Retiring in Andorra: Taxation of Pensions for a French Citizen
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The short answer
A French retiree can settle in Andorra, often through residency without gainful activity. The taxation of their pensions depends on their actual tax residence and on the agreements between the two countries; health cover must be arranged from the outset.
The retiree's three questions
- Which residency status? The most common is passive residency. See passive residency. Investment threshold: 1,000,000 €verified on 09/10/2026.
- How is my pension taxed? Regime: Private pensions taxable in the State of residence (Art. 17 of the convention); the State of source may tax the portion that is exempt or not taxable in the State of residence (Art. 25.1.c)verified on 09/10/2026.
- How will I be cared for? See health and insurance.
Practical life
Altitude, winters, access to specialist care, social life: Andorra suits many retirees but not all. See cost of living.
What the treaty says about pensions
Article 17 provides that pensions and similar remuneration paid to a resident of one State in respect of past employment are taxable only in that State, subject to Article 18.2 for public pensions. For a private-sector retiree settled in Andorra, the pension is therefore in principle taxable in Andorra: Taxable only in the State of residence of the beneficiary, subject to Article 25 (portion exempt or not taxable in that State)verified on 09/10/2026
The point to watch in Article 25
Article 25.1.c adds that pensions whose taxation is allocated exclusively to one State are also taxable in the other State up to the portion that is exempt or not taxable in the first. In other words, if Andorran law exempts part of the pension, France may tax that part: Private pensions taxable in the State of residence (Art. 17 of the convention); the State of source may tax the portion that is exempt or not taxable in the State of residence (Art. 25.1.c)verified on 09/10/2026
Public pensions
A civil service pension remains in principle taxable in the State that pays it, unless the recipient is a resident of the other State and holds its nationality without holding that of the paying State. See civil servant or military pension.
Andorran IRPF applied to a pension
The tax-exempt personal allowance is 24,000 €verified on 09/10/2026 and the IRPF rate is 10 %verified on 09/10/2026. A modest pension may therefore not be taxed in Andorra: test your case with the IRPF simulator.
The condition that decides everything
This arrangement assumes a genuinely Andorran tax residence. A retiree who keeps their life in France may remain a French resident, and the clause targeting French nationals resident in Andorra may also apply: see tax residence and risks.
Work out your own case
Free simulators, built on the official values of this page.
- Andorra IRPF simulator (employment, rental and savings income)Estimate your income tax with the tax-free minimum, the bonus relief and family allowances.Open
- Retirement in Andorra: check your CASS entitlementsPension, lump sum or early retirement depending on your age and months contributed.Open
- Leaving France for Andorra: are you still a French tax resident?The three criteria for French tax residence, in a few questions.Open
Frequently asked questions
Is my French pension paid in Andorra?
Pension funds can pay pensions into an account abroad. You must inform them of the change of residence and provide the documents requested.
How are pensions taxed?
The applicable regime is set out in the table. It depends on your tax residence and the texts in force.
What about healthcare after retirement?
Cover is not the same as in France. See the health and insurance guide.
Going further
Official sources
This information is general and is not personalised legal, tax or financial advice. It is verified as of the date shown and may change.