6 tips that cross-border workers should start using right away!

1. Spend less time in your car and cut down on transport costs

Many of us use our cars to get to work. Driving can be tiring, and is ultimately not very environmentally friendly. There are several options that allow you to leave your car at home:

• use public transport more often and make the most of the Park and Ride facilities that are becoming increasingly widespread: this sort of solution should help you cut costs and improve your quality of life a little
• There’s no excuse not to make the most of the Léman Express: it stops at Bellegarde, Annecy, St-Gervais-les-Bains, Évian-les-Bains and Coppet, taking you straight into the heart of Geneva. There are 45 stations in France and Switzerland.
• car-sharing via services such as Blablacar: you won’t cut down on the time spent in your car, but you’ll reduce your fatigue and expand your network by meeting new people
• If your job allows it, suggest to your employer that you work from home: the so-called "home office" is clearly a trend that is becoming increasingly common among Swiss companies.

2. Reduce your tax bill

Whether you’re a cross-border worker who pays tax at source or in your country of residence, reducing your income tax can’t do you any harm.

1. If you are subject to withholding tax (in any canton in Switzerland): many cross-border workers are unaware of this, but it is possible to reduce your tax liability by submitting a tax adjustment even if you are subject to withholding tax. Without going into detail, this adjustment is possible, for example, if you take out a 3rd pillar pension plan (please note, only until 2020), if you make up for missing years in your 2nd pillar pension scheme, or simply if your tax bracket does not match your family structure (in other words, you may be taxed at the single person’s rate even though you have three children).
2. If you are subject to tax at source in Geneva: in addition to the information given above, depending on your professional and personal circumstances, you may be eligible for quasi-resident status, which allows you to claim tax deductions. Although this status has become far less advantageous since this year following a referendum that restricted its scope, it remains a way of reducing your tax bill.
3. If you are not subject to tax at source: a cross-border worker may not pay tax in Switzerland and is therefore not subject to tax at source (this is the case, for example, for cross-border workers in the canton of Vaud who live less than an hour and a half’s journey from their family home). In this case, you need to make use of the system of tax deductions and credits in France, of which there are many. Whilst these are often relatively well known to French cross-border workers, Swiss cross-border workers will need to look into them more closely to benefit from them.

3. Registering with your local council in France

Did you know that your local council in a border area in France will receive a fixed sum from Switzerland for every cross-border worker registered, as part of the financial compensation scheme? And a council with more revenue will likely be less inclined to raise local taxes. It’s quite simple to do: all you need to do is tell your local council that you work in Switzerland, by completing a declaration and a few forms. It’s a gesture that will benefit the community, so go for it!

4. Reduce your EUR/CHF currency exchange fees 

Whether you exchange currency regularly – for your salary, for example – or only occasionally, what currency exchange service do you currently use? Are you aware of the fees you’re being charged, or even the exchange rate? It’s time to shop around and do your research to find the best solution for your transactions. Not all currency exchange providers (banks, bureaux de change, online services) charge the same rates. 

5. Reduce your bank charges

There are several ways to reduce your bank charges:

• Want to cut down on your bank charges in France or in your country of residence? Have you considered switching to an online bank? We believe switching to a digital bank in France is a particularly attractive option. You can reduce your monthly account maintenance fees and bank card fees to virtually zero – so why not give it a go?
• Cutting banking costs in Switzerland: affordable banking options in Switzerland are becoming increasingly scarce, with PostFinance having recently raised its fees significantly to CHF 25 per month. In our view, there is no Swiss bank that is genuinely cheaper for cross-border workers. Residents, on the other hand, can turn to ethical banks such as Banque Alternative Suisse, which offers unbeatable rates.
• Having your Swiss salary paid directly into b-sharpe: a solution that many cross-border workers have found is to have their employer pay their salary directly into b-sharpe: this is a solution which, if accepted by the employer, allows you to avoid bank charges in Switzerland, as b-sharpe does not charge any monthly fees.

6. Consider moving to Switzerland

The situation for cross-border workers has changed in recent years in a way that is not necessarily to their advantage: whilst it is true that the Swiss franc has appreciated significantly against the euro, thereby considerably improving cross-border workers’ purchasing power, On the other hand, some companies are implementing a ‘national preference’ policy which, in effect, reduces employment opportunities for cross-border workers and creates a risk should they lose their jobs. Furthermore, rising health insurance costs, reduced tax benefits, transport costs and, more generally, the public perception of cross-border workers are all factors that diminish the advantages of cross-border worker status. Depending on their circumstances, some cross-border workers might well consider moving to Switzerland, and do so objectively.