• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

Net pay while working in Switzerland

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    Net pay while working in Switzerland

    Hi guys,

    I may have an offer to working in Switzerland and I have been offered a rate of 800 CHF per day. I will be working one day from UK. Is this a good rate? Agency had got me in touch with a company and they have told me that I will be retaining about 67-69% of that. is that reasonable?
    I will be working in Geneva and I am told I will have to make mandatory pension contributions even if I have no intention to live long term in Switzerland. Are there any ways around to make my net take home higher?

    If you are working in Switzerland or have done so in the past or know the answers, please reply.

    Thanks in advance.

    #2
    Originally posted by punjabilad View Post
    Hi guys,

    I may have an offer to working in Switzerland and I have been offered a rate of 800 CHF per day.
    Nope but you won't get enough to make it worthwhile so either like it or continue looking...
    merely at clientco for the entertainment

    Comment


      #3
      Originally posted by punjabilad View Post
      Hi guys,

      I may have an offer to working in Switzerland and I have been offered a rate of 800 CHF per day. I will be working one day from UK. Is this a good rate? Agency had got me in touch with a company and they have told me that I will be retaining about 67-69% of that. is that reasonable?
      I will be working in Geneva and I am told I will have to make mandatory pension contributions even if I have no intention to live long term in Switzerland. Are there any ways around to make my net take home higher?

      If you are working in Switzerland or have done so in the past or know the answers, please reply.

      Thanks in advance.

      I had the same experience before, I was offered a high rate, but the agency gave me a breakdown of all the mandatory contributions there, plus the high cost of accommodation and transport, and the money ended up like almost a permie here... am not sure if this is for everyone or if the specific way that agency works... in Scandinavia you are allowed to have B2B contract with no mandatory payments.

      Comment


        #4
        I am told that flights and hotel bills will be considered as expenses so I will save tax on them. Also, there is a possibility that I may get the chance to work 2 days remotely from UK so that will save some hotel bills. Do guys think that may make it a bit more worthwhile in terms of money?

        Although, I understand I will have to pay UK tax as well (minus tax paid in Switzerland). I guess this is mandatory but please suggest if not.

        Comment


          #5
          Hi, the take home sounds right, and no you can't raise it. One tip is that if you are paying no National Insurance at all in the UK you can claim the "private" pension back after 3 months. You will need to provide a letter from the UK tax office to confirm that. Obviously that would only make sense if you spent 3 months on the bench after returning from Switzerland. Eventually you will receive a lump sum when you are 65. You will accumulate approx 5000 to 6000 CHF in your private pension pot per annum.
          I'm alright Jack

          Comment


            #6
            Originally posted by punjabilad View Post
            I am told that flights and hotel bills will be considered as expenses so I will save tax on them. Also, there is a possibility that I may get the chance to work 2 days remotely from UK so that will save some hotel bills. Do guys think that may make it a bit more worthwhile in terms of money?

            Although, I understand I will have to pay UK tax as well (minus tax paid in Switzerland). I guess this is mandatory but please suggest if not.
            Yes it is, by staying in hotels this confirms your expat status in Switzerland and exempts you from additional taxes. However you will have to submit a Swiss tax form, and here it is important that you make it clear you are not resident, otherwise you'll end up with a whole load of back taxes. If they accept you are not mainly resident in Switzerland, and they will need proof, i.e. house ownership document/rental agreement in the UK and plane tickets, then no further taxes to pay. Shouldn't be a problem if you are in a hotel.
            I'm alright Jack

            Comment


              #7
              Originally posted by BlasterBates View Post
              Yes it is, by staying in hotels this confirms your expat status in Switzerland and exempts you from additional taxes. However you will have to submit a Swiss tax form, and here it is important that you make it clear you are not resident, otherwise you'll end up with a whole load of back taxes. If they accept you are not mainly resident in Switzerland, and they will need proof, i.e. house ownership document/rental agreement in the UK and plane tickets, then no further taxes to pay. Shouldn't be a problem if you are in a hotel.

              thanks for that and this is the only positive news today :-) I am going to search for more information about taxes in Switzerland with me being non-resident there. I do intend to stay in hotels and have made clear that I can be there only for 3 days a week. I hope that will be enough for me to prove my non-resident status. Considering that, how much net pay do you think I could take home?

              If you have any links/info where I can get more info what taxes I will have to pay or I could save, that will be gratefully appreciated. Thanks in advance.

              Comment


                #8
                Originally posted by punjabilad View Post
                thanks for that and this is the only positive news today :-) I am going to search for more information about taxes in Switzerland with me being non-resident there. I do intend to stay in hotels and have made clear that I can be there only for 3 days a week. I hope that will be enough for me to prove my non-resident status. Considering that, how much net pay do you think I could take home?

                If you have any links/info where I can get more info what taxes I will have to pay or I could save, that will be gratefully appreciated. Thanks in advance.
                You will pay taxes on your Swiss income there is no way round that, but if Switzerland is not your main residence as you've been informed you can offset expenses and avoid additional taxes on rental or investment income and your assets, i.e. wealth tax. The payroll company should sort out the expenses, nornally it is a CHF 1500 monthly tax free allowance.
                Last edited by BlasterBates; 24 May 2017, 12:22.
                I'm alright Jack

                Comment


                  #9
                  Originally posted by BlasterBates View Post
                  You will pay taxes on your Swiss income there is no way round that, but if Switzerland is not your main residence as you've been informed you can offset expenses and avoid additional taxes on rental or investment income and your assets, i.e. wealth tax. The payroll company should sort out the expenses, nornally it is a CHF 1500 monthly tax free allowance.
                  Lets not forget the hotel cost- Geneva. 250/300 Euro a night?

                  Comment


                    #10
                    Originally posted by stek View Post
                    Lets not forget the hotel cost- Geneva. 250/300 Euro a night?
                    I think CERN is near there? I stayed just across the border in France, in a really cheap (but clean and tidy) budget hotel, forget the name, might have been Etap.
                    Public Service Posting by the BBC - Bloggs Bulls**t Corp.
                    Officially CUK certified - Thick as f**k.

                    Comment

                    Working...
                    X