On Aug. 28, SWI GVT announced increase francs in minimum pension.
SWI GVT announced increase of 35 CHF in minimum AVS/AI pension Jan. 1, 2025.
Overview
Old age and survivors (AHV/IV) pensions adapted to changes in prices, wages + 2.9%.
Federal Council made decision on basis of mixed index provided for by law on Aug. 28.
The minimum AHV/IV pension will thus increase from 1,225 to 1,260 CHF per month.
At same time, adjustments will be made in area of contributions, for supplementary benefits, for transitional benefits and in compulsory occupational pension provision.
Amount of minimum AVS/AI/APG contribution for self-employed and persons without gainful employment will increase from 514 to 530 CHF per year.
That of the minimum contribution in optional AVS/AI from 980 to 1,010 CHF.
Key Aspects
As prescribed by AHV Act, the Federal Council examines, as rule every 2 years, the need to adjust AHV and IV pensions to changes in wages and prices.
For decision it relies on arithmetic mean of wage index and price index (mixed index) and takes into account recommendation of the Federal AHV/IV Commission.
Last time it adjusted pensions was in 2023 when set minimum pension at CHF 1,225.
This adjustment also has an impact on mandatory occupational pension provision.
The amount of coordination deduction in mandatory occupational pension scheme will increase from 25,725 to 26,460 CHF, entry threshold from 22,050 to 22,680 CHF.
Maximum tax deduction authorized in context of linked individual pension provision (pillar 3a) will increase from 7,056 to 7,258 CHF for persons with a 2nd pillar and from 35,280 to 36,288 CHF for those without one.
These adjustments will also come into force on Jan. 1, 2025; further details provided.
The deductibles on income from gainful employment are being adapted to development of wages since the last adjustment based on the wage index.
The deductible for single people is being increased from 1,000 to 1,300 CHF per year and for couples and people with children from 1,500 to 1,950 CHF per year.
It entails costs of 11 million francs, 7 million for Confederation, 4 million for cantons.
