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Switzerland Plans to Ensure Funding for 13th AVS Pension by 2026

  • The Swiss Federal Council aims to ensure funding for the 13th AVS pension from 2026
  • Two options are being considered to cover the additional costs: increasing employment contributions or a combination of employment contributions and VAT
  • The Federal Council wants to prevent the deterioration of AVS finances and reduce the federal contribution temporarily
  • The 13th pension will be paid annually to all beneficiaries from 2026
  • The cost of the 13th pension will be around 4.2 billion francs initially, increasing to 5 billion after five years
  • The Federal Council plans to reduce the federal contribution to AVS to 18.7% to avoid further burden on the federal budget


Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.


VAT news
VAT news