What constitutes assets for AHV purposes?

Finance, Taxes, Banking, Insurance and Retirement
1
I'm considering early retirement, but it is quite expensive due to need to pay AHV on assets and also taxes on assets when no longer having employment income.

When calculating asset value*, do they just use the same figure as assets for tax purposes e.g. tax valuation of property or is some other basis used?

*I mean just the asset bit - technically you also have to add 20 times pension income (capitalization of pension income) to the assets to give a value for "total asset" subject to AHV contributions.

2
Have never heard of this.

Tom

3

https://www.ahv-iv.ch/p/2.03.e

4
OK, so only if you retire early then.

Tom

5
on page 2 is a bullet list of people caught in this. the first bullet is early retirees.

6
So, have your wife work and you are good!

Tom

7
You have to declare your assets just the same as you did on your tax form.

8

It looks like it’s the same figure as for tax purposes. On this website you can calculate the contribution you have to pay:

https://www.ahv-iv.ch/fr/Assurances-…3%A9-lucrative

For assets the field is defined as “Fortune au 31.12.2023 (CHF)” which sounds like the same thing you have to declare for tax purposes.

9

We did the same, that is took early retirement, so there is a period when neither of us were working nor had reached the state pension age. Our “non-worker” AHV contributions were calculated on the basis of wealth and company pension and other income. The formula appears to have been wealth plus 20 times annual company pension income to give “standardised wealth”. This standardised wealth was split equally between us and we each had to pay 0.203% our portion. I don’t know if this 0.203% was linear or derived from a *table. They use your tax records to verify this.
Sending the wife out to work is certainly the best idea but ensure she earns enough to bring both “non-worker” AHV contributions down to zero or even do a bit of part time work yourself.

EDIT 1

*Indeed it is a table calculation as your link shows https://www.ahv-iv.ch/p/2.03.e

EDIT 2

A special formula is used to inflate the value of houses/real estate above the official (amtliche) Value for the asset calculation. This is canton specific.
https://www.steuerkonferenz.ch/downl…D_20200826.pdf

10
It’s the asset total according to your tax return (at least in SG). Btdt.

Not is she’s not earning enough to cover both contributions. Even more not if she isn’t working in Switzerland or less than 50%.

11
Open a GmbH and pay yourself and your wife a miserably low salary.

Edit: more than an annual income of 4,851 francs

12

Ah, yes I remember seeing that. In BL so I get the joy of almost quadrupling my home’s tax value for AHV purposes.

Link dead, screenshot:

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13
if the AHV is less than half of what you would pay under the asset model, then you'd still have to pay under the asset model.