What is the difference between AVS and complementary services?

The AVS (first pillar) is a contributory benefit: you pay during your working career, you receive an annuity at the reference age. PCs are welfare benefits financed by general taxes that supplement the AVS income when it does not cover the minimum living wage. PCs do not depend on the contributions paid, but on the level of actual income.

How are contribution gaps calculated?

A gap is a year of non-payment of contributions. The compensation fund compares the years from salary records (provided by companies) with the declared career years. Gaps may be due to unemployment, undeclared work, absence from insurance. Some periods can be redeemed (e.g. years of study, care of young children) within specific deadlines.

When do I have to apply for an AVS annuity in Zurich?

The application must be submitted approximately 1 month before the reference age (65 years old men, 64 years old women). You can submit it online to the Zurich cantonal cashier's website, by post, or in person. The cashier processes the application and informs you of the amount of the annuity and the payment start date (usually the month following reaching the age).

If I have a few years of contribution in Switzerland, am I entitled to PCs?

Yes. To access PCs it is enough to be entitled to any income (even minimum) and that the total income (income + other income) remains below the living minimum. PCs make up the difference. If you have also worked abroad, the calculation of the annuity may include bilateral totalization agreements.

Who pays for supplemental benefits?

The PCs are financed 50% by the Confederation (UFAS/BSV manages the federal contribution) and 50% by the Canton of Zurich. The cantonal administration examines the applications and settles the amount due. It is not an insurance benefit, but a welfare right.

AVS Income in Zurich: how the first pillar works (cross-border guide)

Di Laura Bianchi · Published on 21 August 2026

Swiss administrative office with social security desk and AVS compensation fund counter

Guide to the AVS system in the Canton of Zurich: compensation fund, pension calculation, contribution gaps and supplementary benefits for the minimum living wage.

Context

In a nutshell

The AVS is the first pillar of Swiss social security
Managed by cantonal clearing houses (one per canton)
Supplementary benefits supplement the annuity for the minimum living

Key facts

What: AVS (first pillar), complementary services (PC/EL)
Where: Canton Zurich, via cantonal clearing house
Who: UFAS/BSV federal; cantonal fund; insure
How: Contributions paid (5.3% employee + 5.3% employer), accreditation, recognition of gaps

In the Canton of Zurich, the old-age pension system is divided into two complementary levels: the AVS (first pillar) and the complementary benefits (PC), both managed by the cantonal compensation fund.

The AVS represents the basis of social protection: it is financed through compulsory contributions (5.3% borne by the employee, 5.3% by the employer, on wages up to the federally fixed annual ceiling) and covers the risks of old age, disability and death of the family. The cantonal compensation fund of Zurich is the institution that centralizes payments, credits contribution periods, and pays annuities to those who have reached the reference age.

However, the AVS annuity is not always sufficient to cover the vital minimum. This includes supplementary benefits, financed by general taxes (not contributions), which supplement the AVS income if the insured's income and assets remain below the coverage threshold.

One

Operational details

Complementary services: how they cover the vital minimum

Complementary benefits (PC) are the mechanism that ensures economic dignity to those who are entitled to an AVS annuity but do not reach the living minimum. In Zurich, as in all Swiss cantons, the living minimum is defined by federal tariffs, but the cantonal administration coordinates with the compensation fund for the disbursement.

To access PCs, the amount of the AVS annuity (plus any other sources of income or equity) must remain below the coverage threshold. The "minimum living" includes: accommodation, food, clothing, medical care, essential expenses.

Unlike the AVS, which is contributory right, PCs are welfare benefits: the funding comes from taxes (50% Confederation, 50% canton), not from contributions. This means that even those who have paid few contributions, or who have long periods of gaps, can access PCs if income is insufficient.

Scenario: AVS income reduced by contribution gaps

An insured who has reached the reference age may find an AVS annuity lower than expected for several reasons:

Non-insurance periods (e.g. unaffiliated self-employment)
Breaks due to prolonged unemployment without recognised contributions
Years of contribution less than 44 years (total from 1948 to 2024 for those who turn 65 in 2024)

In these cases, the Zurich Compensation Fund examines whether gaps can

Useful planning tools

To estimate your pension strategy, use the pension planner and the pillar 3 simulator.

Key points

Procedure: How to Request AVS Pension and PCs in Zurich

Step 1: Gathering Contributory Documents

About 3-4 months before the reference age (65 for men, 64 for women, subject to ongoing changes), request the professional career certificate from the Zurich Compensation Fund. You can do this:

Online, through the myAVS/miAVS portal (with Swiss digital certificate)
By mail, downloading the form from the Zurich fund's website
In person at the fund's office

The fund will inform you of:

Accredited years
Identified gaps (and if they can be recognized)
Estimated pension amount

Step 2: Filling Gaps if Possible

If you identify gaps, consider:

Voluntary LPP redemption: If you were a freelance professional, you can redeem missing periods in the second pillar within a year of requesting the pension
Bonuses for unpaid work: If you cared for family members (young children, elderly parents), you can request accreditation of periods
Periods abroad: If you worked abroad with a Swiss spouse, some periods may be recognized

Contact the Zurich fund directly: they have experts who examine each case individually

Step 3: AVS Pension Request

About a month before the reference age, submit the pension request (form available on the fund's website). The request must be submitted by mail or online. Attach:

Career certificate (obtained in step 1)
Copy of identification document
Declaration of current income (if still working)

Step 4: If the pension does not cover the minimum vital amount → PC Request

Receive the decision on the pension. If the amount is low (often due to unfillable gaps), contact the Zurich Canton's Complementary Benefits Service (sometimes hosted at the fund's office itself).

Documents for the PC request:

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Frequently Asked Questions

What is the difference between AVS and complementary services?: The AVS (first pillar) is a contributory benefit: you pay during your working career, you receive an annuity at the reference age. PCs are welfare benefits financed by general taxes that supplement the AVS income when it does not cover the minimum living wage. PCs do not depend on the contributions paid, but on the level of actual income.
How are contribution gaps calculated?: A gap is a year of non-payment of contributions. The compensation fund compares the years from salary records (provided by companies) with the declared career years. Gaps may be due to unemployment, undeclared work, absence from insurance. Some periods can be redeemed (e.g. years of study, care of young children) within specific deadlines.
When do I have to apply for an AVS annuity in Zurich?: The application must be submitted approximately 1 month before the reference age (65 years old men, 64 years old women). You can submit it online to the Zurich cantonal cashier's website, by post, or in person. The cashier processes the application and informs you of the amount of the annuity and the payment start date (usually the month following reaching the age).
If I have a few years of contribution in Switzerland, am I entitled to PCs?: Yes. To access PCs it is enough to be entitled to any income (even minimum) and that the total income (income + other income) remains below the living minimum. PCs make up the difference. If you have also worked abroad, the calculation of the annuity may include bilateral totalization agreements.
Who pays for supplemental benefits?: The PCs are financed 50% by the Confederation (UFAS/BSV manages the federal contribution) and 50% by the Canton of Zurich. The cantonal administration examines the applications and settles the amount due. It is not an insurance benefit, but a welfare right.