Social charges in Switzerland represent a significant cost for the employer and essential protection for the employee. This guide presents the contribution rates in force in 2026, applicable ceilings, cantonal specificities and a complete summary table for calculating the true cost of an employee.
Overview of social charges in Switzerland
The Swiss social security system is based on several pillars and mandatory insurances. Each contribution is shared between employer and employee in proportions defined by law. The employer is responsible for withholding and remitting all contributions.
In 2026, the total cost of employer social charges generally represents between 13% and 19% of gross salary, depending on the employee's age, the business sector and the canton. For the employee, deductions represent approximately 12% to 16% of gross salary.
Complete social charges table 2026
| Contribution | Employer share | Employee share | Total | Calculation basis |
|---|---|---|---|---|
| AHV (Old-age and survivors' insurance) | 4.35% | 4.35% | 8.70% | Total gross salary |
| IV (Disability insurance) | 0.70% | 0.70% | 1.40% | Total gross salary |
| APG (Loss of earnings compensation) | 0.25% | 0.25% | 0.50% | Total gross salary |
| Subtotal AHV/IV/APG | 5.30% | 5.30% | 10.60% | Total gross salary |
| ALV (Unemployment insurance) | 1.10% | 1.10% | 2.20% | Salary up to CHF 148,200/year |
| ALV solidarity contribution | 0.50% | 0.50% | 1.00% | Salary above CHF 148,200/year |
| Family allowances (Geneva) | 2.45% | -- | 2.45% | Total gross salary |
| UVG - Occupational accident | ~0.80% | -- | ~0.80% | Salary up to CHF 148,200/year |
| NBUV - Non-occupational accident | -- | ~1.50% | ~1.50% | Salary up to CHF 148,200/year |
| KTG (Daily sickness benefits insurance) | ~0.50% | ~0.50% | ~1.00% | Gross salary (optional) |
| BVG (Occupational pension 25-34 years) | 3.50% min. | 3.50% max. | 7.00% | Coordinated salary |
| BVG (Occupational pension 35-44 years) | 5.00% min. | 5.00% max. | 10.00% | Coordinated salary |
| BVG (Occupational pension 45-54 years) | 7.50% min. | 7.50% max. | 15.00% | Coordinated salary |
| BVG (Occupational pension 55-65 years) | 9.00% min. | 9.00% max. | 18.00% | Coordinated salary |
Note: UVG and KTG rates are indicative and vary by business sector and insurer. The BVG rates shown correspond to the legal minimum (retirement credits); many pension funds offer more generous plans.
AHV / IV / APG: 10.60% of gross salary
Old-age and survivors' insurance (AHV), disability insurance (IV) and loss of earnings compensation (APG) constitute the first pillar of the Swiss pension system. The total contribution of 10.60% is split equally between employer (5.30%) and employee (5.30%).
These contributions apply to the entire gross salary, with no ceiling. All employees are subject from the age of 18 (contributions from the active person) or 21 (for non-active persons). For more on how AHV and IV work, see our detailed AHV, IV and BVG guide.
Unemployment insurance (ALV): 2.20% up to CHF 148,200
Unemployment insurance is funded equally by employer (1.10%) and employee (1.10%). The 2.20% contribution applies to annual salary up to a ceiling of CHF 148,200 (i.e. CHF 12,350 per month).
For the portion of salary exceeding CHF 148,200, a solidarity contribution of 1.00% (0.50% + 0.50%) applies with no upper ceiling. This solidarity contribution was introduced in 2011 and remains in force in 2026.
Occupational pension (BVG): 7% to 18% depending on age
Occupational pension (2nd pillar) is mandatory for all employees whose annual salary exceeds the entry threshold of CHF 22,680 in 2026. The contribution is calculated on the coordinated salary, i.e. the annual AHV salary minus the coordination deduction.
