AHV 21 - Reform and impacts on occupational pension schemes

The amendment of the Federal Law on Old-Age and Survivors' Insurance (AHV) and the additional financing of the AHV through an increase in value-added tax from 7.7% to 8.1% (standard rate) and from 2.5% to 2.6% (reduced rate) respectively were approved in the referendum on September 25, 2022 (AHV 21). The reform is expected to come into force on January 1, 2024.

The reform is intended to safeguard AHV (Swiss first pillar) pensions for approximately the next 10 years, maintain benefit levels and take account of changes in society. Demographically, increases in life expectancy and the baby boomer generation reaching retirement age are of particular importance. In addition, there are new ways of living and working and the desire for more flexibility.

In the document below (available as download), we provide you with an overview of the most important changes of the AHV 21 - Reform and its impacts on occupational pension schemes, and we conclude with an overview of the need for action by pension funds and a note on the BVG 21 - Reform.