Every year, Swiss employers must issue a salary certificate for each of their salaried employees. This official document, also known as Form 11, summarizes all remuneration, benefits and benefits in kind received by an employee during a calendar year. It is an essential document for the employee's tax return and allows the tax authorities to correctly determine which items are taxable.
For companies, completing a Swiss salary certificate requires close attention. The structure of the document is standardized, but some sections call for a good understanding of the rules that apply to salaries, fringe benefits, business expenses and social security contributions. An error in the way an item is declared can lead to correction requests from the tax authorities and complicate the employer's administrative workload.
Whether you are a Swiss SME, a foreign company employing staff in Switzerland or a growing business with several employees, understanding how the salary certificate works helps you secure your HR and payroll obligations.
In this guide, we explain how to correctly complete the various sections of the Swiss salary certificate, what information must appear on it and which points call for particular care.
The Salary Certificate in Switzerland
The Swiss salary certificate is an official document used to report to the tax authorities everything connected with an employee's annual remuneration. It covers not only the salary paid, but also the various benefits that may have an economic value for the employee.
The employer must issue a salary certificate for every person carrying out dependent gainful activity within the company. The document is then given to the employee so that they can use it for their tax return.
Its main purpose is to ensure that income is presented transparently and consistently. Thanks to this standardized form, the cantonal and federal tax authorities have a reliable basis for determining which items must be taken into account when calculating tax.
The salary certificate is therefore not limited to the fixed monthly salary. It must also include various categories of benefits, in particular:
- variable remuneration such as bonuses or gratuities;
- certain benefits in kind provided by the employer;
- employee participation rights;
- certain allowances or specific benefits;
- the social security deductions applied to the salary.
For the employer, this document is an important step in the annual payroll cycle. Preparing it requires reliable information on everything paid or granted to the employee during the year concerned.
The salary certificate is based on the guidelines issued by the Swiss tax authorities, in particular the Swiss Tax Conference (CSI) and the Federal Tax Administration (FTA). These guidelines set out how the various benefits must be declared, so that practice remains consistent across companies and cantons.
Particular attention must be paid to benefits that do not take the form of a direct cash payment. A company car that may be used privately, or certain services offered by the company, can constitute taxable benefits that must be declared correctly.
The salary certificate therefore plays a central role in the relationship between three parties:
- the employer, who is responsible for issuing the document correctly;
- the employee, who uses it to meet their tax obligations;
- the tax authorities, who rely on this information to calculate the tax due.
For this reason, completing the form should not be treated as a simple administrative formality. It requires a good command of the declaration rules that apply to the different components of remuneration.
Completing the General Information on the Salary Certificate (Boxes A to I)
Before entering the amounts relating to remuneration, the employer must complete the general information that identifies the document, the employee concerned and the tax period. These first sections form the administrative basis of the salary certificate and must be filled in accurately.
Identifying the Employee and the Period Concerned
The first step is to indicate the nature of the document. Box A must be ticked when the document is a salary certificate relating to dependent gainful activity, as opposed to a pension statement.
Box C then identifies the employee through their 13-digit AVS number and their date of birth. The AVS number is an essential piece of data in the Swiss social security system and must be entered accurately when declaring AVS salaries.
The tax period must be indicated in boxes D and E.
Box D corresponds to the calendar year covered by the certificate. Box E is used to state the exact dates on which the employee joined and left the company.
When an employee has worked for the entire calendar year, the period indicated generally runs from January 1 to December 31. When an employee joined the company during the year or left before the end of the year, only the actual dates of activity must appear.
For temporary employees who have completed several assignments with the same employer during the same year, the period to state runs from the first day of the first assignment to the last day of the last assignment. The situation must then be explained in the remarks section of the certificate to avoid any ambiguity.
Declaring Transport and Meal Benefits
Boxes F and G cover certain benefits offered by the employer as part of everyday working life.
Box F must be ticked when the employee benefits from free transport between home and workplace.
This is the case, in particular, when a company provides a company car that may also be used privately. The flat-rate private share attached to the vehicle then also covers home-to-work journeys, in line with the applicable rules.
