What is URSSAF Social Security Contribution Withholding at Source?
Starting January 1, 2027, French law requires digital intermediary platforms such as Malt to withhold social security contributions on behalf of self-employed freelancers (micro-entrepreneurs) who earn income through their services. This obligation stems from the 2024 Social Security Financing Act (LFSS), codified under Article L. 613-6-1 of the French Social Security Code.
Accordingly, Malt is required to withhold URSSAF social security contributions from the turnover of freelancers operating under the micro-entrepreneur status in France and remit these amounts directly to URSSAF on their behalf.
Each month, Malt will declare the turnover generated from projects invoiced via the platform and remit the withheld social security contributions to URSSAF.
In Practice: How Does Withholding Work?
You no longer need to set aside funds for your contributions or pay them manually for projects completed on Malt. The process is fully automatic as long as you are eligible. The mechanism operates in four stages:
- Identification (M-1): Each month, Malt sends URSSAF the list of active freelancers along with their SIREN numbers. URSSAF identifies you and calculates your individualized rate based on your situation (social security contributions, vocational training contribution, potential ACRE exemption, or flat-rate income tax payment option [versement libératoire]).
- Rate Transmission (M-1): URSSAF sends your overall individualized rate directly to Malt. This rate is calculated exclusively by URSSAF. Malt applies this rate without ever modifying it.
- Deduction Upon Bank Transfer (M): As soon as your client validates the end of a project or an activity report (CRA), Malt applies this rate to the amount excluding VAT (HT) and automatically deducts your contributions when transferring the funds to your bank account.
- Declaration and Remittance (M+1): Between the 2nd and 5th of the following month (at the latest by the 10th), Malt declares the total turnover for month M and remits the full amount collected to URSSAF. Your personal portal on autoentrepreneur.urssaf.fr is updated automatically.
Key Rule: It is the date of the bank transfer that determines the applicable rate, not the date your project was completed.
Example: For a project completed and invoiced in April whose bank transfer takes place on May 4, the rate transmitted by URSSAF for the month of May applies.
The Schedule at a Glance
Platform withholding always follows a monthly cycle, even if you originally opted for a quarterly reporting period with URSSAF.
| Stage | Parties Involved | Action Performed
|
|---|---|---|
| End of month (M-1) | Malt ➔ URSSAF | Transmission of the list of active freelancers with their SIREN numbers for identification. |
| End of month (M-1) | URSSAF ➔ Malt | Validation of affiliation and return of the individualized rate applicable for month M. |
| During the month (M) | Malt | Immediate deduction of contributions on each bank transfer made to your account. |
| By the 6th of the month (M+1) at the latest | Malt ➔ URSSAF | Overall declaration of monthly turnover and remittance of contributions to URSSAF. |
Your Identification Information
To allow URSSAF to identify you and calculate your rate, Malt transmits the following legal data:
- Your SIREN number;
- Your civil status details: last name, first name, date and place of birth;
- Your contact details: postal address, email address, and phone number.
Important Note: Make sure your SIREN number is completely up to date and valid in your Malt billing settings. An incorrect identifier prevents URSSAF from identifying you, thereby blocking the automatic handling of your declarations.
Will I Earn Less Than Before?
No, your actual net income does not decrease by a single cent. Only the cash outflow schedule changes:
- Previously: You received the full gross amount in your bank account, and then had to set aside part of your cash flow to manually pay URSSAF on a monthly or quarterly due date.
- From now on: Your contributions are paid at the source with each payout. The balance transferred to your bank account corresponds directly to your net disposable income, with no risk of late payment penalties or unpleasant cash-flow surprises.
Are You Affected?
Withholding at source applies to all freelancers operating under the micro-entreprise (auto-entrepreneur) status, registered in France with URSSAF, and receiving income via Malt.
You are automatically switched to this system as soon as URSSAF validates your eligibility. Malt will inform you directly by email prior to your very first transfer subject to withholding.
