Overview

Capital
Zurich
Currency
Swiss Franc

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Taxes

Employer
4.2% - Pension Old age and survivors
7% - Pension Disability
3.5% - 9% - Occupational Pension
Up to 1.60% - Unemployment insurance
Employee
4.2% - Pension Old age and survivors
7% - Pension Disability
3.5% - 9% - Occupational Pension
Up to 1.60% - Unemployment insurance

Minimum Wage

General
No national minimum wage.

Non Mandatory

Expat Benefits
Expats in Switzerland can choose to deduct lump-sum expatriate deduction monthly only if their permanent home in their home country is available during the assignment, if the house has been rented or unavailable, the lump sum is not accepted. Double housing cost reduction is also available only if the home country housing is permanently owned and available by the expat. Costs for traveling that are considered obligatory for the move will also be deducted. For the period of 5 years, school costs can also be deducted for expat’s children. Only expats who are executive employees and specialist working in Switzerland temporarily, with a letter of assignment, that states the employment term is less than 5 years and the employee will return to the home country after the assignment is over, are qualified for the expat benefits.

Mandatory Benefits

Pension Fund
The employer contributes 4.2% for old age and survivors, and .7% for disability.
3.5% - 9% is contributed towards occupational pension depending on insured's age and monthly earnings.
The employee contributes 4.2% for old age and survivors, and .7% for disability.
3.5% - 9% is contributed towards occupational pension depending on insured's age and monthly earnings.

Payroll

Additional Employee Withholding
1) Disability Benefits
2) Compensation for temporary loss of income
3) Unemployment
4) Accident Insurance
5) Family allowance
6) Administration fee
1) Employer contributes 0.7%
2) Employer contributes 0.25%
3) Employer contributes 1.1% if the salary is up to CHF 126,000 and 0.5% if it is over 126,000.
4) Employer contributes up to CHF 126,000
5) Employer contributes 1.2% - 3.5% no salary ceiling
6) Employer contributes 3% of the pension, disability and loss of income contribution.
1) Employee contributes 0.7%, no salary ceiling.
2) Employee contributes 0.25% no salary ceiling
3) Employee contributes 1.1% if the salary is up to CHF 126,000 and 0.5% if it is over 126,000.
4) Employee contributes 0%
5) Employee contributes 0%
6) Employee contributes 0%

Termination

Termination Process
If the employee has been working in the company for:
1 year - one-month notice
2 years to 9 years - two months’ notice
Over 10 years - three months’ notice
Advance Notice
At least one week of notice.
Severance Pay
Employee is entitled to a severance pay if they are over the age of 50 and have worked in the company for 20 consecutive years. The payment is two months of salary.