Employee benefits: variable compensation	12 Months Ended
Employee benefits: variable compensation	Dec. 31, 2023
Disclosure Equity Participation And Other Compensation Plans [Line Items]
Employee benefits: variable compensation [text block]	Note 28 Employee benefits: variable compensation a) Plans offered The Group has several share-based and other deferred compensation plans that align the interests of Group Executive Board (GEB) members and other employees with the interests of investors. Share-based awards are granted in the form of notional shares and, where permitted, carry a dividend equivalent that may be paid in notional shares or cash. Awards are settled by delivering UBS shares at vesting, except in jurisdictions where this is not permitted for legal or tax reasons. Deferred compensation awards are generally forfeitable upon, among other circumstances, voluntary termination of employment with UBS. These compensation plans are also designed to meet regulatory requirements and include special provisions for regulated employees. The most significant deferred compensation plans are described below. › Refer to Note 1a item 4 for a description of the accounting policy related to share-based and other deferred compensation plans Mandatory deferred compensation plans Long-Term Incentive Plan The Long-Term Incentive Plan (LTIP) is a mandatory deferred share-based compensation plan for senior leaders of the Group (i.e., GEB members and selected senior management). The number of notional shares delivered at vesting depends on two equally weighted performance metrics over a three- year performance period: return on common equity tier 1 (CET1) capital and relative total shareholder return, which compares the total shareholder return (TSR) of UBS with the TSR of an index consisting of listed Global Systemically Important Banks as determined by the Financial Stability Board (excluding UBS). The final number of shares vest over three years following the performance period for GEB members, and cliff-vest in the year following the performance period for selected senior management. Equity Ownership Plan / Fund Ownership Plan The Equity Ownership Plan (EOP) is the deferred share-based compensation plan for employees outside of the GEB that are subject to deferral requirements. EOP awards generally vest over three years. Certain Asset Management employees receive some or all of their EOP in the form of notional funds (Fund Ownership Plan or FOP, previously named AM EOP). This plan is generally delivered in cash and vests over three years. The amount delivered depends on the value of the underlying investment funds at the time of vesting. Deferred Contingent Capital Plan The Deferred Contingent Capital Plan (DCCP) is a deferred compensation plan for all employees who are subject to deferral requirements. Such employees are awarded notional additional tier 1 (AT1) capital instruments, which, at the discretion of UBS, can be settled in cash or a perpetual, marketable AT1 capital instrument. DCCP awards generally bear notional interest paid annually (except for certain regulated employees) and vest in full after five years. Awards are forfeited if a viability event occurs (i.e., if FINMA notifies the firm that the DCCP awards must be written down to mitigate the risk of insolvency, bankruptcy or failure of UBS) or if the firm receives a commitment of extraordinary support from the public sector that is necessary to prevent such an event. DCCP awards are also written down if the Group’s CET1 capital ratio falls below a defined threshold. In addition, GEB members forfeit 20 % of DCCP awards for each loss-making year during the vesting period. Deferred compensation plans awarded to employees of Credit Suisse Awards granted in connection with the acquisition Retention awards were offered to selected employees of the Credit Suisse Group prior to the acquisition date to support the completion of the transaction and the early phase of integration. These awards were contingent on the completion of the acquisition and are delivered 50 % in cash (in general vesting 60 days from the completion of the acquisition) and 50 % in shares (in general vesting on the first anniversary of the completion of the acquisition). Vesting periods are longer for certain regulated employees. Existing compensation plans offered to employees of Credit Suisse before the acquisition Credit Suisse offered a range of compensation plans to its employees. Generally, outstanding deferred awards continue to vest according to their original terms. Awards referenced to shares of Credit Suisse Group were converted into units over UBS Group shares according to the exchange ratio applied to the merger transaction (1 share in UBS for 22.48 shares in Credit Suisse). Unvested awards that contributed to compensation expenses in 2023 and continue to be expensed over the future service period include upfront cash awards, share awards and other deferred awards settled in cash. These awards were granted for the main purpose of employee retention. Upfront cash awards are subject to repayment (clawback) by the employee in the event of voluntary resignation, termination for cause or other specified events within three years from the grant date. The expense is recognized over the three-year service period according to the clawback provisions. Share awards that were granted as part of the annual performance incentive typically vest over three years with one third of the award vesting on each of the three anniversaries of the grant date. Financial advisor variable compensation In line with market practice for US wealth management businesses, the compensation for US financial advisors in Global Wealth Management consists of cash compensation and deferred compensation awards, determined using a