The world of work is becoming increasingly global. It is no longer unusual to work for a foreign company in Switzerland, whether from home or on-site. However, as soon as the topic of social insurance comes up, a term often causes confusion: ANobAG, or “employees without an employer required to make contributions.” What does this mean, and how does Switzerland handle this specific situation?
What is an ANobAG?
The term ANobAG stands for “employees without an employer subject to social security contributions” and refers to individuals who work or reside in Switzerland but whose employer does not have a place of business in Switzerland. As a result, this employer is not subject to the Swiss social security contribution requirement.
What does “without an employer subject to contribution obligations” mean?
In Switzerland, all employed individuals are generally required to pay social security contributions. These include OASI, IV, EO, ALV, and, depending on the situation, other types of insurance.
If the employer is based in Switzerland, it automatically deducts the required contributions from the employee’s wages and remits them to the appropriate social insurance fund. However, if the employer is based abroad, this obligation does not apply—and, as a result, employees must ensure that their social insurance contributions are paid on their own.
Difference Between “Genuine” and “Non-Genuine” ANobAG
- Genuine ANobAG: The employer is not headquartered in an EU or EFTA country (e.g., the U.S., Canada, Australia). In this case, the foreign employer cannot pay OASI contributions in Switzerland. The ANobAG pays all employer and employee contributions.
- Non-genuine ANobAG: The employer is headquartered in an EU/EFTA country. Under the bilateral agreements with the EU/EFTA, the employer would normally be required to calculate Swiss social security contributions, but may delegate this task to its employees. In practice, this means that employees also handle everything themselves through the compensation office, though in some cases they receive a reimbursement from the employer.
Legal Basis for the ANobAG
Several statutory and contractual provisions define the framework for the ANobAG:
- Federal Act on Old-Age and Survivors’ Insurance (FA OASI): Article 1a governs the personal scope of application.
- Regulations (EC) No. 883/2004 and 987/2009: These regulations govern the coordination of social security systems within the EU/EFTA and specify in which country social security contributions are to be paid.
- Other laws: The Federal Law on Disability Insurance (IVG), the Federal Law on Income Replacement (EOG), the Federal Law on Occupational Pension Plans (BVG), and the Federal Law on Accident Insurance (UVG) govern the specific branches of insurance.
Responsibilities and Procedures
The Role of the Cantonal Compensation Fund
If the employer is not domiciled in Switzerland and is therefore not required to pay contributions, the compensation office in the employee’s canton of residence assumes the role of the point of contact and administering agency. Employees must actively register with that office as ANobAG.
Registration and Billing
The process usually goes like this:
- Registration: Contact the cantonal compensation fund (SVA/OASI).
- Recording of personal information and wage details: What is the job, and what is the wage?
- Determination of Contributions: The compensation fund determines the monthly or quarterly contributions.
- Income Reporting: At the end of the year (or on an ongoing basis), you report your actual income.
Since there is no Swiss employer, the ANobAG must assume all employer obligations on his or her own.
Social Security Coverage Requirements in Switzerland
Even though they have a foreign employer, ANobAG employees are fully integrated into the Swiss social security system. This includes:
OASI/DI/EO (1st Pillar)
- OASI (Old Age and Survivors’ Insurance), DI (Disability Insurance), and EO (Income Replacement Scheme) make up the first pillar.
- The combined contribution rate (employer and employee shares) is currently about 10.6% (as of 2025). As an ANobAG, you are responsible for paying this total amount on your own, but you can agree with your foreign employer that they will cover a portion of it.
ALV (Unemployment Insurance)
- In Switzerland, ANobAG employees are also generally insured against unemployment.
- For annual wages up to CHF 148,200, a contribution rate of 2.2% (employer and employee share combined) applies. As an independent contractor, you pay the entire rate yourself.
Accident Insurance (UVG)
- Mandatory accident insurance (covering both work-related and non-work-related accidents) is required by law for all employees in Switzerland.
- Since there is no Swiss employer, you must obtain accident insurance on your own (e.g., through SUVA or a private insurer).
Family Allowances (FAK)
- Family allowance contributions vary by canton and are often between 1% and 2% of the insured wage.
- The same rule applies here: If there is no employer, the ANobAG covers the entire contribution.
BVG (2nd Pillar)
- Mandatory occupational pension coverage (BVG) applies only if an employer in Switzerland is required to pay AHV contributions.
- Genuine ANobAGs (third-country employers) are therefore not required to be covered by BVG insurance.
- Non-genuine ANobAGs (EU/EFTA) are generally subject to the BVG, provided that other requirements (e.g., minimum wage) are met.
- Those who do not have mandatory BVG coverage can often enroll voluntarily with the BVG Substitute Pension Fund to provide for their retirement.
Contribution Rates and Cost Allocation Under the ANobAG
As an ANobAG, you pay an amount—depending on the canton and type of insurance—that would normally be split between the employer and the employee in a standard employment relationship. Typically, this includes:
- OASI/DI/EO: About 10.6%
- ALV: 2.2% up to the wage cap
- FAK: Approx. 1–2% (varies by canton)
- Administrative costs: The compensation office may charge up to 5% of OASI contributions as an administrative fee.
Particularly in the case of “non-genuine” ANobAGs, it is more common for the foreign employer to reimburse the costs in part or in full. Legally, however, this is a matter of agreement between the employee and the employer.
Special Constellations
EU/EFTA Employers (Non-Genuine ANobAG)
- According to the EU/EFTA coordination rules, social security contributions must generally be paid in the country of employment (in this case, Switzerland) as soon as the work is primarily performed in Switzerland.
- The employer may enter into a delegation agreement with the ANobAG, under which employees calculate their own contributions in Switzerland.
Employers from third countries (genuine ANobAG)
- No connection to the Swiss OASI as an employer
- The employee is solely responsible for all contributions
- BVG is not mandatory, but UVG remains mandatory
Cross-border commuters or multiple work locations
- If employees work both in Switzerland and in another country, more complex coordination rules apply.
- In this case, you should consult with the cantonal compensation fund and, if necessary, the Federal Social Insurance Office (BSV).
Practical Tips and Procedures
Early Contact with the Cantonal Compensation Fund
Anyone who takes a job with a foreign employer and lives or works in Switzerland should contact the cantonal compensation office immediately. There, they can clarify their status, obtain all the necessary registration forms, and find out the relevant contribution rates.
Arrange Your Own Accident Insurance
Since there is no Swiss employer to provide insurance coverage, ANobAGs must register with an insurance company (e.g., SUVA or a private insurer).
Explore Voluntary BVG Options
Particularly for employees covered by the ANobAG, it may be worthwhile to enroll in a voluntary BVG plan to avoid gaps in retirement savings. The BVG default institution or other collective foundations are available for this purpose.
Specific Agreement with the Employer
Particularly in the case of “non-genuine” ANobAGs (employers in the EU/EFTA), it is often possible for the employer to contribute to social security premiums. Such cost coverage should be specified in the contract.
Switzerland also offers clear social security regulations for employees working for foreign employers. It is important to get informed early on and to be aware that, as an ANobAG, you are responsible for fulfilling all contribution obligations yourself—at least formally. However, thanks to the clear structures and points of contact at the cantonal compensation offices, this process can usually be organized quite easily.
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