Working part-time in Switzerland: what happens to salary, pension and taxes
Reducing your workload costs more than the corresponding share of salary: the fixed coordination deduction eats a disproportionate share of retirement savings at small workloads — and anyone working for several employers can drop out of the pension fund entirely. The pitfalls are well known and avoidable.
Published: 17.07.2026 · Updated: 17.07.2026
Salary: linear — with two exceptions
Salary scales with the workload, as does an agreed 13th month salary (pro rata). AHV/IV/EO and ALV are percentage deductions and stay proportional too — what a given workload means net is computed in the salary calculator; for hourly-pay arrangements (common in part-time work), vacation supplement included, the hourly wage calculator.
Two places, however, do not bend linearly:
- NBU/UVG: below 8 weekly hours per employer, non-occupational accident cover through the employer lapses — accident cover must then be included in your health insurance.
- Pension fund: the big one — in detail below.
The BVG trap: the fixed coordination deduction
The mandatory scheme subtracts the fixed coordination deduction of CHF 26,460 from the annual salary and insures only the rest (how the system works). What that means part-time, compared (full-time salary CHF 90,000):
| Workload | Salary | insured salary (minimum) | Share |
|---|---|---|---|
| 100% | 90,000 | 63,540 | 71% |
| 60% | 54,000 | 27,540 | 51% |
| 40% | 36,000 | 9,540 | 27% |
At a 40% workload, barely more than a quarter of the salary remains insured — retirement savings shrink faster than the salary. On top of that: below the entry threshold of CHF 22,680 per employer there is no mandatory insurance at all.
What helps:
- Ask about the regulations: many funds reduce the coordination deduction proportionally to the workload or waive it — the most effective lever, at the cost of one question (or, when changing jobs: a selection criterion).
- Bundle several jobs: anyone below the threshold with every employer can insure voluntarily with the BVG Substitute Institution.
- Compensate privately: pillar 3a is open regardless of workload (with AHV-liable earned income) — and doubles as a tax deduction.
Taxes: progression remains
For tax, the total annual income across all jobs counts — progression knows no workload. Two specifics:
- Several employers, withholding tax: for source-taxed people with several jobs, the rate is generally extrapolated to the overall workload — the deduction per job can therefore be higher than the single salary would suggest.
- Plan re-entry/increases: changing workload mid-year shifts taxable annual income — near thresholds (e.g. the CHF 120,000 SOA limit), keep an eye on the annual figure.
Part-time quick checklist
- Coordination deduction: adjusted to the workload? (ask the regulations/HR)
- Below 8 weekly hours: include accident cover in health insurance
- Several jobs below the threshold: check the Substitute Institution
- Compensate the pension gap with pillar 3a
- Calculate the net effect of your target workload instead of guessing
Frequently asked questions
Why does the coordination deduction hit part-time workloads harder?
The coordination deduction of CHF 26,460 (2026) is a fixed amount, subtracted from the salary regardless of workload. At CHF 100,000 it is a quarter of the salary; at CHF 40,000, two thirds — so the insured salary shrinks disproportionately at small workloads. Many pension funds voluntarily adjust the deduction to the workload; a look at the fund regulations pays off.
I work for two employers — am I insured under the BVG?
Each salary counts separately: if neither exceeds the entry threshold of CHF 22,680 (2026), you are mandatorily insured nowhere — even if both salaries together are clearly above it. In that case you can insure yourself voluntarily with the BVG Substitute Occupational Benefit Institution or — where a fund provides for it — for both salaries combined.
Do I pay proportionally lower social contributions part-time?
AHV/IV/EO (5.3%) and ALV (1.1%) are percentages — they scale automatically with the salary. The NBU is different: below 8 weekly hours per employer you are no longer covered against non-occupational accidents through the UVG and must include accident cover in your health insurance.