France: New obligations regarding the establishment of payslips

As of July 1, 2023, all payslips will have to indicate the net amount of the employee’s monthly salary after deduction of all social security charges (i.e., the amount resulting from the subtraction to the employee’s gross monthly remuneration of the social security charges to be paid on this gross remuneration), called the “net social amount”. Today, pay slips only have to indicate the amount of the employee’s gross salary, the amount of withholding tax and the amount of the sum paid to the employee. The objective, in adding the mandatory reference to this “net social amount”, is to make it easier for individuals who have to declare these amounts to social organisms in order to benefit from some rights intended for employees with lower revenues.

More generally, in 2025, payslips will evolve more generally, with the objective of facilitating the understanding of these pay slips (distinction between mandatory and facultative social charges, division into separate headings, etc.).

Key Action Points for Human Resources and In-house Counsel

Ensure that by July 2023, the payslips established by the company comply with this new obligation.