Not affected:
- Freelancers operating under a corporate structure (SASU, EURL, SARL, SAS, umbrella companies / portage salarial, etc.);
- Freelancers operating in their own name (sole proprietorship / entreprise individuelle) who have exceeded the tax thresholds of the micro-entreprise regime (e.g., €83,600 for service providers);
- Businesses whose registered office or tax registration is located outside France;
- Projects carried out with your direct clients outside of Malt (you continue to declare this turnover yourself on autoentrepreneur.urssaf.fr).
Which projects are Included?
All projects completed and paid directly via Malt, whether carried out in France or abroad, are subject to this automatic withholding.
Please note: If a client contacts you on Malt, but invoicing or payment takes place directly outside the platform, no withholding is performed by Malt, and you remain responsible for declaring it directly on your URSSAF account.
Are commissions from the Malt Business Referral Program (BRP) subject to withholding at source?
Yes. If you receive bonuses or commissions through Malt's Business Referral Program, URSSAF considers this income to be turnover. It is therefore automatically subject to social security contribution withholding.
Are "Micro-consulting" sessions subject to withholding at source?
Yes. Whenever you invoice a consulting call via Malt, the remuneration received constitutes turnover from your auto-entrepreneur activity. It is therefore automatically subject to social security contribution withholding.
Are business expenses subject to withholding at source?
Yes. Under the micro-entreprise regime, you pay contributions on everything you invoice to the client, without being able to deduct your actual expenses.
When you declare and re-invoice expenses to your client on Malt (travel, accommodation, meals, supplies), these amounts are added to your turnover. They are therefore automatically subject to social security contribution withholding.
What happens if I have no projects on Malt this month, but I have direct clients?
What you must still declare Yourself?
You remain responsible for declaring to URSSAF and paying contributions on non-withheld turnover, for example:
- Your clients outside Malt: You continue to declare your turnover yourself and pay your contributions on the URSSAF website for all direct projects or projects sourced through other channels.
Please note: If a client contacts you on Malt, but invoicing or payment takes place directly outside the platform, no withholding is performed by Malt, and you remain responsible for declaring it directly on your URSSAF account. - The amount of your contributions: Your statutory rates and calculation methods remain strictly identical. Only the administrative management of the payment is automated for your Malt income.
Focus on the Withholding Rate
Who sets the withholding rate?
URSSAF sets the rate. Under no circumstances can Malt apply a rate other than the one transmitted by URSSAF.
What does the rate include?
It is an overall rate that includes:
- Social security contributions and levies;
- The vocational training contribution (CFP);
- Any consular chamber fee tax (taxe pour frais de chambre consulaire);
- The flat-rate income tax payment (versement libératoire de l'impôt sur le revenu), if you have opted for this regime.
The rate takes into account your personal situation (exemptions, ACRE, etc.) and may vary from one month to another. It includes up to three decimal places (e.g., 21.544%).
Is a 0.000% rate an error?
No. This can happen, for instance, if you benefit from a specific exemption. You remain within the scope of withholding: your turnover is transmitted to URSSAF with a withheld amount of €0.
Are there multiple rates?
Yes, one rate per nature of activity, because the tax nature of your turnover (BIC sales, BIC services, BNC, etc.) affects the rate. The platform applies the rate corresponding to the specific type of each transaction.
The activity categories applicable on Malt are:
| Code | Nature of Activity
|
|---|---|
| NA06 | Purchase and Resale (Achat-Vente) |
| NA07 | Craft or Commercial Services (Prestations de service artisanales ou commerciales) |
| NA08 | Liberal / Professional Services (Prestations de service libérales) |
What to do in case of an incorrect amount or rate?
- The applied rate comes from URSSAF: Malt cannot modify a rate on its own initiative.
- To dispute a past withholding: Contact URSSAF directly via the messaging system in your auto-entrepreneur portal. If an anomaly is confirmed, Malt will process a corrective declaration.
- To adjust future projects: Check that your nature of activity is properly configured in your professional settings on Malt and in your URSSAF account.
