How Much Can You Bill Without Being Self-Employed in Switzerland?

You can send invoices and get paid in Switzerland without registering a business — up to a point. The line between "private person who occasionally invoices" and "self-employed person who must register" is drawn by a surprisingly small number: CHF 2,500 per year.

The CHF 2,500 rule

If you earn money on the side of a regular job — a freelance project, a consulting gig, a one-off mandate — the AHV compensation fund (Ausgleichskasse) only requires you to register as self-employed once that side income becomes significant. The practical threshold is CHF 2,500 per year.

Below CHF 2,500 of side income, AHV registration is voluntary. This only holds, however, when at least one of the following situations applies to you:

• You are also an employee (your main income is already subject to AHV deductions).
• You receive unemployment benefits (Arbeitslosen-Taggeld).
• You are married or in a registered partnership, manage the household, and your partner pays AHV contributions.

The three exceptions all point the same way: your main income is already covered by compulsory AHV contributions somewhere else. The side income is treated as a minor top-up rather than a business.

If none of the exceptions applies, the compensation fund can treat you as self-employed even below CHF 2,500. That is why it pays to check your individual situation rather than assume the number alone protects you.

When registration becomes mandatory

You must register as self-employed with your cantonal compensation fund if your situation crosses one of the following lines:

• Your side income exceeds CHF 2,500 per year.
• The self-employment becomes your main activity, regardless of the amount.
• You meet several criteria of genuine self-employment (own company name, your own economic risk, multiple clients, independent working position).

The CHF 2,500 ceiling is the clearest trigger, but it is not the only one. Amount aside, if the work becomes your main activity, registration is required regardless of how little you earn.

The authorities also look at the substance of the relationship. If you run your own company name, bear your own economic risk, serve multiple clients, and work independently, you are self-employed in their eyes.

Once registered, you pay AHV/IV/EO contributions on the self-employed income and must keep proper accounts. It is an administrative step, but a manageable one — and it keeps you on the right side of the rules.

The CHF 100,000 VAT threshold

Separate from the AHV rules, there is the value-added tax (MWST) threshold. If your annual turnover exceeds CHF 100,000, you must register for VAT.

A VAT-registered invoice has to show your VAT number (the UID with the suffix MWST), the applicable rate, and the tax amount. This applies whether you bill as a private person or as a sole proprietorship.

Below CHF 100,000 you are not subject to VAT and do not collect it. It is recommended, though not strictly mandatory, to note "Not subject to VAT" on the invoice so the customer understands why no tax is shown.

Keep the two thresholds in separate mental buckets — they are completely independent. You can be below CHF 100,000 yet still required to register for AHV, and the reverse also happens.

Private invoice vs. sole proprietorship invoice

A private invoice (Privatrechnung) is issued by you as a natural person, without a company. It still has to contain all the standard Swiss invoice elements.

The difference is administrative: no commercial register entry, no AHV self-employment registration below the threshold, and no VAT. You are simply billing for work you did as an individual.

A sole proprietorship (Einzelfirma) is a registered business. You trade under a company name, register with the AHV compensation fund, and — above CHF 100,000 — with VAT. Its invoices carry the company name and, when applicable, VAT details.

Whichever form you use, a complete invoice keeps you compliant and easy to pay. At a minimum, include your full name and address, the customer's details, the invoice and service dates, a consecutive number, a clear description of the service, and payment details — ideally a Swiss QR-bill.

• Your full name and address (as issuer).
• The customer's name and address.
• Invoice date and the service date or period.
• A unique, consecutive invoice number.
• A clear description of the service and the amount.
• Payment details — ideally a Swiss QR-bill.