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Purchasing power law: what will change for the French at the start of the school year?


Back to school is fast approaching, and with it a number of changes for our wallet. Thus, the deputies of the National Assembly and the senators validated the amending finance bill at the beginning of August. Let’s find out without further delay what the purchasing power law implies for our daily lives as well as the modifications that accompany it.

The exceptional back-to-school bonus

In order to allow families with the lowest incomes to approach the expenses linked to the start of the school year with more serenity, each adult concerned will receive an exceptional bonus of 50 euros per dependent child. This amount, which will be paid from September 15, will be added to the back-to-school allowance. Thus, more than 10 million households will be able to benefit from this aid, including people who benefit from the social minima, the activity bonus as well as scholarship students.

The abolition of the TV license fee

People who still have to pay housing tax this year will be pleased to note the absence of the TV license fee. The public audiovisual service will indeed now be financed via a share of the VAT collected. The contribution to the audiovisual amounted until then to 138 euros per household in mainland France, 88 euros in the overseas departments, or a total amount of 3.5 billion euros collected.

The deconjugalization of the allowance for disabled adults

This reform obtained the unanimity of the votes. It will allow each disabled adult to receive their compensation without taking into account the income of their spouse, which was the case until now. This change in the methods of calculating the allowance for disabled adults, which is to come into force from 1 October 2023, will therefore offer them greater autonomy.

Fuel price reduction

If there is indeed a subject that concerns all French people today, it is the price of fuel which has very often come to increase the budget of holidays. In order to lighten this dependency item and improve the purchasing power of the French, Les Républicains and the government have decided on a compromise on the gradual reduction of this aid, which will reduce the exceptional reduction per liter of fuel from 18 at 30 centimes for the months of September and October. The reduction will then decrease to 10 cents for the months of November and December.

Mobility aids

The sustainable mobility package and the transport premium will see their income tax exemption limit for the years 2022 and 2023 increase from 500 to 700 euros. The fuel costs included in these amounts will be capped at 400 euros instead of the 200 euros in force until then. At the same time, it will be possible for any employer to finance season tickets for the use of public transport. He will also have the possibility of taking charge of these same subscription costs exempt from income tax and contribution up to 75%. A way to also encourage an ecological gesture on a daily basis.

The revaluation of social benefits and pensions

Social benefits such as the activity bonus, retirement pensions, disabled adult allowance (AAH), family allowances or the active solidarity income (RSA), to name a few, will be revalued in advance in being indexed to inflation of 4%, retroactive to July 1.

Capping rent increases at 3.5%

Good news for people who are tenants of their accommodation: the increase in the amount of rents cannot exceed 3.5% for a whole year. This measure also concerns the leases of companies with less than 250 employees, shops, accommodation that does not have all the guarantees of comfort. Similarly, any complete power outage must be preceded by a month of power reduction.

Encouragement of overtime and monetization of RTT

While overtime already benefits from an exemption from social contributions, their income tax exemption ceiling should increase from 5,000 to 7,000 euros.

Similarly, employers with 50 to 250 employees will benefit from a fixed reduction of 50 cents on overtime worked by their employees.

Finally, the RTT finally worked between January 1, 2022 and December 31, 2025 will see their salary increased by the rate of increase of the first additional applied in the company, subject to an agreement of the employer. These hours will benefit from a fiscal and social regime identical to overtime.

The extension of the “Ségur de la santé” measures

While certain professions such as patrol teams, child nurses, judicial child protection services or even child welfare personnel were not included in the “Ségur de health”, they will benefit from the salary increases provided for in this plan.

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