Pensions for young professionals Our tips for young people

How can you save smartly for your retirement while you're still young? We’ll give you an overview.

by UBS Insights 13 Sep 2019

1. Pillar 3a does the trick!

Do you want to maintain your normal standard of living in the future and save taxes at the same time? Then the following is worthwhile: save for retirement with pillar 3a Pension income after retirement only covers about 60% of your last salary. You could be short by a lot of money depending on your standard of living. Payments into a pillar 3a account also help save on taxes. Employed workers who join a pension fund are allowed to pay in up to 6,883 francs per year (as of 2021) and deduct the entire amount from their taxable income. Makes sense? Open your pillar 3a account now.

Staying financially flexible while saving for retirement?

It’s possible. Your first salary opens up new financial possibilities, including for retirement planning. Let us show you how easy it is to take this important step.

2. Young people - long investment horizons

The time to retirement is also your investment horizon for your retirement provision. That's why it's worth investing your money smartly. When you invest 3a assets in select investment funds, you benefit from enhanced earnings potential compared to classic account solutions. UBS Vitainvest retirement funds are an ideal way to supplement your 3a account. Get your answers to the whys and hows here.

3. Don't allow contribution gaps

Secure your maximum AHV pension. Avoid contribution gaps. Gaps can occur when you're a student. In this phase of life, people are often unaware of how important AHV contributions are. You can pay missed or omitted contributions within five years. Check and see if you're on the way to a maximum pension. Order an AHV account statement from your cantonal compensation office.

4. Welcome to the jungle

The pension certificate from your pension fund is sent once a year. At first sight, it seems like a jungle of technical terms and numbers. But it contains important information. For example, you can find out how much you can use to finance a home, or how high your disability insurance payout would be if anything happened to you. Give your pension fund statement the attention it deserves and order the “Understand your pension fund statement” fact sheet.