PER / Madelin: deduct up to €88,911 in 2026
For a profitable self-employed worker (travailleur non salarié, TNS), the PER individuel — the successor to the Madelin contract — is one of the largest deductions available: contributions reduce taxable professional income directly, up to a ceiling that can reach €88,911 in 2026. Here is how that ceiling is worked out.
Why the PER TNS is a significant lever
Contributions paid into a PER individuel (or an older Madelin contract) by a self-employed worker are deductible from taxable professional income, within a ceiling set each year. Because the deduction applies before income tax, it lowers the marginal rate you pay on that year’s profit — a meaningfully larger effect for a TNS taxed in a high bracket than the same contribution would have for someone in a lower one.
How the 2026 ceiling is calculated
The deduction ceiling is the higher of two amounts: a fixed floor, or an income-based calculation. The fixed floor is 10% of the PASS (plafond annuel de la sécurité sociale), which is €48,060 in 2026 — so the floor is €4,806. The income-based amount is 10% of professional income (up to 8 PASS) plus 15% of the portion of income between 1 and 8 PASS. The ceiling is the larger of the two — the floor is a minimum guarantee, not an amount added on top of the income-based calculation.
- PASS 2026: €48,060
- Fixed floor: 10% of PASS = €4,806 (a minimum guarantee, not additive)
- Income-based: 10% of professional income up to 8 PASS, plus 15% of income between 1 and 8 PASS
- The ceiling is the MAX of the floor and the income-based amount — never their sum
The maximum: €88,911
The ceiling rises with income up to a cap. At professional income of 8 PASS or above — €384,480 in 2026 — the income-based calculation reaches its maximum, giving a ceiling of €88,911. Beyond that income level, the ceiling does not increase further. For a highly profitable TNS, this makes the PER one of the highest-value deductions in the French tax toolkit.
How the deduction reduces tax
Contributions within the ceiling are deducted directly from taxable professional income, before the progressive income tax scale is applied. For a TNS in a high marginal bracket, that direct deduction can be worth significantly more than the same amount invested outside a tax-advantaged wrapper — on top of building a retirement pot.
Frequently asked
- Is unused PER ceiling from previous years carried forward?
- Carry-forward rules can apply to unused deduction room from recent years, alongside the current-year ceiling. Confirm the exact carry-forward amount available to you with your accountant.
- Does the PER ceiling apply per person or per household?
- The ceiling described here is calculated on the individual professional income of the self-employed worker. A spouse with their own professional income has their own separate ceiling.
- What happens if my income drops below 8 PASS the following year?
- The ceiling is recalculated each year from that year’s professional income, so a lower-income year produces a lower ceiling — the €88,911 maximum is only available at or above €384,480 of professional income for that year.
- Is a Madelin contract still valid, or must I switch to a PER?
- Older Madelin contracts remain in force, and the PER individuel is the current vehicle for new contributions with broadly similar deduction rules. Ask your accountant or insurer whether transferring an existing Madelin contract into a PER makes sense for you.
This article is general information for a one-person company (SASU/EURL or micro-entreprise), not tax advice. Rules and figures change — confirm your situation with your accountant before acting.