Image: Pia Bublies

The main points at a glance

  • Marriage and cohabitation are possible for all couples.
  • It will no longer be possible to enter into a new registered partnership, though existing ones can be maintained or converted into a marriage.
  • The law does not provide any mutual financial security or legal advantages for cohabiting partners.
  • A cohabitation agreement and a will can partially compensate for this.
  • Widowers – even in the case of same-sex marriages – are not entitled to a widower’s pension.
  • The “marriage tax penalty” remains in place.
  • Couples are strongly advised to consider their pension situation and mutual financial security.

Couples can get married or convert their registered partnership

When Switzerland voted yes to the proposal “Marriage for all” on 26 September 2021, an amendment to the Swiss Civil Code was agreed – namely that marriage should be possible for same-sex couples, offering an alternative to cohabitation. The reform will come into force on 1 July 2022. From this date, same-sex couples can get married or convert their existing registered partnership into a marriage. To do so, both partners must make an official declaration before a registrar of their choice.

Marriage or cohabitation?

In Switzerland, marriage is the strongest legal bond between a couple. In the event that one partner passes away, it provides strong financial security for the surviving partner (see table below).

In addition to marriage, both homosexual and heterosexual couples can still live together under the terms of a cohabitation agreement. However, as there are no specific legal provisions for this, the law treats these couples as if they were still separate individuals.

Good to know: Several financial and legal matters can be settled with a cohabitation agreement in the same way as with a will, inheritance contract or amendment to the order of beneficiaries, such as:

  • Division of living costs
  • Division of jointly accumulated assets in the event of separation
  • (Financial) responsibility for children
  • Adjustment within the legal possibilities of the order of beneficiaries concerning pillars 2 and 3a in case of death
  • Allocation of the freely disposable part of the assets to a partner via a will
  • Free allocation of assets via inheritance contract if all parties agree, including the legal heirs

Marriage and cohabitation – the differences at a glance

Your situation

Your situation

Marriage

Marriage

Cohabitation

Cohabitation

Your situation

Inheritance

Marriage

Compulsory share regulated by law

Cohabitation

Compulsory share for legal heirs (e.g., offspring), but not for partner

Your situation

Inheritance tax

Marriage

None

Cohabitation

Amount depends on canton of residence

Your situation

Wage and other income tax

Marriage

Taxed together as a couple

Cohabitation

Taxed individually

Your situation

AHV pension

Marriage

Pension for married couples
(cannot be higher than 150% of individual pension)

Cohabitation

Two individual pensions

Your situation

AHV pension in case of death

Marriage

Widow’s pension in case of death of spouse

Cohabitation

No benefits if one partner dies

Your situation

Pension fund

Marriage

Benefits regulated by law in case of death

Cohabitation

Benefits voluntary in case of death

Your situation

Pillar 3a

Marriage

Surviving spouse is primary beneficiary in case of death

Cohabitation

Partner as primary beneficiary only by order of the cohabiting couple

Your situation

Naturalization of partner

Marriage

Easier

Cohabitation

Not easier

Your situation

Adoption

Marriage

Possible by couple

Cohabitation

Only possible by one partner

Pension planning factsheet cover page

Factsheet on financial security for cohabiting couples

UBS has retirement factsheets for every life situation. “Financial security together” deals with cohabiting partnerships.

New registered partnerships will no longer be possible

“Marriage for all” will replace registered partnerships for same-sex couples. The legal basis for this came into force in Switzerland at the start of 2007. As of 1 July 2022, it will no longer be possible to enter into a new registered partnership. Existing registered partnerships can be easily converted into a marriage, but can also be maintained as such without the need for any specific declaration. Legal differences will not always be the sole factor that determines whether couples convert their registered partnership into a marriage.

The differences between marriage and a registered partnership

Registered partnerships already offer several advantages for same-sex couples originally reserved for married couples, especially in areas such as tax, maintenance, inheritance and social security. Registered partnerships also benefit those seeking to become Swiss citizens, but do not facilitate naturalization. The key legal differences between marriage and a registered partnership are as follows:

  • The naturalization process is easier for foreign spouses of individuals with Swiss citizenship.
  • A married couple can adopt children.
  • Unlike a separation of estates for registered partnerships, the regime of community of acquired property applies to married couples.

The “marriage tax penalty” remains unchanged

While the “marriage for all” legislation marks the end of unequal treatment of same-sex couples in civil law, the long-discussed “marriage tax penalty” will continue to apply. This refers to the fact that the income of married couples is taxed together as a single sum. Due to tax progression, this usually results in a far higher tax burden for two similar incomes than for cohabiting couples, whose income is taxed individually. Given that partners within same-sex couples are more likely to work similar hours and have similar levels of income, they tend to be more harshly affected by the “marriage tax penalty” than heterosexual couples. The “marriage tax penalty” will continue to apply with regard to federal taxation as well as in the vast majority of cantons. The question of whether it should be abolished has been discussed for years.

Married couples are also at a disadvantage compared to cohabiting couples when it comes to the AHV as they cannot together receive more than CHF 3,585, i.e., 150 percent of the maximum individual pension. Cohabiting couples, on the other hand, can in theory receive up to twice 100 percent of the maximum individual pension.

Tips for newly married couples

Gender aside, marriage is a massive step for almost every couple and also changes their legal status. It is therefore sensible to take stock of your new situation and take advantage of the benefits, ideally no later than after your honeymoon:

  • “Marriage for all” allows same-sex couples more freedom in distributing their estate. The revised inheritance law, which will come into effect in early 2023, will also provide more leeway. Bear in mind that even married partners have to draw up their wills separately.
  • Marriage affects both partners’ pension situations; you should thus examine your current situation to identify ways to optimize it.
  • One particular aspect with respect to pensions is that the AHV treats married women differently than married men. Upon the death of their spouse, women are entitled to a widow’s pension for life or until remarriage, provided the marriage lasted at least five years and the surviving partner is at least 45 years old or has at least one child. Men, however, are only entitled to a widower’s pension if they have children under the age of 18.

Get advice

A change in your relationship merits an examination of your retirement situation. Arrange a pension plan consultation now to develop a plan of action with UBS experts and receive answers to your questions.