What are the main innovations of the New Frontier Agreement that came into force in 2024?

The New Frontier Agreement, effective from 1 January 2024, introduced a tax exemption of CHF 10,000 for new frontier workers. For "old frontier workers", already before 17 July 2023, an exemption of CHF7,500 is provided for with a transitional regime until 2033. Source tax remains with Switzerland, while Italy recognises a tax credit to avoid double taxation.

How does taxation work for those who live in Pigra and work in Ticino?

Tax at source is only withheld in Switzerland on earned income. Italy avoids double taxation through the tax credit, managed in the EC framework of model 730. Swiss and Italian tax rates vary based on income and other factors, making a custom simulation important.

What are the average travel times from Pigra to Ticino?

Travel times from Pigra to the main centres of the Canton of Ticino, such as Lugano or Mendrisio, vary depending on traffic, weather conditions and the border crossing point used (e.g. Brogeda). It is advisable to estimate routes and times considering potential slowdowns, especially during peak hours.

What are the main contributions and insurances to consider for a border worker?

Swiss contributions include AVS/AI/IPG (5.3%), AD/AC (1.1%), LAINF (0.7-1.5%) and LPP (7-18% by age group). The health insurance (LAMal) provides optional deductibles for adults from CHF 300 to CHF 2,500. It is essential to compare these costs with Italian taxes.

Living in Pigra, working in Ticino: the guide (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 12 September 2026

View of Pigra and Lake Lugano with the alpine panorama of Ticino.

Discover the connections, journey times and cost of living for border crossers who choose Pigra to live and work in Ticino.

Context

In Brief

Living in Pigra, working in Ticino: pros and cons.
Commuting connections and travel times to consider.
Tax and insurance regime for cross-border commuters.
Cost of living and advantages.

Key Facts

What: Living in Pigra and working in Ticino as a cross-border commuter.
When: New Cross-Border Commuter Agreement in effect from January 1, 2024.
Where: Pigra (Italy) and Canton Ticino (Switzerland).
Who: Cross-border commuters residing in Italy and employed in Ticino.
Amount: Allowance for new cross-border commuters: CHF 10,000; Old cross-border commuters: CHF 7,500 (transitional regime 2024-2033).

…

Operational details

Commuting and Cost of Living: Pigra and Ticino

The feasibility of living in Pigra and working in Ticino largely depends on evaluating the connections and travel times. The geographical distance between Pigra and the main Ticino work centers, such as Lugano or Mendrisio, requires a realistic estimation of daily commutes. It is essential to consider not only the actual driving time but also potential traffic delays, especially during peak hours, and weather conditions that can affect border crossings, like the one at Brogeda. A thorough analysis of alternative routes and available means of transport therefore becomes crucial for those planning this type of commuting. Beyond logistical aspects, the cost of living represents another determining factor. Although Pigra may offer a lower average cost of living compared to the urban centers of the Canton of Ticino, it is essential to compare the prices of consumer goods, services, and housing. The purchasing power generated by Ticino salaries, even taking into account withholding taxes and Swiss contributions, must be related to the expenses incurred in the Italian residence area. For example, Swiss contributions for employees include AVS/AI/IPG at 5.3%, AD/AC at 1.1% (with a cap of CHF 148,200), LAINF with a rate between 0.7% and 1.5%, and LPP (Pension Fund) with variable rates between 7% and 18% depending on the age group (starting from 25 years old). These amounts, added to the Swiss withholding tax, must be compared with Italian taxes, which have progressive rates (23% up to €28,000, 35% between €28,001 and €50,000, 43% over €50,000). Understanding these financial flows is fundamental to evaluating the overall economic convenience of the housing choice in Pigra in relation to working in Ticino. It is equally important to…

Key points

What to Consider Before Moving to Pigra

Before making the decision to live in Pigra and work in Ticino a reality, it is necessary to address a series of practical steps and considerations. Firstly, it is essential to obtain detailed information about the new cross-border worker agreement, in effect since January 1, 2024. This agreement has modified tax allowances and taxation methods, introducing an allowance of CHF 10,000 for new cross-border workers and maintaining a transitional regime for existing cross-border workers until 2033. Withholding tax remains an exclusive deduction for Switzerland, while Italy applies a tax credit to avoid double taxation, managed through the CE section of the Modello 730 tax return. Regarding health insurance, cross-border workers have the option to choose between Swiss mandatory insurance (LAMal) and Italian insurance, with different deductibles and coverages to be carefully evaluated. LAMal deductibles for adults can range from CHF 300 to CHF 2,500. The choice of health insurance has direct implications on costs and medical coverage. It is also advisable to inquire about the procedures for obtaining a work and residence permit, although for residents in Italy working in Ticino, this primarily concerns the G permit. For a precise estimate of your net monthly income, considering Swiss withholding taxes, social contributions, and Italian taxes, you can use dedicated online tools. Simulating your net salary, taking into account all these factors, can provide a clear picture of your financial situation. It is also recommended to verify any specific agreements between the employer in Ticino and the Italian tax authorities to ensure compliance with all current regulations. Financial planning and understanding tax and insurance regulations…

Frequently Asked Questions

What are the main innovations of the New Frontier Agreement that came into force in 2024?: The New Frontier Agreement, effective from 1 January 2024, introduced a tax exemption of CHF 10,000 for new frontier workers. For "old frontier workers", already before 17 July 2023, an exemption of CHF7,500 is provided for with a transitional regime until 2033. Source tax remains with Switzerland, while Italy recognises a tax credit to avoid double taxation.
How does taxation work for those who live in Pigra and work in Ticino?: Tax at source is only withheld in Switzerland on earned income. Italy avoids double taxation through the tax credit, managed in the EC framework of model 730. Swiss and Italian tax rates vary based on income and other factors, making a custom simulation important.
What are the average travel times from Pigra to Ticino?: Travel times from Pigra to the main centres of the Canton of Ticino, such as Lugano or Mendrisio, vary depending on traffic, weather conditions and the border crossing point used (e.g. Brogeda). It is advisable to estimate routes and times considering potential slowdowns, especially during peak hours.
What are the main contributions and insurances to consider for a border worker?: Swiss contributions include AVS/AI/IPG (5.3%), AD/AC (1.1%), LAINF (0.7-1.5%) and LPP (7-18% by age group). The health insurance (LAMal) provides optional deductibles for adults from CHF 300 to CHF 2,500. It is essential to compare these costs with Italian taxes.