Substitute Occupational Benefit Institution in addition to VIAC & finpension Vested Benefits?

Taxes
1

I became unemployed a couple of months ago. I’ve just completed moving my Pillar IIs from my former employer’s accounts with SwissLife and AXA over into Vested Benefits accounts I’ve opened with VIAC and finpension.

Am I correct in understanding that I cannot continue contributing to my Vested Benefits accounts, but in order to continue with tax deferred savings I could apply for the LOB Occupational benefits plan with the Substitute Occupational Benefit Institution ( https://aeis.ch/ , Substitute Occupational Benefit Institution Explained - moneyland.ch ) and continue to make contributions that way (e.g. with some of my monthly unemployment insurance RAV income)?

Is the LOB Occupational benefits plan worth it? Do I get to choose my own contribution amount up to some maximum?

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2

I don’t know AEIS well at all, so can’t comment on that part, but just to say - when evaluating, compare that to contributing to 3a instead.
The max. amount p.a. may be 7000, or "20% of net income to max. of 36000” (depending on your situation).
I reckon the competitive market in 3a solutions will result in better results, than the relatively niche AEIS or similar.

3

I don’t think unemployed people can make use it it, right?

(I mean above the regular 7k limit)

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4

I already make the maximal 7K Pillar 3 contribution and would not be eligible for the higher self-employed limit.

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5

I think registering to the LOB is the only way to contribute beyond the minimum (there’s also a second pillar for people having unemployment).

Since the returns are pretty poor (iirc worse than most pension funds), might only make sense if you expect to transfer it back to a new pension fund or vested benefits not too long after.

Might also be worth checking if they want you to transfer your vested benefits (I don’t think so, but worth checking)

Edit: the insurance/invalidity benefits might be worth it tho

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6

In case it’s helpful to anyone else, yesterday I called:

Stiftung Auffangeinrichtung BVG
Elias-Canetti-Strasse 2
8050 Zürich

+41 41 799 75 75

and spoke with a helpful individual there who confirmed that I can make voluntary pension savings contributions while on RAV unemployment.

The form to apply is:

and must be submitted within 3 months of end of employment.

I am not eligible to use them for disability or old age contributions, as that already is handled by the RAV.

You make direct payments to them quarterly and the amount to be taken is based on your last insured income. You can cancel contributions with one month’s notice.

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7

Yes.

As usual, if you plan on buying property or cashing out in some other form in the near future, it might still make sense to profit from the tax savings. You can still start a business or move the money to vested benefits or take the money when moving outside EU/EFTA.

Also, compared to buy-in, you don’t have a 3-year waiting period for withdrawing the funds.