Complete 2026 Guide

Freelancing in Switzerland with a B Permit

EU/EFTA nationals with Swiss B permits CAN freelance. Step-by-step guide to registration, AHV contributions, VAT, and legal requirements for 2026.

Swiss Freelancer Guide

How to Become a Freelancer in Switzerland with a B Permit (2026 Guide)

Quick answer: Yes, EU/EFTA nationals holding a Swiss B residence permit can work as freelancers in Switzerland. You don't need a C permit—your B permit is sufficient. Here's what you need to know:

✓ B permit gives you full professional mobility (employment or self-employment)
✓ You must prove your business can financially support you
✓ Register with AHV/AVS compensation office after starting work
✓ Budget ~40% of income for taxes and social security
✓ VAT registration required once you exceed CHF 100,000 annual revenue

Timeline: Plan 2-3 months from starting work to completing all registrations.

Can You Actually Freelance on a B Permit?

Thanks to the Agreement on the Free Movement of Persons between Switzerland and the EU/EFTA, you have the right to live and work freely in Switzerland—including becoming self-employed.

🇪🇺
EU/EFTA FreedomYour B permit gives you full professional mobility in Switzerland
💼
No C Permit NeededStart freelancing immediately without permanent residence
⚡
2-3 Month SetupFrom first client to full registration in one quarter

If you're an EU or EFTA national, the answer is a clear yes.

What this means practically:

  • Already have a B permit from employment? You can switch to freelancing without getting a new permit
  • B permit from family reunification? You can start freelancing
  • Moving to Switzerland specifically to freelance? You'll receive a B permit once you prove business viability

The key requirement isn't your permit type—it's proving your freelance business can financially support you without becoming a burden on social welfare.

Special Cases to Know

Croatian nationals: As of January 2025, Croatians are no longer subject to quota restrictions. You have the same rights as other EU citizens.

Regulated professions: If you're a doctor, lawyer, financial auditor, architect, or other regulated professional, you'll need specific licenses or diplomas before practicing independently. Check cantonal requirements for your profession.

Non-EU nationals: If you're not from EU/EFTA, freelancing on a B permit is generally not possible. You'd need a C permit or be married to a Swiss or C permit holder.

Financial Viability

The Make-or-Break Requirement

Swiss authorities need proof your business generates enough income to support yourself without social assistance.

Client Contracts

Letters of intent and signed agreements with clients

Invoice History

Actual invoices you've already sent to clients

Bank Statements

Proof of business income and financial stability

Business Plan

Realistic revenue projections and service description

How much do you need to earn?

There's no fixed minimum amount. The bar is "can you support yourself?" This varies by:

  • Canton (living costs differ significantly)
  • Family size (supporting a family requires more)
  • Your expenses (health insurance, rent, etc.)

As a rough guideline, plan to demonstrate you can earn at least CHF 3,000-4,000 monthly to cover basic living costs, health insurance, and taxes.

The catch-22 solved:

You must start working before registering. Invoice clients, sign contracts, and begin generating income. Then use these documents to register with the compensation office and prove viability. Don't wait for permission to start—start first, then register.

Registration Process

Step-by-Step Setup Guide

Here's the exact sequence for setting up as a freelancer in Switzerland with a B permit.

Step 1: Start Your Freelance Activity

Begin working before any official registration. Land clients, sign contracts, send invoices, and track all income and expenses from day one.

  • Land your first clients and sign contracts
  • Send invoices for work completed
  • Open separate bank account (recommended)
  • Accumulate 1-3 months of activity before registering

Step 2: Register with AHV/AVS

Your most critical registration—makes you officially self-employed. Complete within first few months of starting work.

  • Find your cantonal compensation office
  • Submit affiliation form with proof of activity
  • Provide B permit, invoices, and contracts
  • Processing time: 2-4 weeks typically

Step 3: Switch to Regular Tax Filing

Notify your cantonal tax office when you begin self-employment to switch from source taxation to annual returns.

  • File annual tax return based on business accounts
  • Pay provisional quarterly installments
  • Set aside 30-40% of income for taxes
  • Deduct business expenses properly

Step 4: Register for VAT (CHF 100K+)

Mandatory once annual turnover reaches CHF 100,000 from Switzerland-taxable supplies.

  • Apply through Federal Tax Administration
  • Receive VAT number for invoices
  • File quarterly VAT returns
  • Charge 7.7% standard rate on services

Step 5: Commercial Register (CHF 100K+)

Register your sole proprietorship once annual revenue exceeds CHF 100,000.

  • Contact cantonal commercial register office
  • Pay registration fee (CHF 150-300)
  • Gain official business name protection
  • Annual update fee required

Your Financial Obligations Breakdown

Here's what you'll actually pay as a self-employed person in Switzerland, with real numbers.