formulaic approach based on production. Cash compensation reflects a percentage of the compensable production that each financial advisor generates. Compensable production is generally based on transaction revenue and investment advisory fees and may reflect further adjustments. The percentage rate generally varies based on the level of the production and firm tenure. Financial advisors may also be granted annual deferred compensation. These amounts generally vest over a six-year period. The annual deferred compensation amount reflects the overall percentage rate and production. Cash compensation and deferred compensation awards may be reduced for, among other things, errors, negligence or carelessness, or failure to comply with the firm’s rules, standards, practices and / or policies, and / or applicable laws and regulations. Financial advisors may also participate in additional programs to support promoting and developing their business or supporting the transition of client relationships where appropriate. Financial advisor compensation also includes expenses related to compensation commitments with financial advisors entered into at the time of recruitment that are subject to vesting requirements. Share delivery obligations Share delivery obligations related to employee share-based compensation awards were 196 m shares as of 31 December 2023 (31 December 2022: 178 m shares). Share delivery obligations are calculated on the basis of undistributed notional share awards, taking applicable performance conditions into account. As of 31 December 2023, UBS held 131 m treasury shares (31 December 2022: 119 m) that were available to satisfy share delivery obligations. b) Effect on the income statement Effect on the income statement for the financial year and future periods The table below provides information about compensation expenses related to total variable compensation that were recognized in the financial year ended 31 December 2023, as well as expenses that were deferred and will be recognized in the income statement for 2024 and later. Deferred expenses related to compensation plans granted to employees of Credit Suisse in 2023 and earlier years are presented under Variable compensation – other . The expense recognized in 2023 associated with these awards was USD 335 m for retention awards granted in connection with the acquisition and USD 412 m for outstanding deferred compensation plans that existed on the date of acquisition. The majority of expenses deferred to 2024 and later that are related to the 2023 performance year pertain to awards granted in February 2024. The total unamortized compensation expense for unvested share-based awards granted up to 31 December 2023 will be recognized in future periods over a weighted average period of 2.2 years. Variable compensation Expenses recognized in 2023 Expenses deferred to 2024 and later 1 USD m Related to the 2023 performance year Related to prior performance years Total Related to the 2023 performance year Related to prior performance years Total Non-deferred cash 2,859 (52) 2,807 0 0 0 Deferred compensation awards 523 656 1,179 777 757 1,534 of which: Equity Ownership Plan 155 330 485 263 245 509 of which: Deferred Contingent Capital Plan 180 241 421 312 451 763 of which: Long-Term Incentive Plan 164 40 204 160 34 193 of which: Fund Ownership Plan 24 46 69 41 27 68 Variable compensation – performance awards 3,382 604 3,986 777 757 1,534 Variable compensation – financial advisors 2 3,761 788 4,549 1,236 3,300 4,536 of which: non-deferred cash 3,440 (4) 3,436 0 0 0 of which: deferred share-based awards 110 87 197 113 209 321 of which: deferred cash-based awards 169 245 414 301 1,029 1,331 of which: compensation commitments with recruited financial advisors 42 459 502 822 2,062 2,884 Variable compensation – other 3 784 526 1,310 384 583 968 Total variable compensation 7,927 1,918 9,845 4 2,398 4,640 7,037 1 Estimate as of 31 December 2023. Actual amounts to be expensed in future periods may vary; e.g., due to forfeiture of awards. 2 Financial advisor compensation consists of cash and deferred compensation awards and is based on compensable revenues and firm tenure using a formulaic approach. It also includes expenses related to compensation commitments with financial advisors entered into at the time of recruitment that are subject to vesting requirements. 3 Consists of existing deferred awards and retention awards granted to Credit Suisse employees as well as replacement payments, forfeiture credits, severance payments, retention plan payments and interest expense related to the Deferred Contingent Capital Plan. 4 Includes USD 1,094 m in expenses related to share-based compensation (performance awards: USD 689 m; other variable compensation: USD 208 m; financial advisor compensation: USD 197 m). A further USD 169 m in expenses related to share-based compensation was recognized within other expense categories included in Note 7 (salaries: USD 4 m related to role-based allowances; social security: USD 137 m; other personnel expenses: USD 27 m related to the Equity Plus Plan). Total personnel expense related to share-based equity- settled compensation excluding social security was USD 1,087 m. Variable compensation (continued) Expenses recognized in 2022 Expenses deferred to 2023 and later 1 USD m Related to the 2022 performance year Related to prior performance years Total Related to the 2022 performance year Related to prior performance years Total Non-deferred cash 2,276 (16) 2,260 0 0 0 Deferred compensation awards 364 581 945 605 754 1,359 of which: Equity Ownership Plan 202 235 437 310 250 560 of which: Deferred Contingent Capital Plan 129 219 349 245 408 654 of which: Long-Term Incentive Plan 11 32 43 30 42 71 of which: Fund Ownership Plan 21 95 116 20 54 74 Variable compensation – performance awards 2,640 566 3,205 605 754 1,359 Variable compensation – financial advisors 2 3,799 709 4,508 1,290 2,652 3,942 of which: non-deferred cash 3,481 0 3,481 0 0 0 of which: deferred share-based awards 104 62 166 122 180 302 of which: deferred cash-based awards 185 215 400 588 636 1,224 of which: compensation commitments with recruited financial advisors 29 432 461 580 1,836 2,416 Variable compensation – other 3 169 71 241 237 193 430 Total variable compensation 6,608 1,346 7,954 4 2,131 3,599 5,731 1 Estimate as of 31 December 2022. Actual amounts to be expensed in future periods may vary; e.g., due to forfeiture of awards. 