This box must also be ticked when the employer provides a GA travelcard, the general public transport pass, for business reasons, or directly organizes collective transport allowing employees to reach their place of work.
Box G covers meals. It must be ticked when the company offers a staff restaurant with reduced-price meals, or provides lunch checks within the limits set by the tax guidelines.
This must be indicated even if the employer does not know whether the employee actually uses the benefit. The certificate must reflect the benefit made available, not only its actual use.
Completing the Contact Details and Validating the Document
Box H is reserved for the employee's current home address at the time the salary certificate is issued. This information must be given in full so that the document can be sent correctly.
Box I covers the information relating to the employer. It must state the place and date on which the certificate was issued, together with the name and full address of the company. It must also identify the person responsible for completing the certificate and give their telephone number, so that the tax authority can contact them with any questions.
The document must normally be validated by the person responsible for issuing it, whether that is the employer or an agent in charge of administrative management.
However, when salary certificates are generated fully automatically by certified payroll software using a recognized electronic system, a handwritten signature is generally not required. It does become necessary when changes or additions are made manually after the document has been generated automatically.
These first sections therefore ensure that the salary certificate is correctly identified before the financial items are addressed. Once this administrative information has been completed, the employer can enter the various components of the remuneration and benefits granted to the employee.
Declaring Gross Salary and Benefits (Items 1 to 8)
The financial part of the Swiss salary certificate is one of the most important sections of the form. It presents everything that makes up the employee's annual remuneration, whether salary paid directly, variable benefits or advantages granted in another form.
For the employer, the aim is to correctly distinguish between the different categories of income so that each benefit is declared under the appropriate heading. This distinction matters, because some items have a specific tax treatment and must appear separately from the basic salary.
Items 1 to 8 therefore trace the employee's overall remuneration for the year concerned, from gross salary through to the various specific benefits.
Gross Salary and Non-Periodic Benefits (Items 1 and 3)
Item 1 corresponds to the total gross salary paid to the employee during the tax year.
It includes all regular remuneration linked to the professional activity, in particular:
- the fixed monthly salary;
- a 13th month salary, where applicable;
- allowances paid directly by the employer;
- certain regular allowances linked to working conditions.
The amount shown must reflect the gross remuneration actually paid during the year concerned, before social security and tax deductions.
Allowances or additional benefits that form part of the remuneration must also be included here. This can cover birth allowances, child allowances when these are paid by the company, or certain allowances linked to particular constraints such as night work or specific travel conditions.
When family allowances are paid directly by a compensation fund rather than by the employer, they are not included as a benefit paid by the company. In that case, it is advisable to explain the situation in the remarks section of the salary certificate to avoid any confusion.
Item 3, for its part, covers non-periodic benefits. These are payments that are not made regularly each month and that generally occur on a one-off basis.
They include, in particular:
- performance-related bonuses;
- exceptional bonuses;
- gratuities;
- loyalty bonuses;
- certain cash gifts linked to length of service;
- flat-rate relocation allowances paid by the employer for professional reasons.
Declaring these amounts separately is in the employee's interest when the employment relationship does not cover the whole calendar year. When the employee has been employed for the entire year, the employer may forgo this separate declaration and include the amount under item 1 as a component of salary.
The distinction is therefore particularly important for employees who have not worked for the whole year. An exceptional bonus merged into ordinary salary could give a misleading picture of annual remuneration and complicate certain tax calculations, particularly in the case of withholding tax.
Benefits in Kind and the Private Share of a Company Car (Item 2)
Item 2 covers fringe benefits, meaning advantages that are not paid directly in cash but that represent an economic value for the employee.
These benefits must be declared when they constitute a private advantage granted by the employer.
Item 2.1 covers board and lodging provided free of charge or on favorable terms by the company. Their value must be determined using the flat rates set by Swiss tax rules.
Item 2.2 covers the private share linked to the use of a company car.