BVG parameters 2026
| Parameter | Amount 2026 |
|---|---|
| BVG entry threshold | CHF 22,680 |
| Coordination deduction | CHF 25,725 |
| Minimum coordinated salary | CHF 3,675 |
| Maximum coordinated salary | CHF 62,475 |
| Maximum insured salary | CHF 88,200 |
BVG retirement credit rates (legal minimum)
| Age bracket | Credit rate | Employer share (min. 50%) | Employee share (max. 50%) |
|---|---|---|---|
| 25 - 34 years | 7% | 3.50% | 3.50% |
| 35 - 44 years | 10% | 5.00% | 5.00% |
| 45 - 54 years | 15% | 7.50% | 7.50% |
| 55 - 65 years | 18% | 9.00% | 9.00% |
The employer must fund at least 50% of BVG contributions. Many companies choose a more generous split (60/40 or even 2/3 - 1/3) as a social benefit.
Accident insurance (UVG): occupational and non-occupational accidents
Mandatory accident insurance covers two types of risk:
- Occupational accidents (BU): the premium is entirely borne by the employer. The average rate varies from 0.04% (office work) to over 5% (construction, heavy industry) depending on the risk class. The average rate across all sectors is approximately 0.80%.
- Non-occupational accidents (NBU): the premium is borne by the employee (unless agreed otherwise). The average rate is approximately 1.50%. Only employees working more than 8 hours per week with the same employer are covered for non-occupational accidents.
The maximum insured UVG salary is CHF 148,200 per year in 2026. The UVG insurer for high-risk sectors is generally SUVA; other companies can choose a private insurer.
Family allowances by canton in 2026
Family allowances are funded by an employer contribution whose rate varies by canton. Here are the main rates in French-speaking Switzerland:
| Canton | Employer contribution rate | Child allowance/month | Education allowance/month |
|---|---|---|---|
| Geneva (GE) | 2.45% | CHF 311 | CHF 415 |
| Vaud (VD) | 2.28% | CHF 300 | CHF 400 |
| Valais (VS) | 2.25% | CHF 305 | CHF 445 |
| Fribourg (FR) | 2.24% | CHF 285 | CHF 385 |
| Neuchatel (NE) | 2.36% | CHF 250 | CHF 310 |
The child allowance is paid until the age of 16 (or 20 if the child is unable to work). The education allowance is paid from 16 to 25 for children in apprenticeship or studies.
Calculation example: total employer cost for a salary of CHF 6,000/month
Let us take the example of a 40-year-old employee in Geneva, with a monthly gross salary of CHF 6,000 (CHF 72,000/year). Here is the breakdown of employer charges:
| Contribution | Employer rate | Monthly amount |
|---|---|---|
| AHV / IV / APG | 5.30% | CHF 318.00 |
| ALV | 1.10% | CHF 66.00 |
| Family allowances (GE) | 2.45% | CHF 147.00 |
| UVG (occupational accident) | ~0.80% | CHF 48.00 |
| KTG (daily sickness benefits) | ~0.50% | CHF 30.00 |
| BVG (35-44 years, 50%) | 5.00% of coordinated salary* | CHF 192.81 |
| Total employer charges | CHF 801.81 | |
| Total employer cost | CHF 6,801.81 |
*Coordinated salary: CHF 72,000 - CHF 25,725 = CHF 46,275/year, i.e. CHF 3,856.25/month. BVG employer: CHF 3,856.25 x 5% = CHF 192.81/month.
In this example, employer charges represent approximately 13.4% of gross salary. The total cost of an employee at CHF 6,000 gross is therefore CHF 6,802, i.e. CHF 81,622 per year.
Daily sickness benefits insurance (KTG)
Daily sickness benefits insurance (KTG) is not mandatory at the federal level, but it is strongly recommended and sometimes required by collective labour agreements. It covers salary continuation in case of prolonged illness, generally at 80% of salary for 720 days.
The premium is generally shared equally between employer and employee (approximately 0.50% each). The exact rate depends on the insurer, the business sector and the chosen waiting period (0, 30, 60 or 90 days). KTG allows the employer to discharge the obligation to pay salary according to the Bernese/Zurich scale.
Contributions for the self-employed
Self-employed persons in Switzerland have a different contribution regime from employees. They pay the full AHV/IV/APG contributions (no employer/employee split) and are not subject to mandatory ALV. The AHV/IV/APG rate for the self-employed is 10.60% for income above CHF 60,500, with a degressive rate for lower incomes.
For an overview of the Swiss pension system, see our AHV, IV and BVG guide. To entrust your payroll and social charges management to experts, discover our payroll management service at CHF 29.-/payslip.