Do I Have To Pay Back Welfare Subsidies When I Receive My Disability Pension?

Here you will find the right answers

About Moneyland Forum

The moneyland.ch forum lets you exchange knowledge on numerous topics related to money and get answers to your questions at any time. Join forum users and experts in discussions relating to banking, investment, insurance, retirement, telecom and everyday money topics.

Show categories

Please login in or sign up to participate in the forum.
 
avatar
  • BenutzernameMoneyland User Questions
  • Status Member
  • Registriert seit1/27/17
  • Beiträge2142

Hello Moneyguru,

I understand that welfare subsidies must be repaid when recipients receive large amounts of money. My questions are:

1. From what date is Swiss social security disability insurance required to pay out benefits?
2. Does disability insurance pay out benefits retroactively from the date on which a person becomes disabled?
3. If so, are disablity insurance benefits used to repay the welfare office for welfare subsidies received in the interim period when the disability insurance backlog is finally paid out?

Thanks.

 
avatar
  • BenutzernameMoneyguru von moneyland.ch
  • OrtSchweiz
  • Status Expert
  • Registriert seit8/4/15
  • Beiträge4079

Hi there,

The earliest point at which Swiss social security disability insurance benefits apply is 6 months after the disability insurance claim is filed. The entitlement may begin at a later point. A one-year probation period during reintegration measures are carried out by the social security office applies. In the best case, you will receive your disability pension paid in arrears from the date 6 months after you made your claim.

Laws governing welfare vary between cantons. As a general rule, Swiss welfare offices can claim repayment of welfare subsidies when recipients receive payment of benefits owed by insurance providers and social security offices in arrears. This may hold true even if the person no longer receives welfare at the time that the backlog of insurance benefits is paid out.

The amount which must be paid back to welfare offices is determined by the amount received from the disability insurance office.

Example: A person receives 8000 Swiss francs of welfare subsidies over a 6-month period while they wait for their disability insurance claim to be processed. At the end of the 6-month period, the person begins to receive a disability pension of 1500 Swiss francs per month. They also receive payment of the backlog owed for the previous 6 months, or 9000 Swiss francs. Because they would not have been entitled to receive welfare had they been receiving their disability pension over the 6-month period, the person must repay the 8000 francs which they received in welfare subsidies from the backlog paid out by their disability insurance.

Typically, the social security office will transfer the money owed directly to the welfare office before paying out the backlog. The recipient will receive a breakdown of the settlement from the welfare office and can point out possible inconsistencies.

Best regards from Moneyguru

More on this topic:
Accident Insurance in Switzerland Explained

Request now for free

Cheap bank accounts with card

Online private account

UBS key4

  • 50 KeyClub points as a welcome gift

  • Online private account with debit card

Swiss digital bank

Radicant

  • High interest on your everyday account

  • Best exchange rates

  • Up to 1% of card spending as saveback in the investment portfolio

Swiss Bank

Bank WIR Bankpaket Top

  • Free account & card

  • No exchange fees for foreign payments (interbank exchange rates)

  • 24 ATM withdrawals worldwide per year free of charge

Swiss digital bank

Alpian

  • CHF 100 welcome bonus

  • Favorable foreign exchange rates

  • Multi-currency account with Visa card (CHF, EUR, USD, GBP) 

Free bank account

Yuh

  • No account fees

  • Banking partner: Swissquote & Postfinance

  • CHF 20 trading credit with code «YUHMONEYLAND»

Request now for free

Cheap bank accounts with card

Online private account

UBS key4

  • 50 KeyClub points as a welcome gift

  • Online private account with debit card

Swiss digital bank

Radicant

  • High interest on your everyday account

  • Best exchange rates

  • Up to 1% of card spending as saveback in the investment portfolio

Swiss Bank

Bank WIR Bankpaket Top

  • Free account & card

  • No exchange fees for foreign payments (interbank exchange rates)

  • 24 ATM withdrawals worldwide per year free of charge

Swiss digital bank

Alpian

  • CHF 100 welcome bonus

  • Favorable foreign exchange rates

  • Multi-currency account with Visa card (CHF, EUR, USD, GBP) 

Free bank account

Yuh

  • No account fees

  • Banking partner: Swissquote & Postfinance

  • CHF 20 trading credit with code «YUHMONEYLAND»

Deal of the Day
×
Online private account

UBS key4

50 KeyClub points as a welcome gift