I was looking mostly out of curiosity at the possibility to pay into the 2nd pillar, since I have a plan with my company that last year gave 5% interest on überobligatorium and 3% on “obligatorium” wealth (insurer is AXA). It’s market dependant and in bad years they should give you just the minimum 1% interest rates for both parts.
The good interest rate combined with the tax deduction + I started a job late (25 y o) means I could fill in some of the hole I have there.
AXA has a portal where you can do a self service payment information so that you can then actually pay the money in your 2n pillar. In doing this, I saw that I have a hole of 28’000, and on top of it I could add even more money (up to 293’000) for “early retirement”.
My current date of 2nd pillar benefit is 1.1.2049. If I pay 293’000 extra for early retirement, that date change to 1.2.2042, 7 years earlier (I will be 58), but if you don’t retire by that date, you lose money:
Warning concerning early retirement payment
With the purchase for early retirement, your retirement age is reduced to the corresponding retirement date. However, if you do not retire on this retirement date, you will forfeit the part of your retirement assets that exceeds 5% of the regulatory performance target of the occupational benefits fund.
The difference I see is that the pension/month increase to 3873 chf/month, which is the same “capped” value if I simply “close the gap” of 28k. The difference with the extra “RE” funding is that I can start receiving this sum 7 years earlier.
The same for the assets if I choose to receive the assets. If I take out all the capital at 65, they calculate 783000 chf, if I take them out at 58 (7years less of interests and contribution, but have paid 293k before that), I can take out 1’000’000 at 58.
This was not the case at my former employer, where 2nd pillar was at 65 and i could onl pay to cover the gap because of my late career start. Is this some kind of special insurance my company got, or is more and more common place? Being able to take out the entire capital at 58 was something I was not aware of (of course, only if I pay into this “extra RE bucket”).
Not sure if this changes with age as well, like it will be more expensive for me later on near 58 to lower my retirement age. I find very little information on the AXA website on this topic actually. What would happen if I retire even earlier? EVerything would go into a “Frezügigkeitskonto”, but do I have the same rights and can take it out at 58…? Will try to investigate.