The IRCEM manages supplementary retirement and insurance for more than one million employees of private employers and home employment. Childminders, childcare providers, housekeepers, home care assistants: all these professions contribute to this non-profit joint group, created in 1973. Understanding how the IRCEM operates also means measuring what its insurance guarantees actually cover and identifying areas where protection remains incomplete.
IRCEM Contribution Rates: Employer and Employee Distribution
Private employers often discover the details of IRCEM contributions on their Cesu or Pajemploi pay slip without grasping the breakdown. The updated contribution rates as of January 1, 2024, for the Cesu Family Care service from Urssaf clarify this mechanism.
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| Bracket | Employee Rate | Employer Rate | Total Contribution Rate |
|---|---|---|---|
| Bracket 1 (up to the Social Security ceiling) | 3.15 % | 4.72 % | 7.87 % |
| Bracket 2 (beyond the ceiling) | Employee share: 40 % | Employer share: 60 % | 21.59 % |
The distribution follows a fixed key: 40 % borne by the employee, 60 % for the employer. This ratio applies to both brackets, which distinguishes the IRCEM from certain branch agreements where the distribution varies according to salary level.
For registered family caregivers through the IRCEM supplementary retirement fund, it ensures both the collection of retirement contributions and the financing of the mandatory insurance scheme. This dual function explains why the overall rate seems high compared to other sectors, but it finances two distinct coverages.
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IRCEM Insurance Guarantees: What is Covered and What is Not
The insurance aspect of IRCEM is mandatory for all employees in the sector, regardless of seniority. It is based on the national collective agreement for private employers and home employment, which came into effect in 2022.
The guarantees cover three main risks:
- Death and permanent disability: payment of a capital sum or annuity to the spouse and dependent children. The amount depends on the reference salary calculated over the last twelve months of activity.
- Work stoppage due to illness or accident: daily allowances in addition to those from Social Security, after a waiting period that varies according to the nature of the stoppage.
- Prolonged incapacity for work: disability pension paid in addition to the general disability pension, as long as the employee has not reached the legal retirement age.
However, IRCEM insurance does not cover routine health expenses (consultations, pharmacy, optics). For this coverage, employees must take out individual health insurance or benefit from the health insurance scheme offered by the IRCEM group, which remains optional.
Voluntary Retirement Departure Compensation
Since January 1, 2023, home employees can claim a conventional voluntary retirement departure compensation. This guarantee, stemming from the collective agreement, pools the cost among all employers in the sector through IRCEM Prévoyance.
The calculation is based on a reference salary and seniority in the branch (not with a single employer). This pooling resolves a specific issue in the sector: an employee working for several private employers simultaneously accumulates their overall seniority, which would be impossible in a traditional system linked to a single employment contract.
2023 Pension Reform and IRCEM Employees: Retirement Age and Special Cases
The increase of the legal retirement age from 62 to 64 years also affects employees affiliated with IRCEM. The increase is applied gradually according to the year of birth, following a schedule identical to that of the general scheme.
Two notable exceptions remain. Insured individuals recognized as unfit for work retain the possibility of retiring at 62 years. Recipients of the Disabled Adult Allowance (AAH) benefit from the same retention. In a sector where jobs involve physical constraints (lifting loads, working in the homes of dependent individuals), these exemptions affect a significant portion of IRCEM affiliates.
For employees who do not fall under these cases, the required contribution period for the full rate also increases. The number of IRCEM points accumulated does not change the age rule, but it determines the amount of the supplementary pension. Retiring before the full rate results in a reduction in the IRCEM pension, in addition to the reduction on the basic pension.
IRCEM Points and Calculation of the Supplementary Pension: The Concrete Mechanism
Each contribution paid to IRCEM is converted into retirement points. The purchase value of the point (price paid to acquire a point) and the service value of the point (amount paid per point at retirement) are set annually by the social partners who manage the institution.
The IRCEM supplementary pension is calculated by multiplying the total number of points by the service value. A part-time employee with multiple employers accumulates points across all their declared activities, which is one of the advantages of the pooled system.
Conversely, undeclared periods (black work) generate no points and mechanically reduce the future pension. In a sector where undeclared work remains widespread, this loss of rights represents the most concrete risk for the affected employees.
The IRCEM group provides an online client area allowing users to check their points statement, simulate their future pension, and carry out their procedures. Regularly checking the points statement remains the best way to detect errors or missing periods before they become difficult to correct.