When an employee may use a company vehicle for private journeys, this benefit must be declared on the salary certificate. The calculation is based on a flat-rate private share of 0.9% per month of the vehicle's purchase price, including all optional extras and excluding VAT, with a minimum of CHF 150 per month where that purchase price is below CHF 16,667. For a leased vehicle, the cash purchase price stated in the leasing contract, excluding VAT, replaces the purchase price.
For example, for a vehicle with a purchase price of CHF 50,000 excluding VAT:
- 0.9% of CHF 50,000 comes to CHF 450 per month;
- the annual private benefit to declare is therefore CHF 5,400.
If the employee contributes financially to the use of the vehicle, this personal contribution reduces the private benefit to be declared. For a vehicle purchased for CHF 50,000 excluding VAT, an employee who pays CHF 200 per month to their employer therefore has a private share of CHF 3,000 to declare, being CHF 5,400 less the CHF 2,400 already paid.
When the contribution matches or exceeds the private share, there is nothing left to declare under item 2.2 and the remark "Private share paid by the employee" must appear under item 15. Any excess cannot be entered as a negative amount.
The situation is different when the employee personally bears substantial costs, for example all maintenance, insurance, fuel and repairs. Covering fuel alone, or the charging costs of an electric vehicle alone, is not enough. In that case, no amount is declared under item 2.2 and the employer enters the remark "Private share of company car to be clarified in the assessment procedure" under item 15.
Handling this section correctly matters, because the private use of a vehicle is a taxable benefit that must be included in the declared remuneration.
Item 2.3 covers other fringe benefits. This section can include:
- the value of a GA travelcard when it is not justified by business needs;
- certain benefits linked to REKA checks when the discount granted exceeds the limits allowed for tax purposes.
The employer must therefore review each benefit granted in order to determine whether it should be mentioned in this part of the certificate.
Other Benefits, Capital Payments and Participation Rights (Items 4 to 7)
Some specific forms of remuneration correspond neither to ordinary salary nor to standard benefits in kind. They therefore have dedicated sections on the salary certificate.
Item 4 covers capital payments.
These can include:
- severance payments with a pension character;
- certain benefits paid after the death of an employee, such as the continued payment of salary in favor of surviving dependents.
Item 5 covers employee participation rights.
When the company grants shares, options or other participation rights to its employees, their value must be declared here. The employer must also provide a supplementary sheet setting out how the benefit granted was calculated.
This supplementary sheet explains the value used, generally determined on the basis of the market value of the security or participation right at the relevant time, after taking into account any price paid by the employee.
Item 6 covers payments made to members of the board.
It includes benefits such as:
- directors' profit shares;
- attendance fees;
- certain payments linked to a directorship.
Item 7 brings together the benefits that do not fit under any of the previous headings.
This category can include:
- loss of earnings allowances (APG) when they are paid through the employer and are not already declared under item 1;
- certain social insurance daily allowances passing through the company;
- withholding tax paid directly by the employer;
- employer contributions to the insurance policies of the employee or of their close relatives, in particular health insurance premiums and forms of unrestricted pension provision (pillar 3b);
- employer contributions to pillar 3a, whether they are deducted from salary or paid directly;
- school fees paid by the employer for the employee's children;
- tips, when they represent a significant part of the salary;
- occupational pension contributions normally owed by the employee but exceptionally covered by the employer.
In this last case, the amount covered constitutes a benefit granted to the employee. It must be added under item 7, then carried over to item 10 of the salary certificate so that it is taken into account as a deduction. Ordinary employer contributions must not be declared under item 7. The same applies to employer contributions to compulsory accident insurance, both occupational and non-occupational, and to the collective daily sickness allowance and supplementary accident policies taken out by the company.
Item 8 then totals the various amounts declared in order to give the total gross salary shown on the certificate.
Declaring Social Security and Tax Deductions (Items 9 to 12)
Once the various components of the employee's gross remuneration have been entered, the employer must complete the sections relating to social security and tax deductions. This part of the salary certificate shows the amounts withheld from the employee's salary during the year.
This information must match the amounts actually deducted through payroll. A discrepancy between the data shown on the payslips and the figures given on the certificate can lead to requests for clarification from the tax authorities or require an administrative correction.
