Social security

The AHV is a general and compulsory national insurance scheme that covers all persons who live or work in Switzerland.

Adults aged 18 and over must be compulsorily insured with AHV and IV:

Old-age and survivors' insurance AHV

In Switzerland, you are obliged to pay contributions to the AHV  until retirement age so that you can receive an old-age pension later.

The current retirement age for women and men is 65. 

After the death of a relative, the AHV also pays a survivor's or orphan's pension.

Disability Insurance IV

The IV supports all people with a disability. It helps those affected to keep their jobs or find a new one. If neither succeeds, the IV  pays a disability pension.

The pensions of AHV and IV are about high enough to cover the costs of existentially important expenses. If this is not the case, you can request additional supplementary benefits.

Employees:

The contributions are divided between you and the employer. Your employer pays at least half. Your part will be deducted directly from your salary and paid into the pension fund together with your employer's part.

If you are employed, the following amounts will be deducted from your gross salary each month:

6.225%            for AHV/IV/EO and ALV

5.625%            for salary components over CHF 148,200

> Social Security Contributions Calculator

People with multiple jobs

To pay contributions, you must earn at least 22,680 francs per year (as of 1 January 2025) with a single employer. If you have several jobs but do not earn as much from any of them, then you are not insured. In this case, please register directly with the Ausgleichskasse St.Gallen : Registration form

Persons who do not work:

If you are not working, you must register with the Ausgleichskasse St.Gallen  Compensation Office on your own responsibility. 

They owe the full contributions, but at least the fixed minimum contribution (530 francs per year; As of 1.1.2025). If you do not pay contributions, this can later lead to a reduction in benefits (for example, in the case of an old-age pension).

Register directly with the Ausgleichskasse St.Gallen  Compensation Office: Registration form

Self-employed:

If you are self-employed, you must register with the Ausgleichskasse St.Gallen on your own responsibility. The Ausgleichskasse St.Gallen does not act on its own initiative. Further information can be found here:

> Information for the self-employed

Occupational pensions are a means of protection for you and your relatives. In old age, disability or death, the 2nd pillar is intended to make it possible to continue the accustomed standard of living in an appropriate manner.

To do this, you pay part of your salary into a pension fund. After retirement, you receive an additional retirement pension from the pension fund. 

You are compulsorily insured if you meet the following conditions:

• They are subject to AHV contributions, i.e. they are already insured in the first pillar
• You are at least 17 years old and are not yet of legal retirement age
• Their annual salary is more than 22,680 francs (as of 01.01.2025)

You are not compulsorily insured if:

• You are not working
• Their annual gross salary is less than 22,680 francs
• are self-employed
• Your employment contract is valid for a maximum of 3 months

You can voluntarily join a pension fund and pay contributions. 

If you want to save even more for a comfortable life in old age in addition to AHV and pension funds, you can invest your money in the so-called 3rd pillar with an insurance company or a bank. You can deduct these amounts from your taxes. 

It may happen that the pension benefits are not enough for you to cover your living expenses in old age. This is typically the case for people who have not worked  or have earned too little money to invest in the 2nd or 3rd pillar.

This often also affects people who are dependent on care in old age and live in a retirement or nursing home. The costs for this often exceed the financial possibilities of retirees. 

In these cases, you are entitled to supplementary benefits (EL). These can make up the difference between expenditure and insufficient income.