ValuePension (2nd/3rd pillar investing)

Your current pension fund shouldn’t split by transferring to a vested benefits account and pension fund scheme.

Even if they do split it, that’s still one of the more likely ways to be found out. Pension funds routinely do communicate account balances, figures and statements between each other - if there is direct paper trail between the two. If anything doesn’t add up, they should - and often will - inquire.

We did receive 3,5% from the pension fund for 2019.

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Me too. But look at the markets in 2019…

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On the other hand you’d have been entitled to at least 1% on the Obligatorium even if they markets were going down 20%.

“Pensionskasse” are kind of insurances after all.

Not saying everything is shiny and nice about them.

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“Hiding” 2nd pillar is such a bad move on so many levels.

  1. They will ask you about your existing 2nd pillar and the amount. Giving false written statements to an official agency is a crime.

  2. It’s completely unnecessary. There is no mechanism to enforce you wiring the money from exiting the old into the new Pensionskasse. It’s even supposed to be a bad choice, as you lose the invalidity insurance that amount guarantees (along with the meagre future interest).

  3. You can never buy-in additional amounts into the new Pensionskasse, as you would there, again, have to declare all 2nd Pillar amounts. If you lie again to get undue tax advantages, the shithole just deepens.

Why not simply

  • not tell the new Pensionskasse, especially not in any false written statement?
  • when they inquire, as they must and will, tell them the money is invested, that you do not want to lose money with changes and that you are happy to provide them, for administrative purposes, with the exact amounts.
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Everything in terms of insurance is related to the salary and not how much is inside your pension fund.

It is usually related to the projected balance at age 65 with the current conversion rate.

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You must tell them where the benefits are held (at VIAC, for instance). Also, you must notify your vested benefits institution of entering a new pension fund scheme.
Vested benefits institutions must transfer benefits to the new pension fund scheme.

All parties are required by law to do so (which doesn’t necessarily mean that not doing so is in fact punished).

It is related to it.
For instance, see here:

“disability pension is calculated by extrapolating the final old age assets: the sum of old age bonuses to be generated in years to come is added to the old age assets acquired when entitlement to the pension sets in (without interest)”

I don’t think he/she is very keen to. :wink:

@VIAC_Daniel is there any timeline for the Viac Freizügigkeitskonto Solution? Is May 2020 realistic?

There is not yet a fixed timeline for the release date, but it should be around the end of March. We are currently running tests. Sorry for the late answer - had a vacation.

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I hope you’ll make it by the end of March, I have 270k CHF to deploy. End date of employment: March 31st :slight_smile:

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My contract ends on April 30th :smiley:

You don’t have to transfer exactly on the date you leave your former job anyway, there is a bit of leeway to give the new account details to the former 2a company.

And as far as i know you can transfer from one Freizügigkeitskonto to another at anytime.

As I might running into problems really splitting it up, I think I will do what you suggested.

My pension fund will ask me where to send the money. I’m not sure if I will be able to tell them: send 10k to X, the rest to Y. The probably won’t do it. I also asked VIAC if they could split it up in 2 portfolios when they receive it, not possible.

Will see in May.

You should be able to split between two Freizügigkeitskonten (vested benefits accounts). I have just seen such a case today personally.

However, as you‘re, in principle, obliged to transfer to your new benefits scheme, they shouldn’t split between vested benefits account and pension fund.

Depending on your circumstances, however, the new pension fund might in some cases be able to tell that you haven’t transferred the whole amount, if the numbers don’t add up (case of marriage, divorce, reaching the age of 50 especially).

So transfer 10k to VIAC and the rest to a UBS vested benefits account. Then from there to my new pension fund. I’ll look into that as soon as possible.

This is exactly what I did. no issues / questions whatsoever came from it.

I opened two Freiügigkeitskonto with two different banks.
Once they were ready, i told my former employer’s fund to send X to the one, any Y to the other Freizügigkeitskonto.

I told my former fund via a written letter with those instructions, and exactly this happened afterwards.

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Just saw your edited response. Great, will do exactly that!

How did you split it up? Did you already transfer the other part to the new pension fund? Did they asked questions?

Cortana, I believe you’re overthinking way too much. :wink:

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