BVG / pension fund for nannies in Switzerland
Most families think of OASI and accident insurance - and overlook the second pillar. As soon as your nanny earns enough, occupational pension provision (BVG) becomes mandatory, and you as the employer must enrol her with a pension fund. Here's when the obligation kicks in, how high the contributions are, and how to deduct them correctly.
BVG is mandatory for your nanny once her annual wage is at least CHF 22,680 and she is at least 25 years old (risk cover from 17, retirement savings from 25).
- A full-time nanny usually earns CHF 45,600-78,000/year - almost always subject to BVG.
- Only the coordinated salary is insured: gross wage − CHF 26,460.
- Retirement credit of 7-18% by age - split 50/50 between you and the nanny.
BVG calculator: mandatory & cost
Pick a wage and age - see instantly whether BVG is mandatory and what it costs.
= CHF 54'000.00 / year
BVG is mandatory
Annual wage above CHF 22,680 and nanny 25+ - you must enrol her in a pension fund.
Coordinated salary
CHF 27'540.00
insured part (gross − CHF 26,460)
Nanny's share / month
CHF 114.75
deducted from wage
Employer's share / month
CHF 114.75
you pay on top
Retirement credit (35 years → 10%): CHF 2'754.00 / year
BVG minimum rates. Pension-fund risk and admin costs (about 1-2%) come on top. Figures rounded.
Handle BVG automatically with Clino →When is BVG mandatory for a nanny?
Occupational pension provision - the second pillar of the Swiss system - isn't mandatory at every wage level. Two conditions must both be met:
1. Wage threshold: ≥ CHF 22,680 per year
If the annual gross wage is at or above the BVG entry threshold of CHF 22,680 (2026), the nanny becomes mandatorily insured. Below that there is no obligation.
2. Age: from 25 for retirement savings
From 1 January after her 17th birthday, the nanny is covered against death and disability. Saving for retirement (the retirement credits) only starts from the year in which she turns 25.
In practice: a 30-year-old full-time nanny on CHF 4,500/month (CHF 54,000/year) is clearly subject to BVG. A 22-year-old part-time nanny on CHF 1,400/month (CHF 16,800/year) is not - neither the threshold nor the age requirement is met.
The Brunner family in Winterthur correctly registered their nanny for OASI and paid accident insurance for two years - but never enrolled her with a pension fund. At CHF 4,800/month, BVG had long been mandatory. Paying the employer contributions in arrears plus default interest cost them over CHF 4,000. The second pillar is exactly the cost families overlook most often.
How high are the BVG contributions?
Unlike OASI, not the whole wage is insured - only the 'coordinated salary'. Here's how it's calculated:
- •Subtract the coordination deduction: gross wage − CHF 26,460
- •Result = coordinated salary (minimum CHF 3,780, maximum insurable CHF 64,260)
- •Retirement credit = coordinated salary × age-based rate (see table)
The retirement credit is split equally between you and the nanny. The rates rise with age:
Minimum rates per BVG, as of 2026. Minimum interest on retirement assets 1.25%, conversion rate 6.8%. Individual pension funds may offer better benefits.
Example: a nanny on CHF 5,000/month
Take a 38-year-old full-time nanny on a gross wage of CHF 5,000/month, i.e. CHF 60,000/year. Here's her BVG calculation:
| Annual gross wage | CHF 60,000 |
| − Coordination deduction | − CHF 26,460 |
| = Coordinated salary | CHF 33,540 |
| Retirement credit (age 38 → 10%) | CHF 3,354 / year |
| Nanny's share (5%) | ≈ CHF 140 / month |
| Employer's share (5%) | ≈ CHF 140 / month |
On top come the pension fund's risk and administrative costs (roughly 1-2% of the coordinated salary, depending on the fund). You deduct the nanny's share from her wage each month and pay your own share to the fund as well.
⚠ You must actively enrol with a pension fund
There is no 'automatic' enrolment. As the employer you affiliate with a collective foundation or pension fund (e.g. the Substitute Occupational Benefit Institution if you can't find another). Only then is your nanny insured. Without affiliation, you are personally liable for missing benefits.
Why the second pillar matters for your nanny
Occupational pension provision is not bureaucratic luxury - it's a real part of your nanny's retirement. Anyone who works for years without BVG ends up relying solely on the minimal OASI pension. Nannies who moved to Switzerland later in life often have gaps in the first pillar - the second pillar partly compensates for that.
Correct social benefits including BVG are also a sign of fair employment. Industry associations such as the Swiss Nanny Association advocate precisely for this: professional, properly insured working relationships instead of informal cash arrangements.
For more on fair employment standards for nannies, see the Swiss Nanny Association - it promotes regulated contracts with full social cover, BVG included.
Swiss Nanny Association →Common mistakes with nanny BVG
1. Forgetting BVG entirely
OASI and accident insurance are well known - the second pillar slips through. At a full-time wage it is almost always mandatory.
2. Trying to insure the whole wage
Only the coordinated salary (gross wage − CHF 26,460) is insured, not the full amount.
3. Not deducting the nanny's share
Half the contributions are borne by the nanny. Forget this and you end up paying both halves yourself.
4. Wrong age band
The credit rate rises with age (7 → 18%). Using the wrong rate miscalculates the contributions.
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Calculate BVG automatically - with Clino
Clino works out the coordinated salary, the correct retirement credit and the nanny's share, and shows everything transparently on the payslip. Includes OASI/IV, accident insurance and the salary certificate. CHF 19.90/month.
Get startedFrequently asked questions
From what wage is BVG mandatory for my nanny?
What is the coordination deduction?
Who pays the BVG contributions - me or the nanny?
Which pension fund do I enrol my nanny with?
Does BVG also apply to a young nanny under 25?
Does Clino help with BVG accounting?
Sources
- Federal Social Insurance Office (BSV/FSIO) - Occupational pension provision, threshold amounts 2026: bsv.admin.ch
- Federal Act on Occupational Old Age, Survivors' and Invalidity Pension Provision (BVG), SR 831.40 - Art. 2 (compulsory insurance), Art. 7 (minimum wage), Art. 8 (coordinated salary), Art. 16 (retirement credits)
- AHV 21 reform and BVG threshold amounts 2026 (BVV 2 ordinance)
- Substitute Occupational Benefit Institution - duty to affiliate: chaeis.net
Threshold amounts and rates as of 2026. BVG figures are periodically adjusted to the OASI maximum.