The calculation: From quote to your bank account
Malt directly deducts your social security contributions at the time of transfer to remit them to URSSAF. Here is the breakdown of your transfer:
Your net transfer received =
(Invoiced amount excl. VAT + Invoiced VAT [if applicable]) - Malt service fees incl. VAT - URSSAF social security contributions withheld by Malt
Withheld contributions: The calculation of contributions follows URSSAF's statutory formula:
Withheld Social Security Contributions =
Turnover excl. VAT × Your individualized URSSAF rate
Declared turnover: This corresponds to the total amount excluding VAT invoiced to the client, before deducting Malt's commission.
VAT (if you are VAT-registered): The VAT invoiced on your project is collected from the client and added to your bank transfer so that you can declare and remit it to the tax authorities.
Tracking your withholdings on Malt
You can track your withholdings directly from your Malt account. Go to the "URSSAF Social Security Contributions" section:
- Monthly view: View the total contributions remitted to URSSAF month by month.
- Project-by-project breakdown: By expanding each month, you can view the payout date, the associated project, the declared nature of activity (e.g., NA08), the applied rate, the withheld amount, and the corresponding turnover.
- Accounting export: You can download a monthly or overall summary in PDF or CSV format at any time via the download button.
Tracking your withholdings on your URSSAF account
- Automatic notification: URSSAF sends you an email as soon as it receives the declaration transmitted by Malt.
- Online viewing: Within the first 15 days of the following month (M+1), you can view the details directly in your personal portal (autoentrepreneur.urssaf.fr).
- Data visible on your account: For each declaration, you can verify the name of the platform (Malt), the transmission date, the relevant month, the nature of activity, the declared turnover, the applied rate, and the amount of contributions withheld.
Special cases: Changes in situation
What happens to projects validated at the very end of the month?
It is the date of the bank transfer that counts, not the project completion date. Withholding and declaration are always tied to the month in which the money is transferred to your account (or virtual wallet).
- If the bank transfer takes place the following month (M+1):
- The turnover will be declared for month M+1.
- Contributions will be withheld using the rate applicable in month M+1 (which may change depending on your entitlements).
- If the bank transfer takes place before the last day of the current month (M):
- The amount and contributions remain tied to month M.
My rate changes mid-month (e.g., ACRE application)
The platform applies the rate communicated by URSSAF at the end of month M-1. URSSAF subsequently recalculates your contributions based on the declared turnover and the new rate. If the rate decreased, URSSAF refunds the overpayment directly to you.
What if I register, or resume an activity, mid-month?
- If you register after the deadline for sending the identification file for month M-1, or during month M, you cannot be subject to withholding in month M. You must declare your turnover yourself to URSSAF for that first month, and the platform will query URSSAF regarding your eligibility for withholding at source at the end of month M for month M+1.
- If you were inactive (no transactions completed for 12 months) and resume activity in month M, the same rule applies: you declare the income collected for month M yourself, and withholding starts the following month.
I change my legal status
Your SIREN number is the key identifier that allows URSSAF to recognize your payment. If you change your legal status or SIREN number, you must update your legal information immediately
If you are no longer an auto-entrepreneur (sole proprietorship / entreprise individuelle), you are no longer subject to social security contribution withholding at source.
In any event, if the change occurs after identification, URSSAF automatically adjusts the records upon receiving the declaration. Any amounts withheld in error are refunded to you by URSSAF, provided your situation permits.
Special cases: Project modifications and errors
What should I do if my invoice is revised downward or canceled?
How your contributions are handled and how refunds are processed depend on when the modification occurs relative to the monthly declaration transmitted to URSSAF:
- Case 1: The modification occurs before any payout to your account
- What happens: If the project is canceled, no payment flow is triggered and no contributions are withheld. If the amount is revised downward, Malt automatically recalculates the social security deduction based on the new amount excluding VAT at the time of payout.
