How is the net salary calculated in Switzerland?

The net salary is obtained by subtracting from the gross the social contributions borne by the employee: AVS/AI/IPG 5.3%, AD/AC 1.1% (cap CHF 148'200), LAINF 0.7-1.5%, LPP 7–18% based on age. To these is added the tax at source, withheld only in Switzerland for frontier workers. Italy avoids double taxation with the EC 730 tax credit.

What are the IRPEF rates for border workers in Italy?

The Italian IRPEF provides progressive rates: 23% up to €28,000, 35% for the €28,001-50,000 range and 43% over €50,000. Border workers declare Swiss income in Italy and apply the tax credit to avoid double taxation, as required by the Convention of 9 December 1976.

How do wages compare between Swiss cantons?

Official data on average wages are collected by the BFS (Federal Statistical Office). For a correct comparison, it is necessary to consider not only the gross, but also social contributions, source tax, local cost of living, LAMal premiums and health deductibles (CHF 300–2500 for adults).

Average salary professions Switzerland 2026: focus Bern (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 8 August 2026

View of Bern, Switzerland, with historic buildings and modern offices

Comparison of average wages between cantons and sectors, with official data and factors of variation. Focus on the canton of Bern.

Context

In a nutshell

Average wages vary by canton and sector
Bern: focus with specific data
AVS/AI/IPG contributions at 5.3% for the employee
New Frontier Agreement from 1 January 2024

Key facts

What: Comparison of average wages between cantons and sectors
When: 2026 data, effective from 1 January 2024 for the new agreement
Where: Canton Bern and national comparison
Who: BFS (Federal Statistical Office), SECO, AFC/ESTV
Amount: AVS/AI/IPG contributions 5.3% employee, AD/AC 1.1% (cap CHF 148'200), LAINF 0.7-1.5%, LPP 7–18% by age group (from 25 years)

The Swiss labour market has significant differences in average wages across cantons and sectors. In 2026, those who work in the canton of Bern are faced with a reality that combines the presence of the federal administration, industrial companies and a growing tertiary sector. The official data, collected by the BFS (Federal Statistical Office), show how the geographical position and the sector of activity have a marked impact on remuneration.

At the national level, average salaries also vary according to the level of training, experience and function covered. In the canton of Bern, as in the rest of Switzerland, the financial, pharmaceutical and technology sectors tend to offer higher salaries, while retail and catering are lower in the pay scale.

Payroll contributions and deductions

Those who work in Switzerland must consider that

Operational details

Because wages vary between cantons

The wage differences between the cantons are not random. In the canton of Bern, for example, the presence of large industrial companies and a developed public sector helps to keep average wages at high levels compared to other regions. However, the cost of living, rent and sick pay premiums (LAMal) can absorb part of the pay advantage.

Cross-industry comparison

When comparing sectors, those working in finance or consulting in Bern can expect salaries above the cantonal average, while the catering and retail sectors offer lower salaries. The size of the company also plays a role: large multinational companies tend to pay more than local SMEs.

Implications for frontier workers

For those who reside in Italy and work in the canton of Bern, the average salary is just a starting point. The difference between gross and net salary depends on several factors: Swiss social contributions, withholding tax in Switzerland and Italian personal income tax, which provides progressive rates: 23% up to €28,000, 35% for the €28,001-50,000 range and 43% over €50,000.

The New Frontier Agreement, signed on 23 December 2020 and in force from 1 January 2024, introduced a transitional regime for old frontier workers (already such before 17 July 2023), with an exemption of €7,500, while new frontier workers benefit

Useful tools for your case

To verify your within/over 20 km tax scenario, use the net salary calculator and the tax return guide.

Key points

How to choose your salary

When evaluating a job offer in the canton of Bern or another Swiss canton, it is advisable to follow a clear procedure so as not to be surprised by the deductions and ancillary costs.

Practical steps

1. Compare gross wages for the same profession in different cantons, using data from the BFS (Federal Statistical Office). 2. Calculate the net considering social contributions: AVS/AI/IPG 5.3%, AD/AC 1.1% (cap CHF 148'200), LAINF 0.7-1.5%, LPP 7–18% by age group (from 25 years). 3. Evaluate the tax at source: for border workers it is withheld only in Switzerland, while Italy avoids double taxation with the tax credit (EC framework of 730). 4. Consider the cost of living in the canton: rents, LAMal premiums (adult deductibles CHF 300–2500) and daily expenses. 5. Check the Italian tax thresholds: IRPEF 23% up to €28'000, 35% for the €28' 001-50'000 band, 43% over €50'000.

Useful tools

For a more accurate estimate of your net salary, you can use the calcolatore stipendio. If you want to compare the purchasing power between cantons, consult the guide on the costo della vita in Svizzera. For those who need to choose health insurance, the comparatore LAMal helps you find the most convenient solution.

Deadlines to remember

The New Frontier Agreement has been in force since 1 January 2024. The old border guards (already in place before 17 July 2023) benefit from a transitional regime until 2033, with an exemption of €7,500. The new

Frequently Asked Questions

How is the net salary calculated in Switzerland?: The net salary is obtained by subtracting from the gross the social contributions borne by the employee: AVS/AI/IPG 5.3%, AD/AC 1.1% (cap CHF 148'200), LAINF 0.7-1.5%, LPP 7–18% based on age. To these is added the tax at source, withheld only in Switzerland for frontier workers. Italy avoids double taxation with the EC 730 tax credit.
What are the IRPEF rates for border workers in Italy?: The Italian IRPEF provides progressive rates: 23% up to €28,000, 35% for the €28,001-50,000 range and 43% over €50,000. Border workers declare Swiss income in Italy and apply the tax credit to avoid double taxation, as required by the Convention of 9 December 1976.
What changes for border workers with the New Agreement of 2024?: The New Frontier Agreement, signed on 23 December 2020 and in force from 1 January 2024, provides for an exemption of €7,500 for old frontier workers (already such before 17 July 2023) with a transitional regime until 2033. The new frontier workers have a deductible of €10,000. Tax at source is withheld only in Switzerland.
How do wages compare between Swiss cantons?: Official data on average wages are collected by the BFS (Federal Statistical Office). For a correct comparison, it is necessary to consider not only the gross, but also social contributions, source tax, local cost of living, LAMal premiums and health deductibles (CHF 300–2500 for adults).