Swiss State Pension

Swiss State Pension refers to the monthly retirement benefits paid under Pillar 1 (AHV/AVS), Switzerland's mandatory state pension system. It provides basic financial security for retirees, with benefits calculated based on contribution years and average lifetime income. Unlike private pensions, AHV is paid as a guaranteed monthly annuity for life, adjusted periodically for inflation.

For 2026, the maximum individual AHV pension is CHF 2,520/month (CHF 30,240/year), requiring 44 contribution years and average annual income of at least CHF 90,720. The minimum pension is CHF 1,260/month. Couples receive maximum CHF 3,780/month combined (150% of individual max). Missing contribution years reduce benefits proportionally—each missing year costs approximately 2.3% of the full pension. Retirement age is 65 for both genders, with options for early withdrawal (58+) or deferral (up to age 70) affecting benefit amounts.

Real-World Example If Hans worked 44 years with average income of CHF 95,000, he receives the maximum CHF 2,520/month AHV pension. If his wife Clara worked 38 years with average CHF 65,000 income, she receives approximately CHF 2,250/month (reduced due to 6 missing years). Combined, they receive CHF 3,780/month—capped at the couple maximum, providing CHF 45,360 annual basic income.