How to read a pay slip? 🧾💰

How to read a pay slip? 🧾💰

Understanding a pay slip can be a little confusing, especially when you are faced with unfamiliar acronyms. In Switzerland, these acronyms vary depending on whether you are in the French-speaking, German-speaking, or Italian-speaking part of the country. Let's demystify your Swiss pay slip by examining each acronym, its meaning, and its impact on your salary.

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AHV (Old Age and Survivors' Insurance, Disability Insurance, and Loss of Earnings Insurance) 👴👵🏥📈

AHV (in German), AVS (in French and Italian), is a mandatory contribution deducted from your salary.

Rate: The employee and the company each pay 5.3% of the monthly salary.

Example: If your monthly salary is 10,000 CHF, you and your company each pay 530 CHF.

ALV (Unemployment Insurance) 😔🛠️🔍

ALV (in German), AC (in French), AD (in Italian) is an insurance policy to which you contribute and which helps you in the event of unemployment.

Rate: You and your employer each contribute 1.1% of your monthly salary.

Example: For a monthly salary of CHF 10,000, you and your company each pay CHF 110.

ALVZ (Supplementary Unemployment Insurance) 📈🛡️

ALVZ (in German), Compl. AC (in French), Compl. AD (in Italian), applies only to salaries above CHF 148,200 per year.

Rate: Both you and your employer contribute 0.5% of the portion of your salary above the threshold of CHF 148,200.

NBUV (Accident insurance: occupational accident and non-occupational accident rates) 🏥🚑🔧

NBUV (in German), AANP (in French), AINP (in Italian), provides financial protection in the event of occupational and non-occupational accidents.

Rate: For occupational accident insurance, the company pays 0.081%. For non-occupational accident insurance, the rate is 1.168% and the company may choose to share the costs with you.

KTG (Daily health insurance) 🤒🛌💵

KTG (in German), IJM (in French), IGM (in Italian), covers part of your salary in the event of illness.

Rate: The rate is 1.14%, fully covered by the company, but the company may allocate up to 50% of the share to the employee.

BVG (Occupational pension plan) 🧓👵💰

BVG (in German), LPP (in French and Italian), is the pension contribution. The amount deducted for pension purposes depends on your age and salary.

Example: If the determined pension contribution is $597.50, you and your employer contribute equally, unless your employer chooses to pay more.

Withholding tax or "Tax at source" 📄💸

For employees who are not Swiss citizens or do not hold a C permit, withholding tax is deducted from your salary to cover your local and cantonal taxes.

In conclusion, pay slips are not simply a statement of your salary; they detail your contributions for taxes, insurance, and retirement.

How can Earny help you? 🤝💡🚀

Understanding the intricacies of a pay stub may seem difficult, but Earny here to change that! As a dedicated payroll provider, we are committed to demystifying pay stubs and improving your financial awareness. Here's how Earny help:

1. Clarity and simplicity: At Earny, we design pay stubs to be clear and easy to understand. We replace complex acronyms and jargon with simple terms, providing concise explanations so you know exactly where your money is going each month. 📃🔍
2. Complete information: We make sure you are informed about every item on your pay slip. Our software takes into account the entire picture, including all contributions, taxes, and insurance, providing a comprehensive view of your monthly income and deductions. 🧮💼
3. Real-time updates: Any changes to contributions, whether taxes or insurance, are immediately reflected in our system. This ensures accuracy and transparency, allowing you to stay informed and up to date on all changes to your paycheck. 🔄🔔
4. Accessible support: Our customer service team is ready to answer any questions or concerns you may have about your pay stub. We are committed to making your payroll experience as smooth and understandable as possible. 💬👥

At Earny, we believe that your pay stub is not just a document, but an essential tool for financial understanding. We're here to simplify the process and help you navigate your pay stub with ease and confidence! 🎯💡📈