Occupational Pension Plan (2nd Pillar): Who Qualifies and What You Get
Learn how the 2nd pillar works, including employer contributions and what you must do when changing jobs to protect your savings.
The Occupational Pension Plan (2nd Pillar) is a mandatory part of the Swiss social security system designed to provide you with extra financial security during retirement or in the event of disability.
Who it's for
This scheme is for employees who earn an annual salary that is higher than the set entry threshold.
What you get
You receive employer-matched savings intended to support you during your retirement years. These funds are also available to provide financial support if you become disabled.
What it costs you
The cost comes as a monthly deduction from your payroll. These funds are managed by your employer's specific pension fund.
The catch to know
If you change jobs, you must ensure your vested benefits (known as Freizügigkeitsleistung) are transferred from your old fund to your new one to keep your savings intact.
How to apply
- Confirm your annual salary meets the required threshold.
- Check your monthly payslip to ensure deductions are being made correctly.
- When changing employers, contact your old pension fund to arrange the transfer of your benefits.