Items 9 to 12 mainly cover compulsory social insurance, occupational pension provision, LPP buy-ins and withholding tax.
Compulsory Social Insurance (Item 9)
Item 9 brings together the compulsory social security contributions that are deducted directly from the employee's salary.
It covers only the employee's share of social insurance, meaning the amounts actually borne by the employee and withheld from their gross remuneration.
This section includes:
- old-age and survivors' insurance contributions (AVS);
- disability insurance contributions (AI);
- loss of earnings compensation contributions (APG);
- unemployment insurance contributions (AC);
- premiums for non-occupational accident insurance (AANP).
These withholdings are the main social security deductions applied to a Swiss salary. They fund the various social protection schemes to which employees are affiliated.
The employer must, however, take care not to include insurance policies that belong to other categories in this section.
Certain costs must not appear under item 9, even where they are deducted directly from the employee's salary.
This applies in particular to:
- compulsory health insurance premiums (LAMal), which are the employee's private responsibility and which are declared under item 7 when the employer covers them;
- daily sickness allowance insurance premiums (IJM) when they are borne by the employee;
- supplementary accident insurance premiums that do not form part of compulsory social insurance.
These items are not compulsory social security deductions within the meaning of the salary certificate and must therefore not be included in this section.
For the employer, drawing the right distinction between the various categories of withholding is essential. The salary certificate must reflect only the amounts that correspond to the social security obligations set out by the Swiss system.
Occupational Pension Provision and Buy-Ins (Item 10)
Item 10 covers contributions to occupational pension provision, also known as the second pillar, which are included in the gross salary and deductible under the rules of the salary certificate.
It includes the contributions normally withheld from the employee's salary. When the employer covers a contribution that should have been borne by the employee, the amount is first declared under item 7 as another benefit, then carried over to item 10 for deduction.
Item 10.1 covers ordinary contributions to occupational pension provision. Item 10.2 covers LPP buy-ins made through the employer.
Ordinary LPP Contributions (Item 10.1)
Item 10.1 corresponds to the ordinary contributions paid within the second pillar.
It includes the amounts withheld from the employee's salary in accordance with:
- the statutory minimum requirements;
- the regulations of the pension fund chosen by the company;
- the pension plan applicable to the employee.
These amounts must match the deductions actually made during the year.
For the employer, the data reported on the salary certificate must be consistent with the information provided by the pension institution and with the monthly payslips.
Since the LPP is built into the overall structure of Swiss remuneration, any change to the employee's status, insured salary or pension plan can affect the amounts declared.
Buy-Ins into Occupational Pension Provision (Item 10.2)
Item 10.2 covers LPP buy-ins made voluntarily by the employee.
A buy-in allows an insured person to close a pension gap in order to increase their retirement assets. Such gaps can arise in a number of situations:
- arriving in Switzerland after the start of a career;
- a period of reduced professional activity;
- a career break;
- a significant salary increase during a career.
When the employee makes a buy-in and it is withheld directly by the employer from their salary, the amount must be shown in this section.
These payments are of tax interest to the employee, since they can generally be deducted from taxable income under the applicable rules.
The employer must nevertheless ensure the declaration is correct. Buy-ins made through payroll must be reported in the required documents so that the employee can benefit from the intended tax treatment.
Note that payments made under pillar 3a do not appear in this section. They belong to a different form of individual pension provision and require a specific certificate where relevant.
Net Income After Salary Deductions (Item 11)
Item 11 of the salary certificate corresponds to the net salary after deduction of the various contributions and withholdings borne by the employee. It is a summary figure showing the amount that is determinative once the main social charges have been taken into account.
This amount is obtained from the total gross salary declared under item 8, from which the deductions shown in the previous sections are then subtracted, in particular:
- AVS/AI/APG contributions;
- unemployment insurance contributions (AC);
- non-occupational accident insurance premiums (AANP);
- ordinary contributions to occupational pension provision (LPP);
- any LPP buy-ins made by the employee through a salary deduction;
- other legally applicable withholdings.