Swiss Tax Obligations

AHV/AVS Contributions (Old-Age Insurance)

2026 rates: Progressive from 5.371% to 10% of net annual income

Annual Net IncomeContribution Rate
Under CHF 10,100Minimum CHF 530/year
CHF 10,100 - CHF 60,4995.371% - 9.95% (sliding scale)
CHF 60,500+10%

Example calculations:

  • Earn CHF 50,000/year → Pay ~CHF 4,000/year (~8%)
  • Earn CHF 80,000/year → Pay CHF 8,000/year (10%)
  • Earn CHF 120,000/year → Pay CHF 12,000/year (10%)

Year 1-2, you pay provisional quarterly contributions based on estimated income. After filing tax returns, the compensation office calculates your final contributions and adjusts future payments accordingly.

Income Tax

Switzerland has three tax levels: federal, cantonal, and municipal. Rates vary dramatically by canton.

Federal tax: Progressive up to 11.5% on high incomes (most freelancers pay 0-5%)

Cantonal/municipal tax: Total effective rate for someone earning CHF 80,000:

  • Zug: ~12% (lowest)
  • Zurich: ~18-22%
  • Geneva: ~23-27%
  • Jura: ~30%+ (highest)

Budget guideline: Set aside 30-40% of gross income for all taxes and AHV combined.

2026 contribution limits:

  • With Pillar 2 pension: CHF 7,258 maximum
  • Without Pillar 2 (most freelancers): 20% of net income, maximum CHF 36,288

NEW in 2026: You can now make retroactive contributions for up to 10 years of missed contributions.

Tax benefit: Contributions are fully deductible from taxable income. At a 30% effective tax rate, contributing CHF 10,000 saves you CHF 3,000 in taxes.

Managing VAT: What You Need to Know

VAT becomes a significant administrative task once you're registered. Here's how to handle it efficiently.

🇨🇭 CHF 100K Threshold
⚡ Automatic Calculation
📱 Digital Filing
✓ Input Tax Deduction
🧾
Invoicing with VAT

Include VAT number, rate, and amount on all invoices

💳
Reclaiming Input VAT

Recover VAT paid on business expenses and equipment

📊
Quarterly Returns

File within 60 days after each quarter-end

7.7%
Standard Rate

Most freelance services use the standard VAT rate

Invoicing with VAT

Your invoices must include:

  • Your VAT number (CHE-XXX.XXX.XXX MWST)
  • Client's full name and address
  • Invoice date and number
  • Detailed description of services
  • Net amount
  • VAT rate and amount
  • Gross total

Example:

Web design services: CHF 5,000
VAT 7.7%: CHF 385
Total due: CHF 5,385

Reclaiming Input VAT

Reclaimable expenses:

  • Office equipment and software
  • Professional services (accountant, lawyer)
  • Business travel
  • Marketing and advertising
  • Portion of home office costs

Not reclaimable:

  • Personal expenses
  • Client entertainment (partially)
  • Mixed-use items without proper allocation

Running Your Freelance Business

Beyond legal compliance, here's what you need to run a successful freelance operation.

Professional Invoicing
Business Administration

Professional Invoicing & Tracking

Your invoices are both legal documents and marketing tools.

Required Elements

Full names, addresses, unique numbering, VAT details

Best Practices

Send immediately, set clear payment terms, follow up

Expense Tracking

Keep all receipts, categorize consistently, note business purpose

Bookkeeping

Track income and expenses, maintain 10-year records

Common deductible categories:

  • Office supplies and equipment
  • Software subscriptions
  • Professional memberships
  • Business insurance
  • Marketing and website costs
  • Continuing education
  • Portion of rent/utilities (home office)
  • Phone and internet (business portion)

Bookkeeping Requirements

For turnover under CHF 500,000:

  • Simplified accounting acceptable
  • Track income and expenses
  • Maintain supporting documents
  • Annual financial summary

For turnover over CHF 500,000:

  • Full double-entry bookkeeping required
  • Balance sheet and profit/loss statement
  • Formal financial statements
  • May require professional accountant

How long to keep records: 10 years for all business documents (invoices, receipts, contracts, correspondence).

Maintaining Your B Permit

Your residence permit renewal depends on demonstrating ongoing self-employment and financial viability every 5 years.

🔄
B Permit RenewalDemonstrate ongoing self-employment and financial viability
📄
Required DocumentsTax returns, AHV statements, health insurance certificate
💰
Income VerificationProve adequate income to support yourself independently

What Could Go Wrong

Insufficient income: If your business isn't generating enough income to support yourself over multiple years, authorities may question your status. Be prepared to show:

  • Business development efforts
  • Client pipeline
  • Savings or other resources
  • Plan to improve income

Disguised employment: If you work exclusively for one Swiss client in a way that resembles employment (fixed hours, client's equipment, client's premises), authorities might reclassify you as an employee.

Protection strategy: Maintain multiple clients, work from your own space, set your own hours, and use your own equipment.

Documentation Best Practices

Keep organized records throughout your permit period:

  • Annual tax returns and payment confirmations
  • AHV contribution statements
  • Client contracts and invoices
  • Business bank statements
  • Commercial register updates (if applicable)

These documents prove your ongoing legitimate self-employment at renewal time.

