Are you wondering how to calculate the 13th month's pay?

Introduction

In Switzerland, many employees receive a 13-month salary, also known as the “13th month salary.” This additional payment is an integral part of many employment contracts and provides a significant financial boost at the end of the year. In this article, you will find out when you will receive your 13th month's salary in Switzerland, how it is calculated, which relevant laws apply, how it is handled in the event of illness and what deductions apply.

When do you get your 13th month's salary in Switzerland?

The 13th month's salary is typically paid at the end of the year, often in December, as a type of bonus. This payment is part of many employment contracts, although it is not required by law, unless specified in the contract or collective agreements. Employees can look forward to this bonus, which usually coincides with the holiday season and offers a welcome financial boost.

How do you calculate the 13th month's salary?

Calculating the 13th month's salary is easy. It generally corresponds to a gross monthly salary. Here's a step-by-step guide:

Determine your monthly gross salary: This includes your base salary before deductions.

Full time work: If you worked full time throughout the year, your 13th month pay is simply equal to your gross monthly salary.

Part-time or part-time employment: If you worked part-time or only worked part of the year, the 13th month's salary is calculated on a pro rata basis on the months worked.

For more detailed calculations, try out the 13th monthly wage calculator below.

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Overview of Swiss laws and regulations relating to the 13th month salary

Although the 13th month wage is common practice in Switzerland, it is not required by law unless it is expressly mentioned in the employment contract or in a collective agreement. Employers and employees should clearly state the conditions relating to the 13th month's salary in the employment contract to avoid misunderstandings.

13th month pay in case of illness

If you are unable to work for a long period of time due to illness, your entitlement to the 13th month's pay may vary. In general, if you were paid during your illness, you are still entitled to the full 13th month salary. However, if your contract provides for a salary reduction after a certain period of illness, this may have a proportional effect on your 13th month pay.

What deductions are made from the 13-month salary?

The 13th month's salary is subject to the same deductions as your regular salary. This includes:

Social security contributions (AHV/IV/EO): These are mandatory deductions for Swiss social security.

Pension fund contributions (BVG): contributions to occupational benefits.

Unemployment insurance (ALV): contributions to unemployment insurance.

Withholding tax: If applicable, withholding tax is also deducted.

Calculate your 13th month's salary in Switzerland

To make sure you're prepared and know what to expect, it's important to calculate your 13th month pay accurately. Use our 13th month pay calculator to make this process easier.

This formula assumes that you worked all year. Otherwise, adjust the entire gross annual salary according to the months worked.

By understanding how the 13th month pay works and how it is calculated, workers can better manage their finances and plan the year-end bonus effectively.

With Numarics, managing your payrolls, including your 13th month's pay, becomes seamless. Our digital platform provides precise financial management and ensures compliance with all deductions and laws. Whether you're an employer or an employee, Numarics simplifies your financial planning and management.

Contact us today for more detailed assistance and professional advice on managing your finances!

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