What are AHV/AVS contributions in Switzerland and how much do I pay?

AHV (Alters- und Hinterlassenenversicherung) is Switzerland's first-pillar state pension and social insurance scheme. The combined AHV/IV/EO contribution rate is 10.6% of gross salary. Employees pay half (5.3%) deducted from their paycheck; employers pay the other half. Self-employed individuals pay the full rate on their net earnings, with a slightly lower effective rate on lower incomes.

AHV covers retirement pension, survivors' benefits, and disability insurance. The retirement pension is paid from age 65 for men and 64 for women (rising to 65 under AHV21 reform from 2025). The maximum AHV pension for a single person is CHF 2,450/month (2024); married couples receive a maximum of CHF 3,675/month combined.

Contributions are mandatory for all residents and Swiss citizens working abroad in certain cases. If you leave Switzerland permanently, you may be able to withdraw your AHV contributions under bilateral agreements, though this is restricted for EU/EFTA nationals.

This is general information only, not professional tax advice. Consult a qualified tax professional for your specific situation.