Hello, I'd like to get advice from the forum members.
I'm a non-EU citizen marrying to a Swiss. I have a C permit and work for a Swiss company for 40%.
My kid just entered a kindergarten 4 days ago, and at the right moment to increase my work, I got an offer from a German company that I can work from home for 20%. The German company originally asked me to work 100% or at least 60% but I feel not so comfortable to quit my Swiss company now and I do not want to work more than 60% due to my small one. I explained it and the German company accepted my 20% of contribution and told me that they want to hire me as a freelancer.
Now they want me to sign, and I've suddenly started worrying if I do not violate any regulation of Swiss employment.
The tasks from my Swiss company and the German company do not have a conflict of interest.
- Should I still check with my Swiss boss if it is fine for him before I sign the contract?
- Should I check if I need a special permit for a German company while I work from home in Switzerland?
- And what is different from "contracting position" and "freelancer"?
If I have a right to work for the both companies, what should I know to work as a freelancer?
I assume that I need to pay my tax in Switzerland. But, I'm also wondering how I should handle 2nd pillar pension, accident insurance, etc. that I didn't need to think by myself with a Swiss company. (e.g., when I have an accident while I work for the German company, it is a non-occupational accident for a Swiss company. Should I have a separate accident insurance from the German company? I guess it is not obliged for them..) Or any other issues can happen?
I'll highly appreciate on your advice about anything that I must consider or to know before I make a contract with the German company.
There are four ways for a company outside of Switzerland to work with someone residing in Switzerland:
1) Self-employed: Person is registered as self-employed in Switzerland and could agree a contract with the German company as a contractor.
2) Incorporated entity: Person has an incorporated legal entity such as an LLC, of which he is an employee. The legal entity could sign a contract with the German company.
3) ANOBAG: This is where the person resident in Switzerland is an employee of the German company. He would be responsible for social security payments on the company's behalf. The paperwork could be done by the sole Swiss employee or by an accounting firm in Switzerland.
4) Payroll Service: This is where the German company would contract with a payroll company such as Randstad, Adecco, etc. which would hire the person under contract to the German company.
Based on what you described, I would lean towards options 3) or 4). Option 1) would probably not work unless you have other clients in addition to the German company. Option 2) is too complicated and expensive for a 20% position.
i think option 1 of being self employed will work for few years and is the simplest. option 4 also very good idea if you have no experience intros area of entrepreneurship.
I would also go with option 1. The company is not in Switzerland and you are working from home, so there is more flexibility in terms of being a freelancer.
While recognizing that you are trying to put square peg into the round self-employment hole, you might consider option 1) because this is a 20% job from abroad and you're working from home. As a result, the SVA might possibly give you a pass on it as self-employment. Next steps could be:
1. Start the 20% contract work.
2. After a few months contact the SVA that you would like to register for Nebenerwerb (supplemental income) self-employment.
3. Do your best to answer the SVA form questions showing that you are a self-employed contractor.
If SVA rejects your application for self-employment, then review options 3) and 4).
Again, keep in mind that SVA could reject option 1).
Thanks. I carefully checked my contract with my Swiss company, and it seems that I do not have a restriction if I avoid any competition with the employer. The two jobs are in different area and no competition happens between them. Thus I guess I'm ok.
But it may be a good idea to inform it to my Swiss company for avoiding further trouble or misunderstanding.
Oh, Thanks for the detail tips.
Thus, I can start the 20% of work without making my own company in the beginning?
I now should study about the option 1 and Nebenerweb. :-)
I was afraid that the option 1 takes time and knowledge about business management. But considering your advice, I will study what I need for it. Thanks!
I thought that option 1 is a complicate solution, but many of you suggest it and I want to study about the option. Would you please let me know if there is a good source to study about being self-employed in Switzerland?
As far as I know, her income should be added with yours as a family income for tax declaration in Switzerland.
And, like my case, the German company is not obliged to pay employer's portion of her AHV and the BVG (LPP). You (or She) may also need to check with SVA.
milenh , bare in mind that in Germany health and social insurance contributions are deducted at the place of work and that's a considerable fraction of the salary.
I worked in Germany for two months while residing in Switzerland, and was essentially insured by both countries - my employer and I tried to negotiate with the German officials but did not get anywhere.
Urrrrmm.. The German company that is on discussion with me says that they want to make a contract with me as a freelancer position and it is not bound to pay German social insurance, and I only need to care on Swiss social insurance by myself.
That could be a great solution, please let know how it goes - I would love to return to the company but around 20% deductions for something I really do not need a coverage for put me off.