- What you need to do: Nothing. Since no funds have left the platform for your bank account, you do not need to make any refund.
- Case 2: The modification occurs before the URSSAF declaration (refund before the 6th of the following month)
- What happens: You have already received your net payment in your bank account, but the adjustment or cancellation happens quickly. Since Malt has not yet submitted its monthly declaration or remitted the contributions to URSSAF, the platform directly adjusts the transaction internally.
- What you need to do: You only refund Malt the net amount you received in your account. You do not need to take any action with URSSAF: Malt takes care of rectifying or canceling the corresponding contribution portion before submitting the declaration.
- Case 3: The modification occurs after the URSSAF declaration (contributions already paid to the State)
- What happens: The 10th of the following month has passed: Malt has already declared your turnover and remitted your contributions to URSSAF. The platform no longer holds these funds and cannot recover them directly. Malt therefore sends URSSAF a "cancel and replace" (annule et remplace) corrective declaration file updating your adjusted turnover.
- What you need to do: You must refund Malt the full gross amount of the canceled or downward-revised service, including social security contributions, excluding Malt service fees. Upon receipt of your payment, Malt transmits the corrective declaration: URSSAF then recalculates your contributions and refunds the over-withheld amount directly to your bank account.
(Reference: Example from Fact Sheet No. 02: a €100 canceled service results in an adjusted turnover of €0, and URSSAF refunds the €25.80 in contributions.)
What should I do if my invoice is revised upward?
How your contributions are handled and how your additional turnover is recorded depend on the execution date of the second bank transfer relative to URSSAF's monthly reporting cycles:
- Case 1: The initial transfer and the additional payout occur within the same calendar month (month M)
- What happens: The invoice is increased and the additional payout occurs in the same month as the first transfer. Both social security deductions are withheld progressively on each net payout. The cumulative amount of your service and all deducted contributions are combined into a single declaration transmitted to URSSAF by the 6th of month M+1.
- What you need to do: No action required on your part. You receive your net balance in your bank account, and URSSAF receives a single consolidated declaration for month M.
- Case 2: The additional payout occurs at the beginning of month M+1, before Malt's declaration to URSSAF
- What happens: Even if the additional payout is transferred to you between the 1st and 6th of month M+1 (i.e., before Malt closes the URSSAF remittance for month M), it is the execution date of the bank transfer that determines the accounting cycle. The second transfer is tied to the month M+1 pay period and will be declared to URSSAF at the next due date, i.e., at the beginning of month M+2.
- What you need to do: No steps required. Your turnover statement for month M will reflect the first payout, and your statement for month M+1 will include the additional payout.
- Case 3: The additional payout occurs during month M+1, after the declaration and remittance for month M
- What happens: The declaration for month M has already been transmitted and paid to URSSAF by the 6th of month M+1 at the latest. Just like Case 2, the payout of the additional balance constitutes a separate financial transaction tied to month M+1. Withholding applies at the time of the second transfer using the rate in effect for month M+1, and Malt then declares and remits these additional contributions during the month M+2 cycle.
- What you need to do: Nothing. No "cancel and replace" corrective file needs to be issued to URSSAF, as the two payouts belong to two consecutive regular monthly declarations.
Disagreement or dispute
In the event of a disagreement regarding the declared and withheld amounts, your point of contact is URSSAF. Depending on the situation, URSSAF may instruct the platform to submit a corrective declaration.
With withholding at source, must Malt still verify my Certificate of vigilance (Attestation de vigilance)?
Yes. The duty of vigilance remains fully in force.
Withholding at source only modernizes the method of declaring and paying your contributions for projects completed on Malt. It does not exempt Malt from its statutory duty of vigilance as a platform operator (in accordance with Article L. 8222-1 of the French Labor Code).
What this means for you:
- Your certificate of vigilance (attestation de vigilance) will still be requested when setting up your account and before starting your projects.
- You must continue to download it regularly from your autoentrepreneur.urssaf.fr portal and upload it to Malt to keep your profile up to date.