2 Financial advisor compensation consists of cash and deferred compensation awards and is based on compensable revenues and firm tenure using a formulaic approach. It also includes expenses related to compensation commitments with financial advisors entered into at the time of recruitment that are subject to vesting requirements. 3 Consists of replacement payments, forfeiture credits, severance payments, retention plan payments and interest expense related to the Deferred Contingent Capital Plan. 4 Includes USD 703 m in expenses related to share-based compensation (performance awards: USD 480 m; other variable compensation: USD 56 m; financial advisor compensation: USD 166 m). A further USD 88 m in expenses related to share-based compensation was recognized within other expense categories included in Note 7 (salaries: USD 4 m related to role-based allowances; social security: USD 61 m; other personnel expenses: USD 23 m related to the Equity Plus Plan). Total personnel expense related to share-based equity-settled compensation excluding social security was USD 716 m. Variable compensation (continued) Expenses recognized in 2021 Expenses deferred to 2022 and later 1 USD m Related to the 2021 performance year Related to prior performance years Total Related to the 2021 performance year Related to prior performance years Total Non-deferred cash 2,383 (10) 2,373 0 0 0 Deferred compensation awards 405 412 817 797 624 1,421 of which: Equity Ownership Plan 183 180 363 393 184 577 of which: Deferred Contingent Capital Plan 140 158 297 299 329 628 of which: Long-Term Incentive Plan 54 19 73 50 33 83 of which: Fund Ownership Plan 29 56 84 56 78 133 Variable compensation – performance awards 2,788 402 3,190 797 624 1,421 Variable compensation – financial advisors 2 4,175 685 4,860 1,097 2,323 3,419 of which: non-deferred cash 3,858 (6) 3,853 0 0 0 of which: deferred share-based awards 106 51 157 123 146 269 of which: deferred cash-based awards 170 202 372 311 495 806 of which: compensation commitments with recruited financial advisors 41 438 479 662 1,682 2,344 Variable compensation – other 3 191 38 229 215 182 397 Total variable compensation 7,155 1,125 8,280 4 2,109 3,129 5,238 1 Estimate as of 31 December 2021. Actual amounts expensed may vary; e.g., due to forfeiture of awards. 2 Financial advisor compensation consists of cash and deferred compensation awards and is based on compensable revenues and firm tenure using a formulaic approach. It also includes expenses related to compensation commitments with financial advisors entered into at the time of recruitment that are subject to vesting requirements. 3 Consists of replacement payments, forfeiture credits, severance payments, retention plan payments and interest expense related to the Deferred Contingent Capital Plan. 4 Includes USD 651 m in expenses related to share-based compensation (performance awards: USD 435 m; other variable compensation: USD 59 m; financial advisor compensation: USD 157 m). A further USD 85 m in expenses related to share-based compensation was recognized within other expense categories included in Note 7 (salaries: USD 5 m related to role-based allowances; social security: USD 64 m; other personnel expenses: USD 16 m related to the Equity Plus Plan). Total personnel expense related to share-based equity-settled compensation excluding social security was USD 641 m. c) Outstanding share-based compensation awards Share and performance share awards Movements in outstanding share-based awards to employees during 2023 and 2022 are provided in the table below. Movements in outstanding share-based compensation awards Number of shares 2023 Weighted average grant date fair value (USD) Number of shares 2022 Weighted average grant date fair value (USD) Outstanding, at the beginning of the year 181,907,200 15 180,578,561 13 Share obligations assumed at merger date 14,535,612 20 Awarded during the year 63,907,823 20 62,203,770 18 Distributed during the year (54,365,846) 14 (54,639,882) 12 Forfeited during the year (7,076,202) 18 (6,235,249) 15 Outstanding, at the end of the year 198,908,588 17 181,907,200 15 of which: shares vested for accounting purposes 102,697,819 102,364,973 The total carrying amount of the liability related to cash-settled share-based awards as of 31 December 2023 and 31 December 2022 was USD 64 m and USD 43 m, respectively. d) Valuation UBS share awards UBS measures compensation expense based on the average market price of UBS shares on the grant date as quoted on the SIX Swiss Exchange, taking into consideration post-vesting sale and hedge restrictions, non-vesting conditions and market conditions, where applicable. The fair value of the share awards subject to post-vesting sale and hedge restrictions is discounted on the basis of the duration of the post-vesting restriction and is referenced to the cost of purchasing an at-the-money European put option for the term of the transfer restriction. The grant date fair value of notional shares without dividend entitlements also includes a deduction for the present value of future expected dividends to be paid between the grant date and distribution.