Is buying into your pension fund worth it?
The answer
In tax terms it is the most powerful instrument in the system: the payment is fully deductible from taxable income. But it locks the money away until retirement, and a buy-in made in the three years before a capital withdrawal forfeits the tax advantage.
Why
The amount you may buy in appears on your pension certificate. Spreading it over several years often gains more than a single payment, because the deduction bites on each year’s marginal rate.
Check the fund’s funding ratio before paying in: the money joins a collective, and a fund in difficulty can be restructured at its members’ expense.
The other questions
- Which is the cheapest health insurer in Switzerland?
- How much does health insurance cost in Switzerland?
- How much does health insurance cost for a child?
- When can I change health insurer?
- Can a Swiss health insurer refuse you?
- Are the benefits the same at every insurer?
- Which deductible should I choose?
- Does the family doctor model really save money?
- Can I remove accident cover from my health insurance?
- What is the difference between the deductible and the co-payment?
- Why does my neighbour pay less than me?
- Why do premiums rise every year?
- How do I cancel my Swiss health insurance?
- What happens if I do not pay my premium?
- Do I have to insure a newborn, and when?
- How many health insurers are there in Switzerland?
- How long do I have to get insured when arriving in Switzerland?
- Does my employer insure me against accidents?
- What happens to my insurance if I move to another canton?
- What happens to my insurance if I lose my job?
- Is personal liability insurance mandatory in Switzerland?
- Is household insurance mandatory in Switzerland?
- Partial or comprehensive casco: which one?
- Should I report a small claim to my car insurer?
- Can a supplementary policy be cancelled together with basic insurance?
Source: Federal Office of Public Health (FOPH), official premiums.