Retirement:
retirement benefits
Your way to a carefree pension
Would you like to have your saved retirement capital paid out once or receive a secure pension for the rest of your life? Or is a mix of these the right compromise and, if so, in which mixing ratio?
We would be happy to assist you with your pension planning.
A solid budget is the basis of any retirement plan. Compare your expenses with your income and create a monthly and annual budget. Also consider changes after retirement. It is best to start planning 10 to 15 years in advance. This is because if an income gap is identified for after retirement, you can take measures such as voluntary purchases into the pension fund in a tax-optimised manner and spread over several years in a more budget-friendly manner.
When planning your budget and pension, take into account important issues such as fixed costs, usual standard of living, taxes, investment including liquidity, income security, housing situation, life expectancy, potential survivors including inheritance law, and so on and so forth.
It is often recommended that you draw up an individual financial plan with the help of specialists that comprehensively includes your financial situation with all three pillars of retirement planning. To do this, contact an independent financial planner, your bank or insurance company you trust. Please note that they charge a fee as compensation for the service. That's a good thing: Because financial planners for private individuals, who primarily work for you free of charge, live on commissions from product providers. This can lead to potential conflicts of interest in consulting.
In web portal With TRANSPARENTA, you can simulate your expected retirement benefits from the pension fund independently and as often as you like. This applies at different times and for up to three retirement steps.
Of course, you can also contact our contacts for advance calculations or general questions about retirement and subscription options office available in person for a telephone consultation. Don't hesitate, because we are happy to provide you with the best possible support on your journey to a carefree retirement.
If you would like to retire early or gradually, please contact us proactively. In this way, we can help you comply with all legal and regulatory requirements and deadlines. Tell us your choice of receiving benefits — pension, capital or mix — no later than one month before you retire using the form “Retirement details” with.
“Pension, capital or a mix — TRANSPARENTA gives you freedom of choice when receiving retirement benefits.”
Overview of retirement benefits
Here you will find an overview of pension or capital subscription options as well as other types of benefits.
TRANSPARENTA gives you the freedom to choose how you want to receive retirement benefits when you retire. Any mix of capital and pension is also possible.
Entitlement begins for the first time in the month following retirement. The monthly pension is paid out in addition on the 20th day. If this falls on a weekend or public holiday, the payout is usually made in advance.
Do you have children under 18 or 25 years of age who are still in education? Then you will receive an additional retired child pension of 20% of the old-age pension per child. In the event of early retirement, the child pension is limited to the statutory minimum benefit until the reference age of 65 is reached.
Additional benefits with TRANSPARENTA:
If an old-age pensioner dies within five years (60 months) of retirement, the regulatory beneficiaries receive a one-time death benefit in the amount of the monthly pensions not yet paid out up to the 5-year period — minus any monthly partner pensions that may have to be paid.
In addition, in the event of death, the spouse or the eligible partner receives a life-long partner pension. This claim is referred to as an eligible benefit. The eligible spouse/partner pension is 60% of the current retirement pension as standard. If you wish, you can increase this entitlement. This is financed by a life-long reduction in the old-age pension. You can choose from the following options:
- Increase in entitlement to 80% with retirement pension cut by 10%
- Increase in entitlement to 100% with a 15% reduction in old-age pension
You must notify the choice of a higher entitlement before the first pension payment. If a reduction in the old-age pension would result in a fall below the statutory minimum benefits, the corresponding higher entitlement may not be elected. In the case of married claimants, the entitlement can only be increased if the spouse agrees in writing.
With the stepped old-age pension, you can extend the lifetime portion of your retirement pension (level 1) by one or two fixed-term pension components (levels 2 or 3). You can choose 10 or 20 years as the payout period. At the time of retirement, all pension components are made mandatory. The total old-age pension is therefore derived from the pension components for up to three levels:
- Lifelong pension, which is extended beyond all levels and must include the statutory minimum benefit;
- Further part of the second-level pension, which is paid out until the 20th pension reference year is completed;
- Further pension portion of the third stage, which is paid out by the end of the 10th pension reference year.
