Incomes are high in Switzerland, but so is the cost of living. To avoid unpleasant surprises, as an expat it is vital to decide and accurately plan what your monthly budget will be spent on before you arrive in Switzerland.
In 2021, the average Swiss household made up of 2.09 people had a total disposable income of CHF 6,706.
An average Swiss household is left with 17,5% of its gross income at the end of the month which can then be converted into savings.
Taking into account the average salary of a single person:
| Gross salary | CHF 6,250 |
|---|---|
| Occupational pension plan | CHF 550 |
| Taxes | CHF 850 |
| Housing costs | CHF 1,200 |
| Health insurance | CHF 330 |
| Other insurance | CHF 100 |
| Communications | CHF 150 |
| Transport | CHF 460 |
| Other healthcare costs | CHF 180 |
| Food and beverages | CHF 450 |
| Clothing and footwear | CHF 130 |
| Furniture, household items and personal hygiene | CHF 300 |
| Eating out and entertainment | CHF 700 |
| What is leftover? | CHF 850 |
Using different websites you can calculate your budget taking into account your income bracket, your place of residence as well as your family situation (married, single, with children, etc.).
* swissinfo.ch (2017). What does a salary of CHF 6,000 mean? See https://www.swissinfo.ch/fre/economie/vivre-et-travailler-en-suisse_que-signifie-un-salaire-de-6000-francs-/43558910
Differences between cantons should be taken into account when choosing a place to live.
The most expensive cantons are Geneva and Basel (high housing costs, above-average health insurance premiums). The cheapest cantons are Uri and Glarus (low housing costs, moderate taxes). Changing place of residence would enable some households to stretch their budget further.
The Federal Statistical Office (OFS) provides an overview of all Swiss cantons, allowing for some interesting comparisons.
Rent, including charges and parking space, should not exceed one third of your net income.
The monthly rent for a standard four-room apartment costs an average of 1,865 CHF. In some municipalities in the canton of Jura, you would pay less than 1,200 CHF for a similar apartment.
However, if you decide to live in a major city like Geneva or Zurich, the rent may exceed 2,000 CHF and in some districts, it could be as high as 3,000 CHF.
Generally speaking, health insurance premiums are paid monthly.
Mandatory health insurance premiums makes a sizeable dent in a household's budget. For a single person, the average monthly premium is 330 CHF. For two people, this amount should be doubled, and if children are taken into account, an additional 100 CHF per child should be budgeted for. In total, the premiums per month for a family with two children (under 18 years of age) amount to 1,000 CHF.
There are major differences between insurance policies, excess and the models available with costs varying greatly from canton to canton. It is relatively easy to compare insurance policies and providers online.
Seven out of ten workers do not work in their town of residence. The average worker travels 14.5 kilometres to and from work in the space of 30 minutes.
Transport costs are higher outside cities, but they are generally offset by lower housing costs.
Mobility costs are usually tax deductible.
People who commute by car sometimes pay four times more than they would for public transport.
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