r/SwissFIRE • u/Sunny_Me_4849 • May 04 '26
Validate my Valais CoastFIRE plan
Currently considering buying a primary home in Valais with 66% LTV, interest only at 1.5% / 400k. The budget estimate for a family of 4 seems crazy low compared to Zurich. This is supposed to cover the standard cost-of-living essentials, no car, no fancy vacations, no dining out, and also no/low income tax. What am I missing for my CoastFIRE plan?
Mortgage Interest 495 CHF
Maintenance/Utilities 500 CHF
Home insurance 100 CHF
Health insurance 1,050 CHF
Out-of-Pocket 150 CHF
Groceries & household 1,500 CHF
Wealth & Property Tax 180 CHF
Transportation 250 CHF
Telecom/Internet 120 CHF
School & activities 150 CHF
Clothing 180 CHF
Kids/Leisure 400 CHF
Household Repairs / Buffer 200 CHF
Misc 100 CHF
Total ~5,375CHF/ mo or ~64,500 CHF/yr
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u/heubergen1 May 04 '26
For CoastFIRE it would be more relevant to know how much you have and how long you want to coast, this sounds more like a general after-re budget question.
Anyway, assuming that the budget is for after stop working there are two main things:
- Don't forget to add accident insurance to the health insurance which costs a little bit more
Taxes.
First of all you will have income taxes for the dividends of your equity (assuming you have some), independent if they are accumulating or distributing.
And you will continue to pay AHV based on your wealth (see https://www.ahv-iv.ch/p/2.03.d or https://www.ahv-iv.ch/p/2.03.f page 7).
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u/Sunny_Me_4849 May 04 '26
My budget is good enough to stop worrying about work, mostly looking for FI.
Not a big fan of dividend stocks, preference for growth stocks and ETFs.
Good point regarding AHV. The self-employed minimum is 530 CHF/yr assuming income below 60k. That said, the wealth factor is something I've overlooked.
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u/Neither_Throat_6950 29d ago
I currently live in Valais with a kid so I might have something to add here.
Overall, 65K/year looks reasonable if you are frugal. I doubt we spend more on any of the listed points expet for taxes (as we still work), transportation (car) and leisure (Ski and vacations) despite not beeing particularly stingy or frugal.
The health insurance is probably too high unless you have minimum franchise and some additional insurance (official calculator) or anticipate regular health issues. Groceries for 1500 is also more than adequate if you cook yourself. If you insist on regular steak or fancy alcohol it will quickly be more. Telecom/internet should also be lower unless you need 4 phone plans with unlimited data + home internet Go-Mo is like 15.- for unlimited data/calls/sms in Switzerland.
If you are looking to buy for 600k there will be compromises, but doable, especially if you are handy and don't mind putting in some time.
The car situation is not as bad as people here make it out to be. I have plenty of friends without a car. If you live in biking distance to a trainstation and don't mind the inceonvenience and extra time. But public transport is expensive, so unless you plan on mostly staying in the region you will need more than what you have currently planned. Look into Mobility if you want access to a car occasionally.
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u/GoblinsGym May 04 '26
Would you be down in the valley, or further up ?
I have a project house above Visp (on the northern slope, i.e. more sun). There is good postal car service, but I don't think I would want to live there without a car. The little village shop is kind of limited and expensive, for more selection you have to go down to Visp.
Contractors are a bit less expensive than in Zurich, but still "enough". Everything else will be typical Swiss price level.
Don't forget Eigenmietwert, and keep in mind that Valais is rather high tax if you do earn money / have significant assets. Local job market seems rather limited unless you fit in the Lonza / biotech bubble.
For younger kids I think it will be great, older kids might get FOMO compared to Zurich.
Community spirit is much stronger in Valais, including mutual assistance between neighbors.
Feel free to DM me if you have more questions.
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u/Sunny_Me_4849 May 04 '26
No exact location yet, looking at various projects. I get your point about an uphill house and more sun but for me having access to trains is equally important.
Thanks for offering your help, might reach out soon.
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u/ForeignLoquat2346 26d ago
I understand that you have probably been raised in Switzerland and you love your country BUT with 65k a year you could literally go on a full FIRE plan in the near France or Italy so I don't really understand why you guys are forcing yourself to live in CH. Moreover you would have to account for a 4-5% health insurance premiums grow every single year. They are projected to double in 10 years.
There are such beautiful and safe places near the swiss border. For eg. Valle d'Aosta and Haute-Savoie (the both have the same Valais vibes).
1
u/gonzaenz May 04 '26
How do you plan to update your mortgage? Eventually you will need a new one and will need to provide a source of income.
1
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u/beRsCH May 04 '26
If you live in Valais you’re going to need a car, unless you live in the middle of Sion and never go outside your house, you’re gonna need to drive your kids to sports game, to birthday party and stuff in other villages, etc