so far, I have been a big promoter of not only maximizing your pension fund contribution, but even of making voluntary buy-ins even in the earlier years of your career. If the thought of “cost saving” of increasing the capital pay-out tax on both pension and pillar 3A comes through; I would both revert my oppinion. In the meantime, no need to take a decision and defer it until the year end. If that trully comes through - I would recommend to both minimize your contributions to the Pension and even to stop any 3a contributions.
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Those proposals are only for Federal tax, right?
Then it depends what is implemented, if it is really just 1-2%, then not a big deal.
If it is a 9% charge, then yes this requires a re-think. Though, there maybe time to partially exit by way of mortgage pay off before new rules come into place.
Wealth tax savings may even offset a 9% charge over enough time.
I started large voluntary purchases last year. And plan to continue this year and next year.
Even unemployed people need to pay AHV.
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I think until dust settles, only speculation would exist. I hope things become clear soon.
I believe following is on the cards in order to make lumpsum equal to annuity. Either now or in future
- reduce advantages of staggered withdrawal
- Increase lump sum taxation
Thus for my planning, I am going to consider a scenario which includes following
- federal tax for capital withdrawal is completely equalised (assuming 5% conversion rate) to annuity.
- Staggered withdrawals won’t be a thing when my time comes
I think given advantages of wealth tax , income tax benefits at time of contribution etc , the voluntary purchases might still make sense but would depend on overall asset allocation strategy and underlying pension fund plan conditions. But this is not a sure thing for everyone.
AHV is not the same as BVG. Unemployed people only paid the risk part of the BVG. So they don’t put money in the pension fund for the saving part.
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No need 
Not hard to believe that most people cannot, don’t want to and / or aren’t even aware of buy-in.
Just wanted to comment that maybe in this forum it’s not totally unheard of, but quite likely it’s not for everybody.
Hi there fellow member of the M community 
In my case I switched to basic last year. The returns of MPK are decent (2-3% on average) but not deal-breaking. In addition, the employer already puts 17% in this second pillar, so I feel like I can diversify my own portion.
Instead I use the money for third pillar or my VT fund.
Other points that I took into consideration:
- The MPK may be challenged in the coming years (conversion rates, etc) in light of the ongoing cost-savings initiatives (2.5% EBIT etc.)
- I am currently in a phase in my life where we have relatively high cash needs on a monthly basis (both working parents with costs for kid, daycare, rent, etc). I might revisit after a few years.
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