3a Retirement Savings Foundation

Anyone who has earned income that is subject to AHV contributions can pay into the tied pension plan (pillar 3a) and deduct the payments from their taxable income. Payments can be made from the year you turn 18 until you reach the regular AHV retirement age.

Anyone who can prove that he or she is in gainful employment beyond the normal retirement age can continue to pay in pillar 3a for a maximum of five years beyond the normal retirement age and continue to pay in during this period.

Information on special cases (unemployment, cross-border commuters, early retirement) can be found in the following article: Who is entitled to pay into the 3rd pillar?

From the year you turn 18, you can pay into the pillar 3a. However, this is subject to the condition that you have an earned income subject to AHV contributions.

You can pay into the pillar 3a until you reach the regular AHV retirement age. Beyond that, payments can only be made if you can prove that you are still employed. At the latest, however, at the age of 69 or 70 (women/men), the pillar 3a must be dissolved and the credit balance withdrawn.

Yes, provided both partners have an income from employment subject to AHV contributions, both can pay into pillar 3a and thus build up a private pension plan. However, if one partner’s income is settled in the simplified settlement procedure, he or she cannot make a payment.

The law does not limit the number of 3a accounts. finpension’s 3a retirement savings foundation allows up to five portfolios per person.

No, the law does not permit the splitting of credit balances on a 3a account among several 3a accounts. Partial withdrawals are only possible for residential property. In all other cases, only the entire balance can be withdrawn at once. If you would like to be able to withdraw retirement assets in stages at a later date, you must therefore open several 3a accounts.

Yes, that’s possible. You can have 3a accounts or custody accounts cancelled and transferred to another provider.

If you already have a 3a account, you can only transfer «en bloc». This means that you cannot transfer just any amount, but must always transfer the entire balance of a 3a account.

If you have more than one 3a account, you can move each balance around and transfer it from one provider to another.

Yes, the 3a credit balances with finpension 3a Retirement Savings Foundation can be withdrawn at any time.

A distinction is made between persons who are affiliated to a pension fund (2nd pillar) and those who are not affiliated to a pension fund. For people with a pension fund, the maximum payment for one year is limited to 6,826 francs. Without a pension fund, you may pay up to 34,128 francs into a pillar 3a, but no more than 20% of net earned income (gross income less AHV, IV, EO and ALV contributions).

Missed payments cannot be made up in later years.

A distinction is made between persons who are affiliated to a pension fund (2nd pillar) and those who are not affiliated to a pension fund. For people with a pension fund, the maximum payment for one year is limited to 6,826 francs. Without a pension fund, you may pay up to 34,128 francs into a pillar 3a, but no more than 20% of net earned income (gross income less AHV, IV, EO and ALV contributions).

Missed payments cannot be made up in later years.

A major advantage of pillar 3a is the tax savings. Payments can be listed in the tax return under «deductions», which leads to a reduction in taxable income. If you have little income and therefore pay relatively little tax, it is not so interesting to pay into pillar 3a. It is more interesting to make a deposit in the years when you earn full. In this case, the tax deduction is more effective and you save the most tax.

Yes, you can also enter a standing order and thus make regular deposits. We do not charge any fees for deposits. We credit the deposits to the respective portfolio free of charge and invest the amount at the beginning of the month in the chosen strategy.

The free funds on a 3a portfolio are invested in the chosen strategy on the first banking day of each month.

Regardless of the amount of the deposit, we do not charge any fees for deposits or for transfers from existing 3a credit balances.

The payment must be made in good time before the end of the year, so that the credit is still credited to the finpension 3a Retirement Savings Foundation account in the old year.

You can already choose a strategy when you register. You can then change the strategy at any time free of charge by choosing another strategy or by customising the strategy.

On the same day that the money is credited to the finpension 3a Retirement Savings Foundation account, it is credited to the portfolio. Immediately after the crediting, you can see the deposit in your portfolio.

At the beginning of the following month, the money is invested in the index funds underlying the selected investment strategy. If the chosen strategy does not (no longer) suit you, you can adjust it at any time free of charge.

Always on the first banking day of the month, we buy or sell the fund units required to implement your chosen investment strategy. But before we do so, we check whether other customers within the finpension 3a Retirement Savings Foundation client base have orders to the contrary. In the end, we only trade what is necessary below the line. The rest is charged internally at the currently valid price. Fund units are moved from client X, who wishes to sell, to client Y, who wishes to buy the same fund units. Of course, this internal settlement, which is called netting, is fully automated.

Through this internal settlement, we can often settle purchases and sales at better prices than other providers can do. We can optimise any spread costs between the buying and selling price.

Due to price fluctuations, the effective weightings of the fund units may deviate from the specified target weightings of the investment strategy. If the weighting of a fund deviates from the target weighting by more than one percentage point, your entire portfolio will be realigned. Investments are sold and purchased to restore the target weightings of the individual index funds. This process is called rebalancing. It is performed monthly on the first banking day of the month, always before trading. There are no transaction costs involved.

In the application you can create a request that you want to receive the portfolio. You will then receive an e-mail with the form which you must fill in and return signed for the purchase. As soon as the form has been completely filled in and signed, we will set your investment strategy to “in liquidation”. At the beginning of the next month the fund units will then be sold and the proceeds will be credited to your account. Afterwards the payment will be made.

If you would like to reduce the investment risk immediately, you can of course do this free of charge. We recommend that you choose a strategy with a low equity component. The change of strategy will be implemented on the first bank working day of the following month.

The payment must be recorded in the tax return under “deductions”. In addition, the payment certificate from the pension foundation must be enclosed with the tax return. The payment certificate can be downloaded from the app under Documents.

3a assets do not have to be declared in the tax declaration. The assets are tax-free. Income from the retirement assets (dividends and interest) does not have to be declared either. They are also tax-free.

No, dividends and interest earned on pension assets are not taxable as income. The assets do not have to be listed in your tax declaration either. Pension assets are tax-exempt until they are withdrawn.

Yes, withholding tax is generally deducted on foreign dividend and interest income. However, as the index funds used can only be subscribed by pension funds, the funds can reclaim a large part of the withholding taxes.

Yes, there is a tax on the withdrawal of pension benefits. However, it is a reduced tax. This means that the tax rate is lower than income tax. With a staggered withdrawal, the tax can be further reduced on withdrawal.

In principle, pillar 3a credit balances can be withdrawn at the earliest five years before the normal AHV retirement age.

An early payout of 3a credit balances is possible in the following cases:

  • To finance home ownership (home-ownership promotion).
  • For taking up self-employment.
  • If you emigrate and leave Switzerland permanently (subject to Art. 25f FZG).
  • When receiving a full disability pension and the risk of disability is not insured.

3a credit balances must be withdrawn at the latest when you reach your normal AHV retirement age. However, if you can prove that you are still in gainful employment, you can continue your pillar 3a credit balance for up to five years beyond that date. During this period you can continue to pay in your contributions. Once you reach the regular AHV retirement age, you can close 3a accounts at any time and withdraw the credit balance.

  • All
  • Opening a portfolio
  • Transferring money
  • Depositing money
  • Purchase and sale of fund units
  • Saving taxes
  • Disbursing portfolio