Read news from:
Austria
SHARE
COPY LINK
For members

WEALTH

Swiss remain the ‘richest’ in the world… but it’s not all good news

Residents of Switzerland remain on average the richest in the world, a new study has shown. Here's why.

Published: 22 October 2019 12:51 CEST
Swiss remain the 'richest' in the world... but it's not all good news
Photo: FABRICE COFFRINI / AFP

The average Swiss resident has a wealth of CHF557,363 (€506,635), an increase of CHF17565 (€15,961) since last year. 

Switzerland extended its lead over the United States as the country with the highest average wealth. Switzerland experienced the highest wealth growth of any country, followed by the US, Japan, the Netherlands and New Zealand. 

The data comes from Credit Suisse’s annual Global Wealth Report, which has ranked Switzerland at number one every year since it was first published in 2000. 

READ MORE: Why the French are ranked 'more wealthy' than Americans or Germans

Why so rich?

The major reason for the rise in Swiss wealth has been the comparative strength of the franc over the US dollar, particularly due to gains between 2001 and 2013. 

Since the turn of the millennium, wealth has risen by 144 percent for the average Swiss resident when measured in US dollars. When measured in Swiss francs, the rise has been 45 percent. 

Image: Credit Suisse

The news is not all rosy for Switzerland however, with Swiss residents having one of the highest levels of debt anywhere in the world. The average Swiss has CHF140,851 (€127949) in debt – a figure which represents roughly 20 percent of all assets. 

Wealth inequality

While each Swiss resident may on average be worth over half a million francs, the study also showed the level of wealth inequality across the country. Switzerland is home to 810,000 millionaires, an increase of 19,000 millionaires when compared to 2018. 

READ: Swiss richer than ever but wealth inequality persists

The study found that Switzerland had the status of “relatively high wealth inequality”, which makes sense considering that more than one in ten (12 percent) of Swiss adult residents are millionaires. 

Image: Credit Suisse

The report contradicts with one released earlier in 2019 by German insurance giant Allianz who found that the United States had taken over Switzerland as the wealthiest country.

The differing figures between the reports comes down largely due to the way in which debt is included in the totals. 

p.p1 {margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica}
p.p2 {margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px}
p.p3 {margin: 0.0px 0.0px 0.0px 0.0px; line-height: 14.0px; font: 12.0px Times; color: #0000e9; -webkit-text-stroke: #0000e9}
span.s1 {text-decoration: underline ; font-kerning: none}

 

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.
For members

MONEY

Can I get financial help in Switzerland if I’m struggling to pay the bills?

Can foreign residents who are struggling to get by receive the same financial help from the state as the Swiss do, and under what circumstances?

Published: 26 February 2024 13:48 CET
Can I get financial help in Switzerland if I'm struggling to pay the bills?

Say you are a foreign resident in Switzerland and find yourself short of funds, and are unable to pay your monthly bills.

Can you count on your canton’s public coffers to help you out?

Much depends on your status in the country.

If you have a residency permit, have been working in Switzerland and contributing to the social security scheme, then you can receive financial assistance, in form of subsidies, from your local authority.

This is how it works

For instance, if the obligatory health insurance premiums exceed 8 percent of the household income, then you are eligible to receive this help.

However, your canton of residence will look not only at your earnings, but at any other financial assets you hold as well.

So if your income is low but you have plenty of money in the bank in the form of savings or other investments, you will not qualify.

Generally speaking, any resident who is a low earner or has a large number of children — regardless of nationality — could be eligible for subsidised premiums, though criteria, as well as amounts, vary from one canton to another.

READ ALSO : How do I apply for healthcare benefits in Switzerland? 

What about housing?

Low-earners (again, regardless of nationality) are entitled to have their rents subsidised, under certain circumstances — the conditions as well as the income threshold is determined by cantonal authorities.

Generally speaking, in order to claim this help, you must prove that you live in the cheapest available housing in your area. (Needless to say, if you reside in a luxury apartment, you can’t ask for rent subsidy.)

If you don’t fulfill this particular condition, you will be told to move to cheaper accommodations before claiming any benefits.

Exceptions to this rule include situations such as a large number of minor children living in the household, which may make relocation — that is, finding a sizeable apartment at a cheaper price — unrealistic.

The amount of rent reduction will be set by the authorities.

Is any other help available?

If you can’t afford anything in Switzerland which, admittedly, is an extreme and rare situation for anyone working full-time and already receiving either health insurance or housing subsidy (or both), then your only other option is applying for welfare.

This, however, should be the absolute last resort if you want to remain in Switzerland and eventually apply for naturalisation, or even have your work permit renewed.

That’s because being on public assistance is grounds for refusal of citizenship — unless all the money is repaid in full in advance of your application.

READ ALSO: Can I still get Swiss citizenship after claiming social benefits? 

What about disabilities?

This falls under the general social security scheme, so if you are working in Switzerland, then you are eligible to receive these benefits.

The only exception may be people from outside the EU /EFTA — unless your country of origin has concluded a social security agreement with Switzerland.

This link provides additional information about these countries.

If you qualify for disability (and medical records confirm this), you can apply for these benefits at the social security office of your canton.

There are some other things you should keep in mind as well:

Not all foreigners who have a residency permit can apply for financial assistance.

If you came to Switzerland on a temporary permit (L or B), then you don’t have access to any benefits.

And if you ‘bought’ your Swiss residency, you can’t resort to any public help either.

The condition of your stay in Switzerland is that you should be self-sufficient enough to live here without having to work or resort to welfare benefits.

SHOW COMMENTS