BVG (second pillar)
In one sentence
Occupational pension provision, funded by you and your employer, topping up the AHV.
What it changes for you
It becomes compulsory above a minimum annual salary set by law, and covers only part of the salary, the coordinated part. Two situations create silent gaps: part-time work, because the coordination deduction weighs proportionally more, and multiple jobs, each possibly below the threshold. Together, AHV and BVG target around 60 % of final salary — the rest is on you.
Read next
- AHV (first pillar)The state pension, compulsory for all, meant to cover basic needs in retirement.
- Pillar 3aTied retirement savings: deductible from taxable income, locked until retirement with exceptions.
- BVG buy-inA voluntary payment into your pension fund to close a gap, deductible from income.
- Conversion rateThe percentage that turns your second-pillar capital into a lifelong annual pension.