An expat’s guide to living in Switzerland

Almost one in three people living in Switzerland are foreign nationals. The alpine nation is a magnet for workers across the EU and further afield who travel to the country where incomes are among the highest in the world.

Expats report high levels of satisfaction in Switzerland, where they enjoy safe streets, beautiful vistas, a strong job market and an overall great quality of life. Despite its large population of expats, Switzerland continues to face shortages in the labour market and is encouraging professionals in sectors like IT, engineering and medicine to come to the country to work.

If you are among those considering moving to Switzerland to live and work, our comprehensive guide contains everything you need to know before making the move.

Is it difficult to immigrate to Switzerland?

As a member of the Schengen Zone, most EU nationals don’t need a permit to move to Switzerland to work. However, citizens of countries from outside of the EU, such as the UK, will have to jump a couple of hurdles.

Since Brexit, UK nationals now require a permit for any stay in Switzerland which exceeds 90 days. However, for highly skilled professionals, this might not be a difficult proposition. There are several routes available, and your move can be expedited if you have a job waiting for you and an employer to sponsor your visa. For those looking to study in the country, proof of admittance from a Swiss higher education establishment should be enough to secure a temporary residence permit. UK residents will be considered eligible for permanent residence in Switzerland after spending 10 years continuously living in the country.

Those looking to retire in Switzerland should consider the so-called ‘B permit’, which allows for a five-year residency on a renewable basis. To retire in Switzerland, you must be over 55 years of age, and able to prove you have enough cash in the bank to support yourself, in addition to demonstrating a personal connection to the country. Brits considering retiring to Switzerland will also be pleased to know they can claim their UK pension abroad, where it can be paid either into a UK bank account or a Swiss one.

How much money do you need to live in Switzerland?

Although Switzerland offers an opportunity to earn a bigger wage than you might at home, it can also be a very expensive country to live in. A single person living in Geneva can expect to spend around £1,161 per month in living expenses, while a family of four would need to spend around £4,377 per month, according to data from Wise. However, as the outlet reports, many Brits can expect to earn more money in Switzerland than in the UK, particularly in key sectors like education, where the average teacher earns around £76,000 per annum, around double that of the going rate in the UK.

Expats should also be aware that they might have to shell out quite a bit of cash upfront to gain a foothold in the Swiss property market. The lack of affordable rental properties means some landlords now ask for three months’ worth of rent upfront. In Switzerland’s most expensive city, Zurich, a one-bedroom apartment can cost between £1,300 and $5,200 per month.

Expats should also consider whether they want to send their children to a Swiss public school or enrol them in a fee-paying international school. While the Swiss public education system is considered to be world-class, it primarily caters to speakers of French, German, and Italian. Schools that specialise in English can charge more than £20,000 per year. The rising cost of private tuition around the world is causing more parents to consider education planning so they can provide their children with the best possible education.

Expats should also account for the cost of health insurance in their monthly budgets, potentially an added burden on the budget if they previously used public healthcare systems such as the NHS. In Switzerland, it is compulsory to take out health insurance.

Is healthcare free in Switzerland for expats?

Healthcare insurance is compulsory for all residents of Switzerland. Expats will likely be required to take out private health coverage if they seek a work permit and live in the country. This includes dependents and children of prospective expats, who must have their health plans in order as a requirement of entry.

Switzerland does not offer an equivalent to the NHS in the UK or Medicare in the US. Instead, residents and citizens are covered by private providers, which, though potentially expensive, is one of the best-performing health systems in the world.

The so-called ‘basic coverage’ offered by the private sector, the minimum mandated by law, provides general check-ups, hospital visits, prescription costs, maternity care, vaccinations, cancer screenings, alternative therapies, and other services. A basic plan would typically cover almost all the expenses associated with the above services, which are sold by the providers at cost.

Swiss citizens and residents pay up to 8 percent of their income on their health insurance coverage – though if they have to pay any more than that, the government steps in to foot the bill and cover the difference. There are also exemptions for some low-income residents.

However, expats should be aware an insurance plan might not cover all healthcare costs or potential eventualities. Patients have annual deductibles, or an excess, which they must front up before the insurance company will cover their costs. To cover all bases, many families take out critical illness insurance so they can be confident that should the worst happen, they and their loved ones will continue to be taken care of.

It should be noted that some expats will be exempt from paying into the insurance system if they have existing coverage that is valid in the country or for UK citizens if they are covered by their Global Health Insurance Card.

Can I move to Switzerland if I only speak English?

While English is not an official language of Switzerland, the language is widely spoken in many areas, particularly in the city of Zurich. While the main languages used in the workplace are German, French and Italian, this will vary by industry and geography. According to the English Proficiency Index, around 60 per cent of the Swiss population have a decent grasp of English.

While English speakers may find no difficulty getting by in cities and in business, it is generally advised expats make an effort to gain a basic understanding of French, German or Italian, which can be advantageous in the job market.

Is the tax higher in the UK or Switzerland?

Income tax in Switzerland is typically lower than in the UK – but expats should be aware they may face higher taxes on capital gains and for social security. While the average income tax rate in Switzerland is just 11.5 per cent, compared to 14.3 per cent in the UK, the headline figure doesn’t always tell the whole story. Expats should also be aware that taxation can vary between each of Switzerland’s Cantons or regions, which impose different tax rules.

If you are looking to remain tax efficient, it could pay to speak to a financial advisor so you can create a financial plan that helps you navigate the Swiss tax regime with confidence.

Is Switzerland a good country for expats?

Relocating to Switzerland presents a compelling opportunity for expats seeking a high-quality lifestyle characterised by safety, breathtaking scenery, a robust job market, and excellent public services.

Those looking to advance their career prospects will find a thriving economy eager for skills—but they should be prepared to pay more for day-to-day living. Despite difficulties in moving to the country as a result of Brexit, British nationals with the right skills should face few hurdles if they want to make the move.

Although not cheap, the Swiss healthcare system is highly regarded and offers comprehensive coverage through mandatory private insurance. This ensures residents have access to top-tier medical services.

Taxation in Switzerland tends to be lower compared to many other nations, including the UK, but it can differ significantly between Cantons. Engaging with a financial advisor can help expats optimise their tax situation and better understand the Swiss tax landscape.

Moving to Switzerland involves its share of challenges, but the benefits of living in one of the world’s most affluent and picturesque countries are substantial. With thorough preparation and a clear understanding of Swiss life, expats can look forward to a rewarding experience in this diverse and welcoming country.