Understanding your Swiss payslip: every deduction explained
Between gross and net sit five to seven lines that hardly anyone reads in detail — yet all of them can be understood in a minute. And two of them are genuinely worth checking every month.
Published: 17.07.2026 · Updated: 17.07.2026
From gross to net: the order
Every payslip follows the same pattern — the agreed salary at the top, then the deductions, the payout at the bottom. The lines in detail (2026 rates: statutory, uniform across Switzerland — you can recompute everything in the salary calculator):
| Line | Rate (employee) | Basis |
|---|---|---|
| AHV/IV/EO | 5.3% | entire gross salary, no cap |
| ALV | 1.1% | up to CHF 148,200 per year |
| NBU | employer-dependent (guide ~1–2%) | up to CHF 148,200, from 8 h/week |
| BVG | age-dependent (your share: 3.5–9%) | coordinated salary |
| KTG | contractual | per policy |
| Withholding tax | by tariff code | monthly gross (only without C permit) |
The lines in detail
AHV/IV/EO — 5.3%: old-age, survivors’ and disability insurance plus income compensation. Every franc is liable — including bonus and 13th month salary. How this eventually becomes your pension: the AHV explained.
ALV — 1.1%: unemployment insurance, only up to the CHF 148,200 annual limit; above it, no further contribution.
NBU: non-occupational accident insurance. The rate is set by the employer’s insurance contract — it varies, typically around 1–2%. Below 8 weekly hours the cover lapses (then include accidents in your health insurance). The occupational-accident premium is always paid by the employer.
BVG: the savings contribution to the pension fund, calculated on the coordinated salary and age-dependent — hence the net drop at the 35/45/55 steps. The whole system including the coordination deduction: pension fund & BVG explained.
KTG: daily sickness-benefit insurance — voluntary or per collective agreement, often split half-half. It bridges salary payment during longer illness.
Withholding tax: only for foreign employees without a C permit; the rate depends on canton, tariff code and monthly salary — recompute in the withholding tax calculator, put in context in the guide withholding tax or ordinary assessment.
These two lines deserve your check
- NBU rate and KTG: the only freely varying percentages — typos and outdated rates happen here most often.
- BVG deduction: does it match your pension certificate? Especially after pay rises, workload changes (part-time!) and step-change birthdays, the comparison pays.
And once a year: hold the salary certificate against the twelve payslips — it is the basis of your tax return.
Frequently asked questions
Which deductions are statutory, which voluntary?
Statutory: AHV/IV/EO (5.3%), ALV (1.1% up to CHF 148,200), accident insurance and, from the entry threshold, BVG. Depending on contract or employer, KTG (daily sickness benefits) and any collective-agreement contributions come on top. Withholding tax only affects foreign employees without a C permit.
Why does my BVG deduction change with age?
The BVG retirement credits rise in steps: 7% (25–34), 10% (35–44), 15% (45–54), 18% (from 55) of the coordinated salary — you bear half. In the step-change years (35, 45, 55) your net salary therefore drops noticeably without anything else having changed.
What is the difference between the payslip and the salary certificate?
The payslip comes monthly and shows that month's deductions. The salary certificate comes once a year, summarises the whole year and is the official document for the tax return. If the two do not match, ask.