AVS and complementary services in the canton of Solothurn (cross-border guide)

AVS in the canton of Solothurn: compensation fund, calculation of annuity, filling in contribution gaps, supplementary benefits for minimum subsistence. Complete guide.
Context
In a nutshell
- The Compensation Fund manages the first pillar of Swiss pensions
- AVS contributions: 5.3% to be paid by the employee (10.6% total with employer)
- Supplementary benefits cover the minimum living allowance when the AVS income is not sufficient
Key facts
- What: First pillar of Swiss social security (AVS = Old-age and survivors' insurance)
- Who: Cantonal Compensation Fund (operating in the Canton of Solothurn)
- Contribution rate: 5.3% employee, 10.6% total with employer
- Management: UFAS/BSV at federal level; cantonal execution through compensation fund
- Supplements: Supplementary benefits when insufficient income for minimum living
The first pillar of Swiss social security (AVS — Old-age and Survivors' Insurance) represents the pension base for every worker in Switzerland, including residents in the canton of Solothurn. The management of this system is the responsibility of the cantonal compensation fund, an operating body that administers contributions, calculates annuities and guarantees benefits to those who have reached the reference age.
The financing of the system depends on contributions paid during working life. Employees pay 5.3% of their salary (to which is added 5.3% at the employer's expense, for a total of 10.6%), in addition to other contributions for disability insurance (AI) and daily maternity allowance (IPG). In the Canton of Solothurn, as in
Operational details
Additional benefits (PC) are the supplement that the state (in the forms of LAMal/contribution and social assistance) provides when the AVS pension is not sufficient to guarantee the minimum vital. In the canton of Solothurn, like in all cantons, the right to additional benefits is regulated by a federal coordinating law, but the execution remains cantonal.
Useful planning tools
To estimate your pension strategy, use the pension planner and the pillar 3 simulator.
Key points
If you are a resident of the Canton of Solothurn and are approaching retirement, or if you want to check your AVS contributory position, here is the concrete procedure to move correctly.
Plan your cross-border pension: calculate AVS, second pillar and INPS coordination to avoid retirement surprises.
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Frequently Asked Questions
- What is the cantonal clearing house and what role does it play?
- The cantonal compensation fund is the federal body that manages the first pillar of social security (AVS) at the cantonal level. It collects contributions from payrolls (5.3% paid by the employee, 5.3% by the employer), records the contribution history of each insured, calculates the individual pension on retirement and pays it monthly. Each canton has at least one clearing house coordinated by the federal level (UFAS/BSV).
- How are AVS contributions calculated and how much do they amount to?
- Employees pay 5.3% of their salary for AVS/AI/IPG; the employer pays an additional 5.3% (total 10.6% jointly paid). Independents pay 7.8% of net income. These contributions feed into the intergenerational solidarity system and are recorded year by year by the compensation fund.
- What are supplementary benefits and who is entitled?
- The supplementary benefits (PC) are the supplement provided by the canton (jointly financed by the canton and the Confederation) when the AVS pension does not cover the minimum living allowance. They cover vital needs (housing, food, health, clothing) based on the composition of the household. AVS policyholders residing in the canton are entitled when the annuity added to other resources does not reach the living minimum.
- Is it possible to fill the contribution gaps and how?
- Yes. If your tax history has gaps (years without payments), you can request a voluntary payment to the compensation fund. This entitlement exists within a maximum of past years (typically 5 years, with federal exceptions). The cashier will let you know the amount due. Voluntary payments increase the total contributions credited and therefore the future income.
- When do I need to start verifying my tax status?
- You will need to contact the clearinghouse at least 2-3 years before your expected retirement. Request an excerpt of your tax history (certificate of contribution). Examine the document carefully to identify any gaps. If necessary, consider voluntary payments or the possibility of requesting supplementary benefits.
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