Informations on private buy-ins
Pension fund buy-ins improve retirement benefits and are generally fully deductible from taxable income. Please note the following points:
After early withdrawal for home ownership from the 2nd pillar (basic or supplementary pension provision and/or vested benefits accounts or policies), voluntary buy-ins are only possible again once the full amount withdrawn has been repaid. Pledges are not affected by this. Repayment of an advance withdrawal for home ownership does not qualify as a buy-in of contribution years and is therefore not tax-deductible. The right to reclaim the capital tax paid on the advance withdrawal remains reserved.
Benefits from buy-ins may not be withdrawn as a lump sum within three years.
Special provisions apply to persons who moved to Switzerland from abroad on or after 1 January 2006 and have never been members of an occupational benefits institution in Switzerland. The buy-in amount may not exceed 20% of the insured savings salary in the first five years after joining a Swiss occupational benefits institution.
In the event of divorce, the shortfall ensuing from the divorce payout must be replenished first before ordinary buy-ins can be made. Buy-ins to make up a divorce shortfall are not affected by the three-year lock-in period. Buy-ins to make up a divorce shortfall are also tax-deductible and not affected by the three-year lock-in period.
Once the regulatory buy-in capacity has been exhausted, additional contributions can be made for the purpose of early retirement. You benefit from the same tax advantages as with regular buy-ins.
- Existing pension assets from vested benefits accounts/vested benefits policies (e.g. PensFree/independent or third-party foundations) must be deducted from the total buy-in capacity under the basic and/or supplementary provision.
- Any excess capacity from the basic pension scheme must be deducted from the existing buy-in capacity (the basic pension scheme must be consulted on this).
- Retirement benefits already drawn in the form of a pension and/or lump sum must also be taken into account.
- For self-employed persons, the pension assets of the pillar 3a (tied private pension scheme/plan without simultaneous insurance in a pension fund) must also be taken into account to a certain extent, i.e. those that exceed the specified maximum amount.
- Existing pension assets from vested benefits accounts/vested benefits policies (e.g. PensFree/independent or third-party foundations) must be deducted from the total buy-in capacity under the basic and/or supplementary provision.
