Hiring in Switzerland: Payroll Done Properly for Foreign Employers

Last Updated: 

August 15, 2025

If you want to employ someone in Switzerland, there is the option to do so without having a registered company in the country. Switzerland has specific legislation for this. Below, you’ll find the key points for implementation, or you can visit who will be happy to support you with the process.

Discover Real-World Success Stories

A clear starting point

Decide whether you will hire through ANOBAG, an Employer of Record, or after incorporating later. Map your role, budget in CHF and start date. Keep documents simple and aligned with Swiss law.

Core obligations at a glance

Register for social insurance (AHV/IV/EO), unemployment insurance (ALV), accident cover (UVG) and family allowances. Confirm whether source tax applies based on residency and permit.

Contract essentials

State salary in CHF, working time, holidays, probation and notice. Define variable pay rules and expenses. Keep clauses enforceable under Swiss norms and translate key terms if helpful.

Payroll specifics

Calculate gross to net with mandatory employee and employer contributions. Track benefits in kind, allowances and one-off payments. Pay on a fixed monthly schedule and retain payslips.

Pensions and benefits

Assess mandatory occupational pension (BVG/LPP) thresholds. Choose a plan that matches seniority and market practice. Clarify sick pay insurance and any top-ups in writing.

Work authorisations

EU/EFTA talent follows simplified rules. Third-country hires require quotas and proof of need. Check lead times before committing to a start date.

Costs and timing

Budget beyond salary for social charges, insurance and setup fees. The main advantage is speed to market. Bring a performer on board early and review return on investment at six and twelve months.

Compliance rhythm

Create a monthly checklist for payroll approvals, payments and filings. Reconcile with authorities on schedule. Document changes to compensation and benefits immediately.

Common risks and fixes

Avoid copying home-country templates. Watch for cantonal differences. Prevent scope creep by setting a headcount trigger for when a Swiss entity becomes cleaner.

A simple plan

Write a one-page hiring brief, select the hiring model, draft the contract, complete registrations and run a test payroll. Track pipeline, win rates and renewals to decide when to incorporate.

People Also Like to Read...