You are free to determine the distribution of your saved retirement capital between the three pension levels. This is subject to the proviso that the lifetime pension portion of the first level must be at least the same as the statutory minimum pension (BVG minimum).
The big advantage of the stepped retirement pension:
- If the recipient dies before the end of the 10th or 20th pension reference year, the unpaid pension portions of levels 2 and 3 will be paid out to the regulatory beneficiaries. For example, in the case of deceased pension recipients without a spouse or eligible partner, children, parents or siblings also receive the pensions that have not yet been paid out as a death benefit.
- For the life-long pension portion of level 1, the beneficiary spouse/partner pension of 60% is normally insured, with the option to increase the entitlement (see lifetime retirement pension for details)
Detailed information on how the phased retirement pension works can be found in the regulations as well as graphically presented in our fact sheet. It is currently not yet possible to simulate the phased retirement pension in our web portal. We plan to make this possible over the course of 2025. Until then, don't hesitate to contact us for more information and forecasts.
For whom is the stepped retirement pension attractive?
The phased old-age pension is particularly interesting for insured persons who have so far preferred a lump-sum payment over a pension with the motive
- not to lose their saved capital in the event of an early death and to secure it with the capital withdrawal to their close relatives, and/or
- who want a higher income at the start of their retirement life.
Retirement capital is usually paid out on the first banking day of the month following retirement. As a result, any further entitlement to pension fund benefits, in particular entitlement to child pensions or subsequent spouses/partners in the event of death, expires.
You must also consider the following points when withdrawing lump-sum payments:
- You must submit the capital option, or its revocation, to us no later than one month before your retirement date. 25% of the mandatory BVG retirement savings can also be claimed as a capital settlement without notice.
- Were within the last three years before effective retirement purchases paid if this sum, including interest, is not received in capital form. In addition, if you withdraw the remaining retirement capital, the tax authority can subsequently deny you the tax deductibility for purchases made in the last 3 years. In this case, back taxes and, under certain circumstances, interest on arrears are due.
- We are required by law to pay the capital payment from the Swiss Confederation. Report the tax administration. Find out more about tax consequences here.
You can determine the amount of the AHV bridging pension yourself. However, it must not be higher per month than the full maximum AHV retirement pension (as of 2025: CHF 2,520) and remains unchanged for the entire period of receipt.
The AHV bridging pension is paid out until the AHV reference age, which was applicable at the time of early retirement, is reached. If the insured person dies earlier, the AHV bridging pension is only paid to survivors entitled to a pension.
The receipt of an AHV bridging pension results in an effective life-long reduction in the old-age pension from the start of retirement, including a reduction in the benefits dependent on the old-age pension and current child pensions. In line with the provisions of the Partial Capital Withdrawal Regulations, the existing retirement assets at the time of early retirement are reduced by the uninterest-bearing sum of the monthly bridging pensions up to the AHV reference age.
Pension or capital?
An overview with facts and considerations about the two forms of payment:
- Regular income guaranteed for life
- High level of security: No pension cuts if the pension fund is underfunded. In the event of bankruptcy, the State Security Fund steps in
- No administrative costs, a professional investment is guaranteed
- No wealth and income taxes on remaining retirement capital
- In the event of death, the beneficiary partner receives a life-long guaranteed survivor's pension
- Opportunity for inflation compensation or additional pension in the event of a good course of business
- flexibility for high spending and investments, debts (e.g. mortgages) can be repaid)
- Independent investment possible and thus the implementation of your own investment ideas, resulting in a greater chance of higher returns as a pension fund
- Lower tax burden (from average life expectancy), as only a one-time capital tax is due upon withdrawal
- Free succession of remaining capital is possible (gift and bequeath)
- Residual capital not inheritable in the event of death (does not apply to the temporary pension components of gradual old-age pension)
- Higher tax burden, as the pension is taxed annually as income (together with other income)
- Lifelong involvement with the investment required
- Wealth consumption must be planned and constantly reviewed
- No guarantee of investment return, strong investment fluctuations are possible
- Assets and investment income are taxable
