Income Compensation Insurance (APG)
If you are self-employed, you are responsible for paying your own social security contributions into the Compensation Fund. They will be fixed provisionally on the basis of your estimated earnings for the year. The AVS/AI/APG contributions are payable all together at a maximum rate of 9.65%, provided your annual income is equal to or greater than CHF 56,400. Within this overall rate, AVS is 7.8%, AI is 1.4%, and APG is 0.450%. If your income ranges between CHF 9,400 and CHF 56,400, you benefit from a regressive rate. If it is below CHF 9,400, you only pay the CHF 478 per annum, minimum lump-sum. In addition, there is a 1% contribution to compensation fund administrative costs, based on the fixed contribution level.
The obligation to contribute terminates when you reach retirement age and when you cease all paid employment. If you carry on working, contributions will be levied after deduction of an exemption of CHF 1,400 per month or CHF 16,800 per year.
When you are in service (military, civil defence, Red Cross or community service; Youth and Sport instructor courses; young shooter instructor courses), you are entitled to income compensation. In principle, during the entire period at recruit school the allowance is fixed at CHF 62 per day. For regular service (after recruit school) the allowance is 80% of average income earned before service, but not more than CHF 196 pr day. To claim this allowance you will just need to fill out and hand in to us the APG application form which you will have obtained from the person in charge of the service.
How to proceed
In order to pay the contributions, you must first register with the CVCI and our Social Compensation Funds. Once affiliated, your provisional contributions will be fixed on the basis of your estimated income for the current contribution year. You should inform us of any major changes during the course of the year (+/- 25%). The provisional contributions are payable on a quarterly basis to the compensation fund, that is, at latest on the tenth day following the end of the quarter. In the case of late receipt of your statement of account or late payment, a default interest of 5% will be charged. Once you have provided your accounts (profit and loss account and balance sheet) you will be sent a statement of account which will set real income receipts for the year under consideration against your provisional contributions. For the difference you will either be invoiced, or a credit note will be deducted from your next contributions. The definitive amount of your contributions will be fixed on the basis of your tax assessment.
FOR FURTHER INFORMATION
LEAFLETS OF THE FEDERAL SOCIAL INSURANCE OFFICE (ONLY IN FRENCH) :
DOCUMENTS FROM THE SOCIAL COMPENSATION FUNDS OF THE CVCI :
OTHER DOCUMENTS :
Income Compensation (APG) request: the Army is in charge of handing in the testified form directly to the person doing the service.