Special Situations

Side Business & International Clients

Additional considerations for complex freelance scenarios.

Side Business While Employed

Freelancing Part-Time

You can freelance while employed full-time, but check your employment contract first for non-compete clauses and working hours limits.

  • Check employment contract for restrictions
  • Both incomes taxed together (higher bracket)
  • Separate AHV contributions on freelance income
  • Manage time carefully between both commitments
Side Business
International Clients

Working Across Borders

Freelancing for foreign clients involves additional VAT and currency considerations.

  • B2B services to foreign businesses: typically no Swiss VAT
  • Foreign income may not count toward CHF 100K VAT threshold
  • Multi-currency accounts minimize exchange fees
  • Extended stays abroad may trigger tax obligations
International Work
Moving to Switzerland

New Arrival Freelancers

Apply for B permit through Swiss embassy with client contracts and business plan before arrival.

  • Secure initial clients before applying
  • Prepare detailed business plan with projections
  • Demonstrate financial resources for initial months
  • Timeline: 2-6 months from application to approval
Moving to Switzerland
FAQ

Frequently Asked Questions

Do I need permission to start freelancing on a B permit?

No. As an EU/EFTA national with a B permit, you have the right to self-employment. Start working, then register with authorities to get official recognition.

What if I only have one client?

This creates risk of being classified as a disguised employee, especially if the client is Swiss-based. Try to diversify your client base. Having one foreign client is less scrutinized than one Swiss client.

Can I freelance part-time while employed?

Yes, but check your employment contract for restrictions. Your employer may require written permission or prohibit work for competitors.

How long does AHV registration take?

Typically 2-4 weeks after submitting complete documentation. Start the process within your first few months of freelancing.

Do I need a business plan?

Not legally required, but highly recommended. Compensation offices may request one as proof of viable business activity. It also helps you clarify your business model.

When exactly do I need VAT registration?

Once your annual turnover from Switzerland-taxable supplies reaches CHF 100,000. You can voluntarily register below this threshold.

What happens if I earn less than expected?

If income is insufficient to support yourself over time, permit renewal could be questioned. Show authorities you're actively working to increase income and have resources to bridge gaps.

Do I need an accountant?

Not required for most freelancers, especially below CHF 100,000 revenue. Tools like Magic Heidi can handle your needs. Consider an accountant once your business becomes more complex or exceeds CHF 500,000.

Can I hire employees as a sole proprietor?

Yes, but this creates additional obligations (employer social insurance contributions, payroll administration). Many freelancers work with other freelancers or contractors instead.

Can I switch back to employment later?

Absolutely. Your B permit provides full professional mobility—you can move freely between employment and self-employment without permit changes.

What's the minimum income to be considered viable?

No fixed amount, but you must demonstrate ability to support yourself. Plan for at least CHF 3,000-4,000 monthly to cover living costs, health insurance, and taxes.

Can I deduct home office expenses?

Yes, for the portion of your home used exclusively for business. Typically calculated as (business space / total space) × (rent + utilities).

Action Plan

Your Next Steps: Getting Started

Ready to begin your freelance journey in Switzerland? Here's your complete action plan.

Week 1-2: Immediate

Review employment contract, research market rates, set up business bank account, start expense tracking

Month 1-3: Short-term

Land first clients, send invoices, create business plan, register with AHV compensation office

Month 3-6: Medium-term

Notify tax office, set up quarterly payments, open Pillar 3a, consider income loss insurance

Ongoing: Long-term

Track income and expenses, set aside 40% for taxes, file VAT returns, maintain permit documentation

Simplify Administration

Focus on Clients, Not Paperwork

Managing invoices, expenses, VAT, and accounting shouldn't consume your time and energy. That's why thousands of Swiss freelancers trust Magic Heidi.

  • 🧾
    Professional Invoicing

    Create compliant invoices in seconds with automatic VAT

  • 📸
    Expense Tracking

    Photograph receipts on the go via mobile app

  • 🏦
    Bank Import

    Automatic transaction matching to invoices and expenses

  • 📊
    Real-time Overview

    Know exactly where your business stands financially

Invoices
  • Invoice #3

    Magic Heidi

    CHF 500

    Jan 29

  • Invoice #2

    Webbiger LTD

    CHF 2000

    Jan 24

  • Invoice #1

    John Doe

    CHF 600

    Jan 20

Start Your Freelance Journey Today

Join 10,000+ Swiss freelancers who've simplified their business administration with Magic Heidi.

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Additional Resources

Official Swiss authorities:

Find your cantonal offices:

Business registration:

Last updated: January 2026
Applies to: EU/EFTA nationals with Swiss B residence permits

Disclaimer: This guide provides general information based on Swiss law as of 2026. Individual situations vary—consult cantonal authorities or a legal advisor for specific questions about your circumstances.