Insurance

Unemployment insurance (UI) in Switzerland shares costs equally between employer and employee; exceptions apply for agriculture and retirement age. The contribution rate is up to 126,000 CHF salary 2.2%, maximum 2772 CHF.

Mandatory affiliation according to BVG applies to AVS-liable employees with exceptions for low income, fixed-term contracts, or existing provisions. Voluntary insurance available for self-employed and non-contributory employers.

Owners of sole proprietorships can use their accrued pension fund money when switching to self-employment, but not the founders of a corporation or a limited liability company. To receive it, they must prove their self-employment to the pension fund.

Voluntary purchases into the pension fund reduce contribution gaps and enable tax deductions. Owners of AGs and GmbHs can optimize both corporate and private taxes through salary increases and reduced dividends.

Like an employee's salary, social security contributions and other social levies are due on the board of directors' fee. The article clarifies this obligation to pay contributions.

Self-employed individuals must independently take care of social insurances, including AHV/IV/EO, with contributions depending on the total profit. There is freedom of choice for retirement provision, while unemployment insurance is not possible.

In Switzerland, all employees aged 17 and over must generally join a pension fund if their annual salary exceeds Fr. 20,880. A probationary period does not exempt one from this obligation.