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Monaco: Personal Taxation

Social Security Contributions

This page was last updated on 27 February 2021.

Social insurance contributions are payable by both employers and employees and are high. Four organizations collect employer and employee contributions: the Autonomous Pension Fund (CAR), Social Services Compensation Fund (CCSS), National Interprofessional Union for Employment in Industry and Commerce (UNEDIC) and the Supplementary Pension Fund (AMRR).

Contributions are made according to the table below.

Organization Employer Employee Cap (€)
CAR 8.07% 6.55% 4,760
CCSS 15.15% nil 8,500
UNEDIC 4.05% 2.4% 13,076
AMRR 5.85% 3.9% 3,269

The 'cap' in the table is the amount of gross salary to which the contribution is limited.

An employee who is paid part of his wage by way of stock options which can be cashed in and sold at a future point in time may be required to pay social insurance on the value of the option at the time it is realized as if the option had been a salary.

Social insurance contributions, amounting to nearly 50% of salary, are a major disincentive to the hiring of staff and in many ways detract substantially from the advantageous income tax regime which exists in Monaco.

The Principality has concluded social security agreements with France and Italy for retirement and the coverage of medical expenses.

 

 

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