Jurilo can also answer more complex and longer questions. Currently, it is important to reduce these to one or two sentences if possible, which is often not a problem. Or to make individual questions out of multiple questions.
An example that was sent to us:
My question is the following:
Our Chairman of the Board asks why we use the board fee, which he receives as payment, as the basis for the AHV calculation. In another mandate, the pension fund contributions of both employee and employer are first deducted from the board fee, and this amount is then used as the basis for the AHV calculation.
Example
Board fee CHF 100,000
PF EE ./. 3,000
PF ER ./. 3,600
Net CHF 93,400 Basis for AHV calculation
AHV 4,950.30
UI 1,027.40
In my opinion, this is not correct; rather, the AHV basis is these 100,000. Or is there a special regulation for board fees?
With this, we consulted Jurilo and asked this question:
What is the basis for the AHV calculation for a board fee?
The Jurilo answer was then:
For a board of directors fee (board fee), the entire fee generally forms the basis for the AHV calculation, provided it is a remunerated activity. This means: All monetary benefits that a board member receives for their activity are AHV-liable wages within the meaning of social security law.
Legal basis:
According to Art. 5 para. 2 AHVG, income from dependent employment includes all remuneration paid for work performed, regardless of whether it is paid once or periodically. This includes in particular:
• Attendance fees
• Flat-rate compensation
• Profit sharing
• Bonuses
• Expenses, unless they are actual and demonstrably business-related
Benefits in kind (e.g., free use of a vehicle or apartment) are also generally subject to contributions, unless they fall under actual expense reimbursement.
Special regulation for board members:
Board members are considered employed persons under AHV, even if they are not in a traditional employment relationship. This means that the board fee is considered determining wage within the meaning of Art. 7 lit. h AHVV and is therefore subject to contribution obligations.
Expense regulation:
Actual expense reimbursements that compensate for actual costs (e.g., travel expenses, meals at off-site meetings) are not subject to contributions, provided they are correctly accounted for and documented. Flat-rate expenses, on the other hand, are only contribution-free if they have been approved by the responsible compensation office (Art. 9 para. 2 AHVV).
Summary:
The basis for the AHV calculation for a board fee is the entire fee including all monetary benefits, minus the actually documented expenses. It is income from dependent employment that is subject to contribution obligations.
Sources:
- Art. 5 para. 2 AHVG
- Art. 7 lit. h AHVV
- Art. 9 para. 2 AHVV
