Average standard of living of retirees in France is higher than that of the rest of the population according to a study

A study reveals that the standard of living of retirees is on average higher than that of working people. Illustration Pixabay

As surprising as it may seem, a study, revealed this Monday, October 7 by France Info, shows that retirees have on average a higher standard of living than the rest of the population.

Retirees have a better standard of living on average than the working population. This is the conclusion of a study by the economic consultancy firm Asterès, revealed by France Info on Monday, October 7.

Based on figures from INSEE and the Pensions Advisory Council, this study explains that while the disposable income of retirees is lower than that of working people (2,188 euros per month on average compared to 2,489 euros), it is wealth that works in favor of retirees since if we remove the average of their imputed rents from the standard of living of working people, retirees then have a better standard of living on average.

More wealth among retirees

INSEE thus defines imputed rent, also called "fictitious rent" : “the rental service provided to themselves by the owners of their accommodation”: namely, the rents that the owners would have to pay if they were tenants of the accommodation they live in”.

The study, cited by France Info, indicates that this “is explained by the fact that retirees have more assets than the rest of the population. On average, households whose reference person is over 60 have assets greater than 300,000 euros, while it is on average less than 300,000 euros for younger households.

The firm specifies that overall, households over 64 are “less affected by poverty”.   “The poverty rate for 65-74 year olds is 10.7%, and 11.4% for those over 75. These are the lowest rates, regardless of the age groups considered, with those under 18 being the most affected by poverty (20.4%)”, specifies the Asterès firm.

This study comes shortly after the government confirmed that the revaluation of retirement pensions would be postponed by six months. A measure that stems from Michel Barnier's roadmap, who, in his general policy statement, declared that the economic “sword of Damocles” hanging over France required efforts.