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Increase in AHV contributions in Switzerland from 1 January 2020

The AHV wage contribution in Switzerland will increase from 8.4 to 8.7%. This means that the AHV/IV/EO contribution rate increases from 10.25 to 10.55%. Employer and employee continue to share the 1st pillar contributions equally. This adjustment is due to the entry into force of the Federal Tax Reform and Social Security Financing Act (STAF) on 1 January 2020.

Ensure the correct application of the contribution rates and contributions are applied within your salary administration from January 2020 onwards.

RSM Switzerland AG will be happy to support you with tailor-made outsourcing and/or consulting services in the payroll area.

Authors

Thomas Laube
Partner Accounting & Employment Services

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