Key social security figures for payroll accounting in 2025

As the new year approaches, some of the contribution rates for social insurance will change. We have summarised the main figures below so that you can handle your payroll accounting smoothly.

AHV/IV/EO contributions for employees

The obligation to pay contributions for people in work begins on 1 January following their 17th birthday. In 2025 this applies to employees born in 2007 or earlier. So even if a person turns 18 on 31 December 2025, they will still have to pay AHV/IV/EO contributions on their earned income from January 2025. (AHV is the Swiss old-age and survivors’ insurance, IV is invalidity insurance and EO is income compensation insurance.)

The contribution rates remain unchanged:

AHV 8.7%

IV 1.4%

EO 0.5%

Total 10.6% (for both employer and employee)

The employer and the employee each pay half of the total amount; the employee’s share is deducted directly from their salary.

AHV/IV/EO contributions for the self-employed

The basis for calculating social insurance contributions for the self-employed is the income from self-employment earned in the contribution year. It is reported automatically by the competent tax authorities. The AHV/IV/EO rate is lower than the one applied to employees: it stays at a maximum of 10%, varying according to annual income (sliding contribution scale for the self-employed).

Occupational pensions: when, how, what and where?

Unemployment insurance (ALV)

Unemployment insurance applies to all employees covered by the AHV. The contribution for this insurance is set at 2.2% and applies up to an annual income of CHF 148,200.

Pillar 3

If you would like to receive additional income when you retire, you can choose to build up a third pillar on a voluntary basis. The amounts paid in can be deducted from personal income tax. There are no upper limits for pillar 3b. For pillar 3a, however, there is a limit: the self-employed can contribute up to 20% of their income, with a maximum of CHF 36,288, provided they are not covered by the BVG. For employees, the maximum remains CHF 7,258 in 2025.

Pillar 3a can be paid out at the earliest five years before retirement. Payment in instalments is not possible, so the pillar 3a must be withdrawn in full.

Tip: open several pillar 3a accounts (up to a maximum of 4). This way you can spread your 3a assets across several accounts and diversify your risk.

Retroactive pillar 3a buy-ins

From 2025 it will be possible to make up future contribution gaps in pillar 3a through retroactive buy-ins. This option is intended for people who, in certain years, are unable to pay contributions or can only pay partial contributions into their tied pension plan.