- The RFR (revenu fiscal de référence) is your household reference income — the figure on the front page of your annual French tax assessment notice
- It is not the same as your taxable income and is often higher (because it includes income that was deducted for tax purposes but is added back for the RFR calculation)
- Your RFR from two years ago determines your social charges rate on pension income this year — so a windfall in 2024 affects your bill in 2026
- If you hold an S1, your pension income is exempt from social charges regardless of RFR — but your RFR still affects property tax, CAF benefits, and other entitlements
There is a number on the front page of your French tax assessment notice that quietly controls more of your financial life in France than almost anything else. Most people glance at it and move on. But the RFR — your household reference income — determines your social charges rate, your property tax thresholds, your access to CAF benefits, and more.
For a broader overview of the French tax system, see How the French Tax System Works.
What the RFR Actually Is
The RFR (revenu fiscal de référence — household reference income) is a figure calculated from your annual tax return that appears on your Avis d'Impôt (tax assessment notice). It is not the same as your taxable income. It is a broader measure designed to capture your household's true economic position.
It is clearly labelled on the front page of your Avis d'Impôt — look for the words revenu fiscal de référence or the abbreviation RFR. For most households it appears in a summary box near the top of the first page.
Why the RFR Is Higher Than Your Taxable Income
Your taxable income has various deductions applied — the 10% pension reduction, certain allowances, CSG deductions from the previous year. The RFR adds some of those back in.
Common items that increase your RFR above your taxable income:
- Dividend income — the 40% tax-free allowance reduces your taxable income but the gross dividend is included in the RFR
- Investment income taxed at a flat rate (PFU) — included in the RFR even though it's taxed separately
- Treaty-exempt income — UK Government Service Pensions are exempt from French income tax but are included in the RFR
- Previous year's CSG deduction — added back into the RFR
This means your RFR can be meaningfully higher than the income figure you think you're being taxed on. That matters because the RFR is used for most means-testing purposes — and a higher RFR can mean losing certain benefits.
What the RFR Controls
1. Your social charges rate on pension income
This is the most significant financial impact for most UK expats. The rate you pay on pension income depends on your RFR from two years ago — not the current year.
For the 2026 declaration (covering 2025 income), the relevant RFR is from your 2024 Avis d'Impôt (your 2025 tax notice).
2026 RFR thresholds for social charges on pension income:
| Household shares | Exempt (0%) | Reduced (3.8%) | Median (6.6%) | Standard (8.3%) |
|---|---|---|---|---|
| 1 share (single) | ≤ €13,048 | €13,049–€17,057 | €17,058–€26,472 | ≥ €26,473 |
| 1.5 shares | ≤ €16,532 | €16,533–€21,612 | €21,613–€33,538 | ≥ €33,539 |
| 2 shares (couple) | ≤ €20,016 | €20,017–€26,167 | €26,168–€40,604 | ≥ €40,605 |
| 2.5 shares | ≤ €23,500 | €23,501–€30,722 | €30,723–€47,670 | ≥ €47,671 |
| 3 shares | ≤ €26,984 | €26,985–€35,277 | €35,278–€54,736 | ≥ €54,737 |
| Each extra ½ share | +€3,484 | +€4,555 | +€7,066 | +€7,066 |
Source: CNRACL — thresholds revalued +1.8% for 2026. RFR used is N-2 — for 2026, use your 2024 RFR from your 2025 Avis d'Impôt.
Current thresholds are always on the Taxpert data page.
If you hold an S1: Your pension income is fully exempt from social charges regardless of your RFR. The RFR thresholds above apply only to non-S1 holders. However your RFR still affects everything else listed below.
2. Property tax reductions
France offers reductions and exemptions on taxe foncière (property tax) for lower-income households. Eligibility is assessed against RFR thresholds. If your RFR is below the relevant threshold for your household size, you may qualify for a partial or full exemption. These thresholds are published annually by the tax authority.
