1. InterNations worldwide
2. »
3. Guides
4. »
5. Switzerland Expats
6. »
7. Geneva Expats
8. »
9. Geneva Guide
10. »
11. Working in Geneva

Geneva at a Glance

Working in Geneva

Geneva is the seat of the UN and home to many international organizations.

Geneva has a strong, service-oriented economy.the overwhelming majority of people working in Geneva are employed in the tertiary sector. Geneva is among the top 10 financial centers in the world, with many of its employees working in Geneva’s private banking industry, in commodity trade and international trade financing.

Another major part of the tertiary sector is, of course, the tourism and hotel industry. It generates a significant share of the region’s wealth, providing plenty of employment to people working in Geneva.

With only 6.2% of the active population working in Geneva’s manufacturing industry, the latter constitutes merely a small part of the economy. Nevertheless, Geneva’s secondary sector can boast some brand names: Rolex, Omega, and other traditional makers of quality matches are still working in Geneva these days.

Working in Geneva: International Organizations

Geneva owes its nickname of “Peace Capital” to the many international organizations which have their headquarters or offices in the city. As early as 1919, Geneva was the seat of the League of Nations, an organization born out of the Paris Peace Conference and working in Geneva as the precursor to the United Nations.

Today, the UN has its European headquarters in the city. Among the many sub-organizations of the United Nations, the following are based in Geneva:

• the High Commission for Refugees
• the High Commission for Human Rights
• the World Health Organization
• the International Labor Organization
• the World Intellectual Property Organization

Other international organizations that employ many foreigners working in Geneva include the World Trade Organization, the World Economic Forum, the International Federation of Red Cross and Red Crescent Societies, the International Organization for Migration, the International Committee of the Red Cross, and the European Broadcasting Union.

Working in Geneva: Taxation of Foreigners

Everyone working in Geneva must pay taxes on at least two levels: to the Swiss Federation and the Canton of Geneva. Some taxes levied among people working in Geneva are also due on the community level.

Despite all these regulations, Switzerland is a low-tax economy compared to other European countries. Swiss citizens working in Geneva must submit an annual declaration detailing all their income and assets.

Foreigners working in Geneva, on the other hand, are usually taxed at source. They pay a withholding tax on their income directly deducted from their salary. It accounts for their federal and cantonal income tax. Foreign employees who have been living and working in Geneva long enough to acquire the right to settlement will be taxed like Swiss citizens.

Expats working in Geneva are eligible for certain tax benefits in form of an expat flat rate deducted from their taxable income. Supposed to account for the higher costs of the expat life-style, the expatriate flat rate is calculated on the basis of average expenses associated with relocation, travel and maintaining  a second domicile. Obviously, only expats working in Geneva whose employer does not cover these costs are eligible.

Working in Geneva: Double Taxation Agreements

Switzerland maintains Double Taxation Agreements with several countries across the world. Following standard OECD guidelines, they differentiate between two policies to avoid double taxation: tax exemption and tax credits.

According to these agreements, foreigners who spend less than 183 days per year in Switzerland can be exempt from paying tax on any income which does not arise from Swiss sources. If this rule cannot be applied, you might receive tax credits in your usual country of residence against taxes already paid in Switzerland.

If you are not sure whether your country has signed a double taxation agreement with Switzerland, you should contact your fiscal authorities. A PDF document with details of all social security agreements can be downloaded in French and German from the website of the Swiss Federal Tax Administration.