HR administration and Payroll in France: Understanding the most complex payroll system in Europe
If you are planning to start or expand your business to France, you need to make sure that you comply with the French legislation. Our French payroll services are fully compliant and up-to-date with the current French payroll requirements. If you are a newcomer to the French market, our start-up kit includes assistance in registering with the necessary French authorities. Managing payroll in France is easy with Adm In Me.
French authorities allow foreign companies to expand to France without starting a legal entity. This special status is called ESEF (Entreprise Sans Établissement en France). Companies with no place of business in France) and offers the following advantages:
• Company registration with the local company registry
• Preparing the documents and transmitting them to and from the Notary
• No need to open a branch or subsidiary
• Easy registration with the authorities
• You will be able to register your French employees with all social protection agencies
• Easy termination of the company
Regardless of which type of business you decide to set up in France, our company has a rich experience in providing payroll services and handling HR Administration on your company’s behalf.
Planning to hire in France?
First, you must enter into a contract under French labor law. Employees in France enjoy extensive rights granted by both Labor Code (Code Du Travail) and collective agreements (Conventions Collectives de Travail). The Code describes the minimum conditions of employment such as: working hours, overtime payments, holidays, trial and notice periods, dismissal conditions, health and safety regulations & trade union rights. Collective agreements are negotiated between syndicates and employers’ associations. The specific rights and obligations of both employees and employers are covered in the collective agreements. In France, employment laws cannot be altered or nullified by private agreements between the employee and the employers.
Foreigners working in France are employed under the same working conditions as French citizens, although there are different rules for certain categories of employee, e.g. directors, managers, and factory workers. Part-time employees are entitled to the same rights and benefits (on a pro rate basis) as full-time employees.
The French payroll system is unique in Europe, as it does not deduct tax at source via payroll. However,
that is about to change. The much anticipated pay-as-you-earn (PAYE) system will become mandatory in
2019 and French taxes will be drawn from employees’ wages. The new system was tested in 2017 and
2018 on selected entities and employers.
The tax rates in France in 2018 (for income earned in 2017) are as follows:
• Up to €9,807 → 0%
• €9,807–27,086 → 14%
• €27,086–72,617 → 30%
• €72,617–153,783 → 41%
• €153,783+ → 45%
French Payroll made simple
Our company offers both statutory and company specific HR administration and payroll in France. Our bilingual HR experts keep constant track of changes in the Labor Law as well as collective agreements. Contact us today to talk to an expert and receive your customized offer for HR & payroll services in France.
Contact us to get a free evaluation of your HR and payroll requirements in France or to request the price for our services
Find out more about payroll in France
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