The government is seeking new revenue streams to balance its 2027 budget. It is considering subjecting profit-sharing bonuses, employee shareholding bonuses, and employer contributions to group savings plans exceeding €3000 per year to social security contributions. This measure is among the options being considered to reduce the social security deficit . The expected savings would amount to €1 billion.
One billion euros targeted to reduce the deficit
The draft budget for 2027 is due to be presented on September 30th. The government is making numerous decisions within a tight timeframe. Employee savings plans, which have so far been exempt from social security contributions up to certain limits, represent a significant tax opportunity identified by the Ministry of the Economy and Finance . The measure would affect employees receiving the highest bonuses in these plans.
This progressive taxation could alter the attractiveness of employee savings plans for companies that have used them as a compensation tool. Employers' associations have not yet officially reacted to this possibility. The government has not publicly confirmed this approach, which remains at the budgetary decision-making stage.
