TopicFederal, identical across all 26 cantons

AHV / AVS Social Insurance

AHV (Alters- und Hinterlassenenversicherung) is Switzerland's mandatory first-pillar social insurance. Federal rates apply identically across all 26 cantons; cantonal compensation offices handle registration and collection. This hub covers self-employed registration, employer obligations, and the contribution traps SMEs hit most.

10.6%
Combined AHV/IV/EO rate (employed)
14.35%
Self-employed rate (max)
CHF 514
Minimum annual self-employed
Pillar 1
Mandatory for all workers
Verified against official sources in Switzerland. ESTV, SECO, AHV-IV, FDPIC, and cantonal portals.
Status: current
CantonGenevaZurichZugBernBaselVaud
TopicVATCompany FormationAHVEmploymentData ProtectionAnnual Obligations
Business typeFreelancerGmbHAGEmployer
Key Numbers

AHV / AVS Social Insurance, at a glance

10.6%
Combined AHV/IV/EO rate (employed)
5.3% employee + 5.3% employer. Split equally for all employed workers.
14.35%
Self-employed rate (max)
Sliding scale; full rate applies above CHF 60,500 net annual income.
CHF 514
Minimum annual self-employed
Floor for the lowest-income brackets. Cannot go below this even on zero income.
Pillar 1
Mandatory for all workers
AHV is mandatory for every Swiss-employed worker regardless of nationality or permit.
Reference

Registration, filing, and key rules

Practical facts for SMEs in Switzerland that need to register, or are already registered.

Employer obligations
Employer contribution rate5.3% AHV + 0.7% IV + 0.5% EO
Registration requiredFrom first hired employee
Cantonal compensation officePer workplace canton
Filing frequencyQuarterly contribution declaration
Annual reconciliationYes, by 30 January
Salary capNone for AHV. ALV caps at CHF 148,200.
Late paymentInterest charged
Self-employed obligations
Combined rate (AHV+IV+EO)Up to 14.35%
BasisNet self-employment income after AHV
Minimum annual contributionCHF 514 (2024)
How to registerContact cantonal compensation office
Payment frequencyProvisional quarterly, final annual
Unemployment insurance (ALV)Not available to self-employed
BVG (2nd pillar)Voluntary for self-employed
Watch Out

Mistakes SMEs make most often, AHV / AVS Social Insurance

Four issues that authorities flag regularly in audits of small and medium businesses. Most are avoidable with early setup.

Independent contractor status is not your choice
Whether you are 'self-employed' for AHV is decided by the cantonal compensation office, not by your contract. If you work for one or two main clients with set hours, you may be reclassified as an employee and your client billed retroactively for employer contributions plus penalties.
Minimum contribution applies even on zero income
The CHF 514 minimum applies regardless of actual earnings. A freelancer with zero income in a tax year still owes the minimum. Many side-business founders are caught by this in lean years.
Provisional bills are estimates, not final
AHV sends provisional quarterly bills based on prior-year income. If your income rises, the year-end reconciliation may produce a large supplemental bill. Set aside cash for the reconciliation; don't treat the provisional bills as final.
ALV (unemployment) is not available to the self-employed
Sole traders cannot buy into Switzerland's unemployment insurance. If you stop trading, you have no ALV safety net. Plan reserves accordingly, especially if you have employees who depend on the business.

Not sure where AHV / AVS Social Insurance compliance applies to you?

Get a free personalised report covering your specific situation, AHV / AVS Social Insurance-specific rules included.

Related hubs

By canton or business type

AHV / AVS Social Insurance rules are federal, but canton + structure shape how they hit your business.

By canton
By business type
Articles

Guides covering AHV / AVS Social Insurance

Genevaahv

AHV Self Employed Geneva: OCAS Guide for Freelancers

AHV self-employed Geneva: register with OCAS, contribute 10.0% of net income, plus frontalier and cross-border specifics for Swiss freelancers.

Verified6 min read
Countrywideahv

Self Employed Switzerland: AHV Contributions Guide

Self-employed in Switzerland: AHV contribution rates, registration with your cantonal Ausgleichskasse, the 10.0% rate, and minimum payments.

Verified6 min read
Countrywideahv

How to Become Self Employed in Switzerland

How to become self employed in Switzerland: gain AHV recognition, register with a compensation office, and meet the contribution and admin duties.

Verified5 min read
Bernahv

Self Employed Bern: AHV Registration Guide

Self employed Bern: how to gain AHV recognition, what contributions you owe, and the steps to register as a freelancer with the Bern compensation office.

Verified5 min read