Individualized rate of withholding tax: Rémi and Nadia wonder what to choose

From September 2025, the individualized rate became the rule for couples, in order to distribute the tax more equitably according to everyone’s income. (Photo credit: Getty Images/Westend61)

From September 2025, the rules of withdrawal at source evolve for married or PACS couples subject to common taxation. Until now, the administration has applied by default a unique tax rate, regardless of the distribution of income between spouses. From now on, the individual rate will become the standard for professional income. Objective: to better distribute the tax burden when the income differences are significant. Rémi and Nadia, married for five years, ask themselves the question: should we accept this individualized rate or keep the single rate?

Summary:

• Rémi and Nadia, a couple with very different income
  

• 
  
  Couple’s taxes: a single simple but imperfect rate
  
• 
  
  What Rémi and Nadia would pay with an individual rate
  

• A tax effort distributed in a fairer manner
  

• From September 2025, the individualized rate became the standard
  

• 
  
  Common or individualized rate? It all depends on the couple’s budget management mode
  
• 
  
  Nadia and Rémi choose the individualized rate, to mix equality and equity
  
• 
  
  Conclusion: a choice to personalize according to the life of the couple
  

Rémi and Nadia, a couple with very different income

Rémi and Nadia have been married for 5 years. Rémi, 42, is an employee engineer employee of a large group. His taxable net salary amounts to 4,200 euros per month. Nadia, 40, is a school teacher, and receives 2100 euros net lining taxable taxable. Bonuses included, the couple’s reference tax income for the past year reaches 76,800 euros.

By default, the administration applies a levy rate to the common source to the couple, in this case 10.5%, on their respective professional income.

Each month, Rémi therefore pays 441 euros in tax (4200 x 10.5%), and Nadia pays 220.50 euros (2100 x 10.5%), a monthly total of 661.50 euros, automatically taken from their common account.

Couple’s taxes: a single simple but imperfect rate

Since their marriage, Rémi and Nadia have always been taxed at a common rate, then applied by default by the tax administration for married or PACS couples. The single rate has undeniable simplicity: only one rate is applied to the two spouses, regardless of their respective income. This facilitates the calculation and understanding of the levy for the home as a whole.

But this simplicity actually masks an unequal distribution of tax effort:

• Whoever wins the most (here: Rémi) supports a share of a proportionally lower tax compared to his income.

• Conversely, the one who earns less (here: nadia) pays a share of a proportionally greater tax compared to his income.

In other words, under cover of rate equality, the common rate has created, for Rémi and Nadia which have very different income, an inequality of contribution compared to the real financial capacities of each.

What Rémi and Nadia would pay with an individual rate

If the common rate is applied by default for couples, it is quite possible to ask the tax administration to be imposed on the basis of an individualized rate. In this case, the tax administration takes into account the distribution of income within the couple to adjust everyone’s direct debits, while retaining the same overall tax.

Rémi and Nadia go to the individualized rate, the administration calculates that:

• The individualized REMI rate increases to 12.5%.

• That of Nadia falls to 6%.

• So every month:

Rémi would see his levy go to 525 euros (4200 x 12.5%)

Nadia would pay 136.50 euros (2100 x 6.5%)

The total would therefore amount to 661.50 euros, an amount identical to that of the common rate.

A tax effort distributed in a fairer manner

For Nadia, an individualized rate means a reduced monthly levy of 84 euros compared to the current situation (220.50 – 136.60). It therefore immediately has a stay to live superior. For Rémi, the effort increases by 84 euros (525 – 441), but it corresponds more to its resources. Indeed, the individualized rate aims to better reflect the real contributory capacity of each of the spouses. In this case, the individualized rate calculated on the personal income of Rémi and Nadia, allows Rémi to pay a greater share of the tax and lightens the charge of Nadia.

In other words, it restores horizontal equity within the couple: everyone contributes to their own resources. This approach is particularly fair when income is unbalanced, as is the case for Rémi and Nadia. It prevents the more modest income spouse bearing a high levy, which can disproportionately weigh on his budget.

From September 2025, the individualized rate became the standard

Until now, for married or PACS couples, the common rate is applied by default, while the individualized rate must be requested from the tax administration. As of September 2025, the rule reversed: the individualized rate becomes the mode of calculation applied automatically (by default) on the professional income of each spouse. Objective: to better reflect individual contributory capacities from the source deduction.

The common rate remains nevertheless available on option: couples who wish to explicitly request to keep a single rate via their personal space on the tax site www.impots.gouv.fr.

Common or individualized rate? It all depends on the couple’s budget management mode

The time is therefore your choice for Rémi and Nadia. Do they really have an interest in switching to the individual rate? Or should they prefer to maintain the common rate, and opt for it next September?

To make the right choice between common or individualized rate, it is necessary to take into account the way in which the couple manages their finances on a daily basis.

• In the event that each member of a couple puts all of their income in a common account, the individual rate does not provide immediate concrete benefit. Indeed, these couples manage all their expenses together (taxes, rent, invoices, subscriptions, food, travel, gifts, personal expenditure, precautionary savings …) and in a completely shared manner: it is the same account which supports the entire levy, whatever the initial distribution.

• In a couple where everyone retains a personal account with a strict distribution of charges according to their respective income, the individual rate makes it possible to better distribute the tax burden from the start, more equitable and more protective.

• Among couples who manage their finances in a hybrid way, that is to say with a common account to honor current expenses (including taxes) and distinct personal accounts for their individual expenses and save, it all depends on how the common account is abundant. Is it bailed in an egalitarian (50/50) or fair (30/70 or 40/60/60 for example depending on the income of each)? On this distribution depends on the interest, or not, of “getting out” the taxes of common expenses and opting, or not, for the individualized rate.

Nadia and Rémi choose the individualized rate, to mix equality and equity

For Rémi and Nadia, after study and comparison between common and individual rate, the choice is clear: they will remain on the new functioning of taxes from September. They opt for the individualized rate, for the sake of equity. Indeed, Rémi and Nadia, whose budget management scheme is mixed, will now organize as follows:

• A common account abounded at 50/50, to pay the rent, the races, the subscriptions, the insurance, the current charges, the holidays, a precautionary savings … because Nadia holds and finds it normal to participate in these expenses in an egalitarian way, even if she earns more than her husband.

• Personal accounts, allowing them to provide for their individual expenses, now including taxes so as not to generate subsequent reimbursements between them.

Conclusion: a choice to personalize according to the life of the couple

Ultimately, the choice between individualized rate and common rate depends above all on the financial organization of the couple and their personal preferences. The individual rate corrects imbalances when income is very uneven and each retains a share of financial autonomy. The common rate is often more readable and practical when a couple completely mutates their resources. In all cases, this evolution of the withholding tax provides couples with greater flexibility to adapt the distribution of tax to their daily reality.