Knowing how much your future pension will be is one of the major and understandable concerns of people approaching retirement age. Many websites and simulators make it possible to obtain a personalized estimate as close as possible to the amount of future retirement pensions. Understanding the elements taken into account for the calculation of the amount of the pension also allows an estimate of future pensions. Explanations
The amount of the basic pension for employees in the private sector is calculated taking into account earned income, insurance period and retirement age. Certain situations allow the amount of the basic pension to be increased.
The amount of the pension depends on the average annual salary, i.e. the average of the 25 best annual earnings of the employee. Please note:income from the year of retirement is not included in this average annual income.
The calculation of the amount of a pension also depends on the duration of the employee's insurance, that is to say the number of quarters that he has validated by working. These quarters are those for which the employee has paid old-age contributions, those which correspond to periods of work interruption (unemployment, illness, invalidity, maternity, accident at work, national service, etc.), as well as the increased quarters on the occasion of the birth and education of a child, parental leave, etc. An employee who does not have the necessary number of quarters will see the amount of his pension reduced. All private sector employees can find out their number of validated quarters (as well as a lot of information on retirement in general) in their personal space on the Assurance Retraite website.
For employees born after 1955, the legal retirement age is 62. However, to benefit from a pension amount at the maximum rate, you must have validated the number of quarters required. If this is not the case, the employee who decides to cease his professional activity to retire will see his amount reduced.
The combination of the retirement age and the employee's insurance period determines what is called the "pension rate". When all the quarters are validated, we speak of a full-rate retirement (known as 50%). Once these indicators have been assessed, the employee can apply the following formula to estimate his future retirement:"average annual salary x pension rate x insurance period / reference period to obtain a full pension".
Other elements that increase the amount of his future pension may be taken into account:employees who have had 3 or more children benefit from a 10% increase; if the employee retires for incapacity for work or if he needs constant assistance to perform the ordinary acts of life, a 10% increase also applies; there is a specific increase for disabled insured persons.
To facilitate the estimation of the amount of his future retirement, simulators make it possible to obtain an answer very close to reality. This is particularly the case of the one made available on Info Retraite and which concerns all future retirees (private sector employees, civil servants, self-employed). All you have to do is register on the site and access your personal retirement account.
With regard to supplementary pensions, the two Agirc-Arrco funds also offer their affiliates a simulator available online to calculate the amount of their future pension.
