Pension Planning Learning Path: Module 2 of 5

AHV and pension fund payments, i.e. pillars 1 and 2, are not usually sufficient to maintain your accustomed standard of living in old age. Women in particular have a disadvantage when it comes to retirement, because they earn less than men on average and are more frequently affected by interruptions to work such as “baby breaks” or part-time work.

Women therefore often live with the uncertainty of whether their financial means will suffice until the end of their lives. These gaps in pension provision could be closed with pillar 3a payments. Nevertheless, one third of the Swiss working population still does not use pillar 3a. This is partly due to myths that circulate such as the misconception that 3a funds are not invested securely.

In the following module, we explain the five biggest 3a myths and show you how you can save tax by making regular payments into a 3a account whilst building up capital for a secure retirement at the same time.