Item 11 therefore does not simply correspond to the amount transferred to the employee's bank account. It represents net income calculated under the rules of the salary certificate, before certain specific adjustments that may apply depending on the employee's tax or administrative situation.
For the employer, this section is an important control point. The amounts declared must match the data from payroll and be consistent with the payslips issued during the year. A discrepancy between the monthly withholdings and the annual certificate can lead to requests for clarification from the employee or from the tax authorities.
Particular attention must also be paid to employees subject to withholding tax, to employees receiving benefits in kind and to situations involving corrections during the year. The salary certificate must reflect the actual remuneration and deductions applied during the tax period concerned.
Withholding Tax for the Employees Concerned (Item 12)
Item 12 covers withholding tax deducted directly by the employer from the employee's salary.
In Switzerland, certain categories of worker are taxed at source. This applies in particular to:
- foreign employees who do not hold a C permit;
- certain cross-border workers, depending on the applicable rules;
- other situations provided for by tax legislation.
When the company deducts withholding tax from the salary, it must state on the salary certificate the total amount withheld during the calendar year.
The amount entered must correspond to the tax actually deducted and must be shown without a plus or minus sign. Only one exception is provided for: when the withholding tax to be refunded by the employer exceeds the amount withheld during the year, the difference is declared as a negative amount and the refunded amount must then be mentioned under item 15.
The employer must also pay particular attention to any adjustments relating to previous tax years. If amounts relating to earlier periods are included in the withholding tax declared, an explanation must be added in the remarks section of the certificate.
Declaring Business Expenses and Completing the Remarks (Items 13 to 15)
The final part of the Swiss salary certificate covers business expenses, certain specific benefits and the additional information needed to understand the employee's situation. These sections play an important role, because they allow the tax authorities to distinguish reimbursements linked to professional activity from items that may be treated as taxable benefits.
For the employer, this section calls for particular care. Business expenses must not be declared approximately: their treatment depends on the reimbursement method used, on whether an expense policy approved by the tax authorities exists, and on the nature of the costs concerned.
Items 13 to 15 therefore complete the salary certificate by providing the necessary detail on expense reimbursements, specific benefits and individual situations.
Effective and Flat-Rate Business Expenses (Item 13)
Item 13 covers business expenses paid by the employer.
These expenses correspond to costs incurred by the employee in the course of their professional activity and reimbursed by the company. How they are declared depends on the way the reimbursements are made.
A distinction must be drawn between effective expenses and flat-rate expenses.
Effective Expenses (Item 13.1)
Effective expenses correspond to costs actually incurred by the employee and reimbursed by the employer on the basis of receipts or under precise rules.
They can cover:
- business travel costs;
- meals taken in a work context;
- accommodation costs;
- certain costs linked to business assignments.
When the company reimburses these expenses on presentation of original receipts and complies with the conditions set out in the tax guidelines, it can simply tick the box at item 13.1.1 without stating the total amount paid. One caveat matters here: when the company has an expense policy approved by the canton of its registered office, this box must precisely not be ticked, the reference to the policy under item 15 taking its place.
The simplified treatment applies in particular where reimbursements comply with the flat rates allowed for certain everyday costs, such as business meals or the use of a private vehicle for professional purposes.
Where the necessary conditions are not met, the employer must declare the amount actually reimbursed.
Item 13.1.2 covers other effective expenses that do not fall into the previous categories. These can include specific costs linked to certain working situations, such as:
- costs linked to remote working or a home office when these are borne by the company;
- certain specific costs incurred by expatriate employees;
- other business expenses reimbursed against receipts.
The aim is to allow the tax authorities to clearly identify the nature of the amounts paid.
Flat-Rate Expenses (Item 13.2)
Flat-rate expenses correspond to amounts paid regularly by the employer to cover certain business costs without requiring receipts to be submitted systematically.
Unlike effective expenses, they must be declared as an amount on the salary certificate.
This section includes:
- flat-rate representation allowances;
- flat-rate car allowances;
- other flat-rate business expense allowances.
Even where an expense policy has been approved by the competent tax authorities, the flat-rate amounts granted to the employee must appear on the certificate.
