Hey everybody! Me and my wife are both in our 40’s and have moved to Switzerland (Zurich) last year where we plan to live and work until retirement. We have a B permit and have recently founded our own company in Zug. We are both employed in our company for 30 % and 50 % of the time respectively. We’ve set our combined salary to be 7k CHF gross (84k per year). That’s more than enough for us since we prefer minimalistic life and have no children. We are taxed at source. Nice side effect of a lower salary is also lower income tax. But we can set the salary higher if we wanted to increase our monthly investments in the future.
Considering that our salary and taxes are relatively low do we have any tax advantages investing in a 3a pillar versus investing monthly 2000 CHF in a global accumulating ETF? We are not afraid to take risks with a 100 % equity ETF. I’ve searched this forum a bit and found out that you usually say to people “depends on your marginal tax rate”. So I googled and found this online calculator where it says that our marginal tax rate is 17.4 %: https://swisstaxcalculator.estv.admin.ch/#/calculator/income-wealth-tax. What does that mean for us because I have no idea how to use this information?
Basically we wonder what is the optimum scenario for us with regards to investing for retirement. Pillar 3a or ETF investment? What would you do in our case? We don’t plan on buying any real estate property in Switzerland and also we don’t plan to live here after we retire (we like warmer weather). I have paid tax advisors in the past but I’m not confident they will be able to calculate this particular thing for us unless you know someone who is knowledgeable in the topic and can recommend him to us. But don’t worry, we will not make a decision because some random guy on the internet told us to do it so please don’t be afraid to share your opinion on the matter Merci!