Finances · Social insurance
Three pillars.
It's your job to fill them.
As a self-employed person, much of your safety net disappears – or becomes optional. What's mandatory, what's voluntary, and what you must never forget.
Pillar 1
AHV / IV / EO
State social insurance. Self-employed people pay decreasing rates (5.371 – 10% depending on income). Mandatory, directly with the compensation office.
Pillar 2
BVG (pension fund)
Mandatory for employees from CHF 22,680 annual salary (2025). Self-employed people can join voluntarily – often via professional associations.
Pillar 3
Pillar 3a & 3b
Tax-privileged and voluntary. For 2025: CHF 7,258 with a pension fund, CHF 36,288 without. Locked in until 5 years before AHV retirement age.
2025 figures
The key amounts
CHF 22,680
BVG entry threshold
Annual salary from which employees must be insured under pillar 2.
CHF 7,258
Pillar 3a with pension fund
Maximum tax-privileged contribution when affiliated with a pension fund.
CHF 36,288
Pillar 3a without pension fund
20% of net income, up to this amount – for self-employed people without pillar 2.
10.00%
Maximum AHV rate
For the self-employed. Decreasing scale for lower incomes.
1.4%
IV contribution
In addition to AHV, for the self-employed.
0.5%
EO contribution
Income compensation for military, maternity and paternity service.
CHF 30,240
BVG coordination deduction
Deducted from the insured salary because AHV already covers it.
5 yrs
Pillar 3a lock-in period
Early withdrawal at the earliest 5 years before ordinary AHV retirement age.
The big question for the self-employed
Without a pension fund you have a larger pillar 3a allowance and more liquidity – but also no risk cover for disability or death, no employer contributions and less tax optimisation later on via BVG buy-ins.
Rule of thumb: anyone who regularly earns CHF 60,000+ net income and wants to stay self-employed long-term often benefits from voluntarily joining a BVG scheme – for example via the pension institution of their professional association.
Daily sickness benefits & accident insurance
As a self-employed person you are not compulsorily insured against loss of earnings due to illness. Daily sickness benefits insurance (KTG) protects you if a longer illness takes you out of the business. Accident insurance (UVG) is also voluntary for the self-employed – make sure to check it.
Don't forget
Sources & further reading