mid-year change is rare but possible by agreement. The point value and the reference salary are revalued at the start of each year, which changes accrued entitlements without changing the rate levied. Finally, for executives, an additional APEC contribution may apply; it follows its own rules and should be checked case by case.

This content informs on a general framework. The exact setup of a payroll depends on the collective agreement, the employee's status and the company's situation: a case-by-case check remains necessary, alongside the firm's accounting follow-up.