Old-age provision Parliament can decide on the financing of the 13th AHV pension

SDA

16.10.2024 - 12:35

The people are expected to vote on the financing of the 13th AHV pension approved at the ballot box in March in 2025. (Archive image)
The people are expected to vote on the financing of the 13th AHV pension approved at the ballot box in March in 2025. (Archive image)
Keystone

Parliament can decide on the financing of the 13th AHV pension. The Federal Council adopted the dispatch to the councils on Wednesday. An increase in VAT and a reduction in the federal contribution to the AHV are up for debate.

Keystone-SDA

The Federal Council's proposals for financing the 13th AHV pension, which was approved at the ballot box in March, were met with loud criticism. In its dispatch, however, it is now sticking to financing the supplement solely with additional VAT percentages and reducing the federal contribution to the social security system.

8.8 percent value added tax

The standard VAT rate would rise from the current 8.1 percent to 8.8 percent, the special rate for the hotel industry by 0.4 percentage points to 4.2 percent and the reduced rate for everyday goods from 2.6 percent to 2.8 percent. These additional revenues should keep the AHV in balance until 2030.

The Federal Council also wants to reduce the federal contribution to the AHV from the current 20.2% to 19.5% of first-pillar expenditure. The background to this is the tight financial situation. Instead of around CHF 850 million, the federal government would have to spend around CHF 450 million on the 13th AHV pension.

From 2026, the "thirteenth" is to be paid out in December each year to all those who are entitled to an AHV pension at that time. It must not lead to AHV recipients having their supplementary benefits reduced. This proposal met with majority approval in the consultation process.

Decision at the ballot box

The increase in VAT for the 13th AHV pension must be decided again at the ballot box, at the latest in September 2025. Before that - by March 2025 at the latest - Parliament must have completed its deliberations on the bill.

The next AHV reform is also imminent: Parliament's mandate to present plans for the next comprehensive AHV revision from 2030 onwards by 2026 lies with the Federal Council.