Old-age pensions
The old-age pension, which is based on the “three-pillar” system, is one of Switzerland’s greatest achievements. It underlines the sense of solidarity between the generations that is firmly rooted in the country. Old-age and survivors’ insurance (AHV) is financed on a pay-as-you-go basis, i.e. the contributions of the younger people in work are used to pay for pensions.
The first pillar of the pension scheme – Federal Retirement and Survivors’ Insurance – is compulsory for all employees regardless of their citizenship. It is intended to cover basic needs in old age. As soon as they reach retirement age, insured persons are paid an old-age pension. If an insured person dies, any dependent family members will receive a survivor’s pension.
Half of the AHV contributions are deducted directly from your salary, with ETH Zurich making up the other half as the employer and paying both parts to the external page Federal Compensation Office.
Social security number
You will be given an individual Swiss social security number for the insurance provided under the first pillar. If you do not yet have a Swiss insurance card, Human Resources will obtain this on your behalf and send it to you.
Please note: The Swiss social security number is a separate number and is not the same as your European social security number.
The second pillar – occupational pensions – is intended to enable people, in an appropriate manner, to maintain their accustomed standard of living in old age. This is compulsory for employees whose salaries are at or above a specific minimum level and is guaranteed by the occupational pension fund. Employers are obliged to pay at least 50% of the required contributions.
ETH Zurich employees are insured by external page PUBLICA (the Swiss Federal Pension Fund) with a defined contribution plan. Under the contribution plan, benefits are based on the amounts credited through contributions plus any deposits in the account (including interest). At ETH Zurich, the employee pays 36% of the monthly contributions, with the remaining 64% paid by the employer. Employees also have the option to pay voluntary contributions which entitle them to greater pension and withdrawal benefits.
Invalidity insurance (IV): Swiss invalidity insurance (IV) forms part of the first and second pillars. It provides protection against the financial consequences of invalidity, promotes the reintegration of those unable to work, and safeguards pension payments if reintegration is not possible. IV contributions are mandatory and are covered by AHV and pension fund contributions.
Retirement age: The retirement age in Switzerland is 64 for women and 65 for men. Pensions may be taken early, but not until age 60.
Our salary calculator can help you calculate the AHV and pension fund contributions that will be deducted from your salary.
Please note: The information on this page is meant for information purposes only. No responsibility is taken for the correctness of this information. The rules and regulations may have changed in the meantime. For legally binding information please contact the responsible authority.