Tag Archives: Personal finance

Historically, Switzerland has offered certain foreign companies special preferential tax deals in order to attract them. © Brad Calkins | Dreamstime.com In response to international pressure, the current system is to be phased out replacing preferential tax rates with lower universal ones in the hope that these companies will stay. The central challenge is how to cover the tax revenue lost when companies taxed at the main rate switch to new lower universal tax rates. The federal government...

In May 2014, Switzerland voted against a minimum wage of CHF 22 an hour. At some point voters in the canton of Geneva will get to vote on a similar initiative, which would apply only in the canton. Similar to the federal vote, which was rejected by 76.3% of Swiss voters, the plan calls for a minimum hourly wage of CHF 23 ($US 23.40). Based on a 40-hour week, this works out at around CHF 4,000 per month. Vote organisers in Geneva collected 7,700 signatures, far more that the 5,227 minimum...

The 2017, a wealth report, published by Capgemini, shows there were 389,000 US$ millionaires in Switzerland, around 4.5% of the population, or close to 1 in 20. © Andrii Chernykh | Dreamstime.com If children under the age of 15 are excluded, Switzerland’s millionaire percentage rises to 7.3%. In addition, these figures include only investable wealth, which does not include the value of family homes. If this wealth was included, the number of millionaires would rise further. Switzerland’s...

On 21 June 2018, the Swiss National Bank (SNB) announced its decision on interest rates, which it left unchanged. Switzerland’s economy has been sailing into the headwinds of a strong currency since the SNB scrapped its exchange rate cap in January 2015 and the Swiss franc briefly went beyond parity with the euro. To weaken the currency, the SNB introduced negative interest rates and went on a spree of asset buying. Yesterday, the Bank said it will maintain its -0.75% interest rate and...

In Switzerland, much in life revolves around the canton. Cantons have their own health, social and education systems, parliaments and tax rates. Federal government, based in Bern, is a layer that sits over the top, bringing the cantons together as Switzerland. For some cantons, nationhood has a cost. For others it means extra money. Every year, based on a collection of complicated formulae, the federal government...

In Switzerland, much in life revolves around the canton. Cantons have their own health, social and education systems, parliaments and tax rates. © Swisshippo | Dreamstime.com Federal government, based in Bern, is a layer that sits over the top, bringing the cantons together as Switzerland. For some cantons, nationhood has a cost. For others it means extra money. Every year, based on a collection of complicated formulae, the federal government calculates how much certain cantons must pay other...

A report by The Boston Consulting Group highlights the size of Switzerland’s personal offshore wealth management sector. ©-Valeriya-Potapova-_-Dreamstime.com_ - Click to enlarge Total personal offshore wealth grew by 6% to reach US$8.2 trillion in 2017. US$2.3 trillion (28%) of this was managed in Switzerland. The top three offshore centres: Switzerland ($2.3 trillion), Hong Kong ($1.1 trillion) and Singapore ($0.9...

A report by The Boston Consulting Group highlights the size of Switzerland’s personal offshore wealth management sector. © Valeriya Potapova | Dreamstime.com Total personal offshore wealth grew by 6% to reach US$8.2 trillion in 2017. US$2.3 trillion (28%) of this was managed in Switzerland. The top three offshore centres: Switzerland ($2.3 trillion), Hong Kong ($1.1 trillion) and Singapore ($0.9 trillion) made up more than half (52%) of the total. If past trends continue, Hong Kong and...

Last week, Vaud’s government announced a plan for future tax cuts. ©-Erix2005-_-Dreamstime.com_ - Click to enlarge The residents of Vaud are among the highest taxed in Switzerland. In 2016, a single person in Lausanne earning CHF 100,000 paid CHF 16,050 in cantonal and communal tax on top of CHF 1,840 of federal tax. This was the fourth highest across all of Switzerland’s 26 cantonal capitals, and almost triple Zug,...

Last week, Vaud’s government announced a plan for future tax cuts. © Erix2005 | Dreamstime.com The residents of Vaud are among the highest taxed in Switzerland. In 2016, a single person in Lausanne earning CHF 100,000 paid CHF 16,050 in cantonal and communal tax on top of CHF 1,840 of federal tax. This was the fourth highest across all of Switzerland’s 26 cantonal capitals, and almost triple Zug, the lowest, where the figure was CHF 5,750 – see chart below. Against this background, the news...