Swiss Salary Calculator — gross to net, explained
Understand every deduction on your Swiss payslip: AHV/IV/EO, ALV, BVG pension, accident insurance, and income tax. All rates updated for 2026.
Swiss Salary Calculator
Calculate your net salary from gross — with all Swiss deductions at current 2026 rates.
Your Swiss payslip — the main deductions
Every employee in Switzerland has three mandatory social insurance deductions taken directly from their gross salary. Here's what they are and how much they cost.
AHV/IV/EO — 5.3%
Old-age and survivors' insurance (AHV), disability insurance (IV), and income compensation (EO). This is the 1st pillar of the Swiss pension system — a pay-as-you-go state pension. Your employer pays an equal 5.3%.
- AHV (old-age & survivors): 4.35%
- IV (disability insurance): 0.7%
- EO (income compensation): 0.25%
- Total employee share: 5.3% of gross salary
ALV — 1.1%
Unemployment insurance (Arbeitslosenversicherung). Mandatory for all employees. Your employer matches this contribution. Capped at an annual salary of CHF 148,200 — no ALV is deducted above this threshold.
- Employee share: 1.1% of gross salary
- Employer share: 1.1% (matched)
- Capped at CHF 148,200/year
- Solidarity contribution of 0.5% above cap (shared)
BVG (Pension Fund) — 7% to 18%
Occupational pension (2nd pillar). The contribution rate depends on your age, and only applies to the 'coordinated salary' — gross salary minus the coordination deduction (CHF 25,725 in 2026). Employer pays at least 50%.
- Age 25–34: 7% (3.5% employee)
- Age 35–44: 10% (5% employee)
- Age 45–54: 15% (7.5% employee)
- Age 55–65: 18% (9% employee)
Other deductions — insurance & taxes
Beyond social insurance, your payslip includes accident insurance premiums and income tax deductions. These vary significantly by canton and personal situation.
NBU — Accident Insurance
Non-occupational accident insurance (Nichtberufsunfallversicherung) covers accidents outside of work. The employee typically pays the full premium, usually around 1–2% of the insured salary.
- Employee pays: ~1.0–1.6% of gross salary
- Occupational accident (BU) paid by employer
- Mandatory for employees working 8+ hours/week
- Covers medical costs, daily allowances, disability
Income Tax — varies by canton
Switzerland taxes income at three levels: federal, cantonal, and communal. The total rate depends on your canton of residence, your income level, marital status, and number of children. The variation is enormous.
- Federal tax: up to ~11.5% (progressive)
- Cantonal/communal: 10–35% depending on canton
- Zug, Schwyz, Nidwalden: lowest rates
- Geneva, Basel-Stadt, Vaud: higher rates
Church Tax — 0 to 4%
If you are a registered member of a recognised church (Roman Catholic, Protestant, or Old Catholic in most cantons), a church tax is automatically deducted. You can avoid this by formally leaving your church.
- Applies in most cantons (not all)
- Typically 1–4% of cantonal income tax
- Leaving the church removes this deduction
- Not applicable in Geneva and Neuchâtel
All deductions — at a glance
A summary of all standard deductions from your gross salary in Switzerland. Rates shown are employee shares (2026).
| Deduction | Employee Rate | Employer Rate | Notes |
|---|---|---|---|
| AHV/IV/EO | 5.3% | 5.3% | 1st pillar pension |
| ALV | 1.1% | 1.1% | Capped at CHF 148,200 |
| BVG | 3.5–9% | 3.5–9% | Age-dependent, on coordinated salary |
| NBU (Accident) | ~1–1.6% | BU only | Non-occupational accidents |
| Income Tax | 10–35% | — | Federal + cantonal + communal |
| Church Tax | 0–4% | — | Optional — leave church to remove |
Three pillars — your retirement explained
Switzerland's retirement system is built on three pillars. Understanding them helps you see where your salary deductions go — and how to optimise your finances.
Pillar 1 — AHV/IV (State Pension)
The mandatory state pension funded by AHV/IV/EO contributions. It aims to cover basic living costs in retirement. The maximum AHV pension is CHF 2,450/month (2026). It's a pay-as-you-go system — today's workers fund today's retirees.