The employer must therefore keep clear documentation on the rules applied in order to justify the nature of the reimbursements made.
Contributions to Continuing Education (Item 13.3)
Item 13.3 covers employer contributions to continuing education or professional retraining where certain conditions are met.
This section applies in particular when:
- the training invoice is made out in the employee's name;
- the employer then reimburses that cost.
Where the company pays a training provider directly or organizes in-house training itself, this benefit generally does not have to be declared in this section.
This distinction separates a business cost borne by the company from a benefit granted directly to the employee.
Exceptions and Benefits to Mention (Item 14)
Item 14 is used to report certain benefits in kind where their exact value cannot easily be determined.
Not every benefit granted by the employer has to be declared, however.
The tax guidelines provide for a number of exceptions covering benefits regarded as customary or of minor importance.
In particular, there is no need to declare benefits such as:
- a half-fare travelcard provided free of charge;
- the private use of a work phone or laptop;
- contributions to association and club memberships up to CHF 1,000 per case, subscriptions to fitness clubs being expressly excluded from this tolerance;
- customary gifts given on special occasions, where they respect the permitted amounts.
Where these limits are exceeded, it is in principle the full amount that must be declared, not only the excess: under item 2.3 for gifts in kind, and under item 15 for association and club membership contributions. Discounts on REKA checks are the exception, since only the portion above CHF 600 per year has to be declared.
Cash gifts, on the other hand, remain treated as remuneration and must be handled as such.
For the employer, the distinction between a negligible benefit and a taxable benefit is therefore essential. A benefit that seems minor may need to be declared if it exceeds the limits set or if it represents a genuine economic advantage for the employee.
Mandatory Remarks and Additional Details (Item 15)
Item 15, "Remarks", plays an essential role on the salary certificate. It allows explanations to be added where certain situations call for additional information.
This section should not be treated as a free text field, but as a way of clarifying certain items declared in the document.
Several entries may be mandatory depending on the situation.
The employer must in particular state:
- the existence of an expense policy approved by the tax authorities, with the corresponding reference;
- a financial contribution by the employee towards the private use of a company car;
- part-time employment where this information is relevant;
- the existence of several salary certificates issued for the same employee during the same year.
When an employer issues several certificates for a single tax year, it must state their order, for example by indicating that the document is one of several certificates issued for the period concerned.
This section can also be used to explain particular situations that could be misinterpreted without additional detail.
Secure Your Salary Certificates with Numeriq Payroll
As part of compliant payroll management in Switzerland, issuing a Swiss salary certificate takes far more than simply copying across the data from the payslips. The employer must be able to correctly identify each component of remuneration, distinguish taxable benefits from business expense reimbursements and keep track of the regulatory changes that can affect salary declarations in Switzerland.
For Swiss companies and for foreign businesses employing staff in Switzerland alike, this can quickly become complex. Benefits in kind, business expenses, social security contributions, withholding tax and the specific situations of international employees all call for a rigorous approach in order to avoid administrative errors.
At Numeriq Payroll, we support companies in managing their Swiss payroll and in meeting all the obligations linked to employee administration. Our team handles the processes needed to produce reliable salary certificates, drawing on in-depth knowledge of the Swiss social security and tax system.
Thanks to our expertise, we help employers structure their payroll data, correctly integrate the different components of remuneration and secure the information sent to employees and to the authorities concerned.
Our Swiss team has over 50 years of combined experience in payroll, HR administration and social security compliance. We currently support more than 100 companies and manage payroll for more than 1,000 contractors, with 99.9% accuracy on payroll processing.
Beyond simply producing salary certificates, our approach is built on personal, human support. Our multilingual team based in Switzerland remains available to answer questions from employers and employees alike, with 24/7 assistance tailored to each company's needs. Thanks to a structured onboarding process, our team can quickly take over your payroll data and organize the transition of your payroll management while limiting disruption for your teams.
Whether you want to outsource your existing payroll management, hire employees in Switzerland without immediately setting up a local entity, or benefit from specialist support as an international company, Numeriq Payroll helps you manage your payroll obligations with greater simplicity, transparency and peace of mind.