3. CAF benefits
The Caisse d'Allocations Familiales (CAF — the French family benefits office) uses the RFR to determine eligibility for subsidised childcare, school meal contributions, housing assistance, and activity vouchers. Note: the CAF uses its own version of household income which may differ slightly from the tax RFR — but the two are closely linked.
4. Other means-tested entitlements
Various other schemes use the RFR as the threshold measure, including energy bill assistance (chèque énergie), certain savings account eligibility (Livret d'Épargne Populaire), and home renovation grants (MaPrimeRénov').
The Two-Year Lag — Why This Year's Windfall Hits You in Two Years' Time
The most important thing to understand about the RFR is the time lag. Your social charges rate on pension income this year is determined by your RFR from two years ago. This creates a specific trap for anyone who receives a large one-off payment.
If you receive a pension lump sum, redundancy payment, or business sale proceeds in 2024, your 2024 RFR will be significantly higher. That elevated RFR will then determine your social charges band in 2026 — two years later.
At 8.3% on pension income of £20,000 a year, the difference between the median band and the standard band is around €350 a year. A single large payment can push you out of a favourable band for two full years.
This is one of the reasons the Quotient system for one-off windfalls matters — it limits the RFR impact as well as the income tax impact. See our pension lump sum guide.
How to Find Your RFR
- Log into your Espace Particulier on impots.gouv.fr
- Go to your documents — Avis d'Impôt
- Open the notice for the relevant year
- Look for Revenu fiscal de référence on the front page — it appears in a summary box, usually top right
If you don't have online access, the figure appears on the paper notice sent to you after each tax assessment.
Common Mistakes
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Assuming RFR equals taxable income. It doesn't — the RFR is usually higher because certain allowances and deductions are added back. Always use the RFR figure from your Avis d'Impôt, not your own calculation of taxable income.
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Using the current year's RFR for this year's social charges. Social charges on pension income use the RFR from two years ago (N-2). For the 2026 declaration, that means your 2024 RFR — found on your 2025 Avis d'Impôt.
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Assuming S1 holders don't need to worry about the RFR. The S1 exempts pension income from social charges — but the RFR still determines property tax eligibility, CAF entitlements, and other means-tested benefits.
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Not checking the RFR impact of a windfall before taking it. A large one-off payment can elevate your RFR for two years, pushing you into a higher social charges band. Consider the Quotient system if a windfall is coming.
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Confusing the tax RFR with the CAF quotient familial. Two different calculations used for different purposes. The tax RFR appears on your Avis d'Impôt. The CAF has its own income measure. They are related but not identical.
Frequently Asked Questions
What is the RFR in France?
The RFR (revenu fiscal de référence) is your household reference income — a figure calculated from your annual tax return that appears on your Avis d'Impôt. It is used to determine your social charges rate on pension income, property tax eligibility, CAF benefits, and various other means-tested entitlements.
Where do I find my RFR?
On the front page of your Avis d'Impôt (annual tax assessment notice), clearly labelled revenu fiscal de référence. You can access previous years' notices via your Espace Particulier on impots.gouv.fr.
Is the RFR the same as my taxable income?
No — the RFR is usually higher. It adds back certain items that were deducted for income tax purposes, including the gross amount of dividends (before the 40% allowance), investment income taxed at the flat rate, and treaty-exempt income such as UK Government Service Pensions.
Which year's RFR determines my social charges rate?
The RFR from two years ago (N-2). For the 2026 declaration (2025 income), the relevant RFR is from your 2024 Avis d'Impôt — the notice you received in autumn 2025.
Does the RFR matter if I have an S1?
Yes — for things other than pension social charges. If you hold an S1, your pension income is exempt from social charges regardless of your RFR. But the RFR still affects your property tax eligibility, CAF benefits, and other means-tested entitlements.
Can I reduce my RFR?
In limited ways. Contributions to a PER (plan d'épargne retraite — a French pension savings plan) can reduce both taxable income and RFR. Using the Quotient system for one-off windfalls limits the RFR impact. Beyond that, the RFR is largely determined by your income and the structure of the French tax calculation — there is no simple lever to pull.