- Mandatory for all employees and self-employed
- Maximum pension: CHF 2,450/month (single)
- Married couples: max CHF 3,675/month combined
- Retirement age: 65 for men and women (since 2025)
Pillar 2 — BVG (Occupational Pension)
Your employer's pension fund. Together with Pillar 1, the goal is to maintain about 60% of your previous income in retirement. Mandatory for employees earning more than CHF 22,050/year (entry threshold 2026).
- Mandatory above CHF 22,050/year salary
- Contributions split with employer (at least 50/50)
- Your capital grows tax-free until retirement
- Can be withdrawn for home purchase or self-employment
Pillar 3a — Private Pension (Voluntary)
Voluntary private savings with major tax benefits. Contributions to Pillar 3a are fully tax-deductible — up to CHF 7,258/year for employees with a pension fund (2026). This is one of the most effective tax optimisation tools in Switzerland.
- Max contribution: CHF 7,258/year (with BVG)
- Max contribution: CHF 36,288/year (without BVG)
- Fully deductible from taxable income
- Locked until age 60 (with exceptions)
Example: CHF 6,000/month gross salary (Zurich, single, age 35, no church)
| Deduction | Amount | Rate |
|---|---|---|
| Gross salary | CHF 6,000 | — |
| AHV/IV/EO | −CHF 318 | 5.3% |
| ALV | −CHF 66 | 1.1% |
| BVG (est.) | −CHF 214 | ~5% on coordinated salary |
| NBU (est.) | −CHF 78 | ~1.3% |
| Subtotal social deductions | −CHF 676 | ~11.3% |
| Income tax (est., Zurich) | −CHF 720 | ~12% effective |
| Net salary (est.) | ~CHF 4,604 | ~76.7% |
This is an estimate. Actual amounts depend on your pension fund, insurer, commune, and personal situation. Use this as a guideline, not a definitive calculation.
Frequently Asked Questions about Swiss Salary Deductions
What is deducted from my gross salary in Switzerland?
The main deductions are: AHV/IV/EO (5.3%), ALV unemployment insurance (1.1%), BVG occupational pension (3.5–9% depending on age), non-occupational accident insurance NBU (~1–1.6%), and income tax (varies by canton, marital status, and income). Church tax may also apply if you are a registered member.
How much is the AHV/IV/EO contribution in 2026?
The total AHV/IV/EO rate is 10.6%, split equally between employee and employer at 5.3% each. This breaks down into AHV at 8.7%, IV at 1.4%, and EO at 0.5%. These rates apply to your entire gross salary with no cap.
What is the BVG and how does it affect my salary?
The BVG (Berufliche Vorsorge) is your occupational pension — the 2nd pillar. Contributions are age-dependent: 7% total at age 25–34, rising to 18% at age 55–65. They apply only to the coordinated salary (gross minus CHF 25,725, capped at CHF 90,720). Your employer pays at least half.
Do salary deductions vary by canton?
Social insurance rates (AHV, ALV, BVG) are the same across all cantons. However, income tax varies dramatically. Low-tax cantons like Zug or Schwyz can mean thousands of francs more net salary per year compared to high-tax cantons like Geneva or Basel-Stadt.
What is withholding tax (Quellensteuer)?
Withholding tax is income tax deducted directly by the employer. It applies to foreign nationals without a C permit (settlement permit) and to all employees earning under CHF 120,000/year without a C permit. The rate depends on your canton, income, marital status, and number of children.
How does marital status affect net salary?
Married couples are taxed jointly in Switzerland, which can increase the tax rate if both spouses earn similar incomes (marriage penalty). However, married couples with one main earner often benefit from lower combined rates. The number of children also reduces taxable income through deductions.
Is there a minimum wage in Switzerland?
Switzerland has no national minimum wage. However, several cantons have introduced their own: Geneva (CHF 24.48/hour), Basel-Stadt (CHF 21/hour), Ticino (CHF 19.75–20.25/hour), Neuchâtel, and Jura. Some industries also have minimum wages set by collective labour agreements (GAV/CCT).
How can I reduce my tax burden legally?
The most effective tool is Pillar 3a: contributions up to CHF 7,258/year (2026) are fully tax-deductible. Other strategies include claiming all eligible deductions (commuting costs, meal expenses, professional training), voluntary BVG buy-ins, and — if feasible — choosing a low-tax canton of residence.
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Understanding your salary is the first step. Magic Heidi helps Swiss freelancers and small businesses create invoices, track expenses, and stay on top of VAT — so you keep more of what you earn.