Did you know?
The combined benefits of the 1st pillar and 2nd pillar generally cover only about 60% of previous income.
What is the 13th AHV pension?
The 13th AHV pension represents an additional monthly pension paid once a year, in December, to all recipients of an old-age pension. In concrete terms, it corresponds to one twelfth of the total amount of old-age pensions received during the year.
The amount of the 13th AHV pension is calculated according to the following rules:
- It is equivalent to 1/12 of your annual retirement pension.
- Supplementary pensions, children's pensions and special supplements (in particular for women of the AVS 21 transitional generation) are not taken into account.
- The amount is rounded to the nearest franc
- A precise calculation is only possible in December, as the pension may vary during the year.
Who benefits from the 13th AVS pension?
All individuals entitled to an old-age pension in the month of December will automatically receive the 13th AHV pension. The payment will be made at the same time as the regular December pension.
Important to remember
Only old-age pensions are affected by this additional annual payment. Survivors’ pensions (widows, widowers, orphans) and disability pensions (IV) will continue to be paid only 12 times per year.
In the event of death between January and November, beneficiaries will not be entitled to the payment of the 13th AHV pension.
Implementation schedule
The first payment of the 13th AHV pension will take place in December 2026. The payment arrangements were adopted by the Federal Council at its meeting on November 12, 2025, and then unanimously approved by the National Council.
No action is required on your part: the payment will be made automatically if you receive an old-age pension in December.
Financing the 13th AHV pension
The cost of this measure is estimated at CHF 4.2 to 4.3 billion per year from 2026, of which around 850 million will be borne by the Confederation. Without additional funding, the AHV compensation fund would rapidly fall below the legal threshold of 100% of annual expenditure.
The Federal Council proposes to finance the AHV through a uniform increase in VAT (standard rate at 8.8%, reduced rate at 2.8%, and accommodation at 4.2%), which would ensure the system’s balance until 2030. Meanwhile, the Council of States favors a mixed solution combining a moderate increase in employee contributions starting in 2028, a capped VAT increase (with 0.5 points dedicated to the 13th AHV pension), and a relaxation of the compensation fund. This approach aims to better distribute the burden between workers and retirees and to prepare for potential future reforms, while parliamentary discussions continue in 2026 to reconcile the positions of both chambers.
Impact on supplementary benefits
The 13th AHV pension will not be taken into account when calculating the income required to qualify for the supplementary benefits (PC). It will therefore not lead to a reduction or elimination of any of your PCs.
Anticipating pension gaps
While the 13th AHV pension is a welcome improvement, it does not address the structural challenges of old-age provision in Switzerland. Pensions from occupational pension funds continue to decline due to low interest rates and increasing life expectancy.
All too often, AHV and occupational pension benefits cover only 50% of the last salary, while 70% to 80% is needed to maintain one’s standard of living. This gap in coverage must be filled through private savings (3rd pillar).
Our recommendation
- Take stock of your future income and expenses
- Drawing up a retirement budget
- Calculate your pension gaps precisely
- Set up an appropriate financing plan
Even with the 13th AHV pension, careful planning is still essential if you want to enjoy your retirement with peace of mind.
Need help analyzing your situation? Our pension experts can assist you in setting up a retirement planning strategy tailored to your needs. Contact us for a personalized, no-obligation assessment.
Frequently asked questions about the 13th AHV pension
No. Only old-age pensions are paid 13 times a year. Disability pensions continue to be paid 12 times a year.
A precise calculation is only possible in December of the year of payment, as your pension may vary during the year. For an estimate, divide your annual retirement pension by 12.
The competent fund is the one that pays your December AHV pension. Contact it directly for any information requests.
No. Survivors' pensions (widows, widowers and orphans) are not affected by the 13th pension. Only old-age pensions benefit from this additional payment.
If you die between January and November, your heirs will not be entitled to the 13th AHV pension for that year.
No. The extraordinary supplement granted to women born between 1961 and 1969 is paid only 12 times a year. Only the basic old-age pension is paid 13 times.
Yes, like the ordinary AVS pension, the 13th pension is subject to income tax.
