Yeah, of course, but it requires a lot of assumptions, it’s not certain to work and may venture into legally grey areas which I’d be keen to avoid. “Mustachians” are known to take a liberal “what serves MY PRECIOUS” interpretation of laws, many straight up think they’re smarter/above the laws, but I and others don’t.
Going from the base case scenario that it’ll PROBABLY be unavoidable it makes sense to minimise the tax bite at the root by not adding more to the 2nd pillar.
Plenty of other ways of collecting 2 or 3 pillars… first homebuying, starting a company, leaving the country “permanently “ etc. All come with strings attached.
But the tax savings are really interesting. So much that you should really look into it seriously. Even at my age (55).
The pillars are really meant to be nest eggs. Everybody needs one or two. Do what you want with the extra money: invest, spend it whatever. But you have something to back you up.
This is true
If plan is not to retire in CH and withdraw in CH, people need to be cautious because the system only works from Swiss perspective of laws
If one needs to pay 50% at withdrawal then its never going to be interesting whatever the tax savings are at time of contribution
There are countries which don’t tax it at all. So if you choose to pay 50%, it is your voluntary choice.
I think it’s not really a choice
One can retire in a country where they have legal right to stay.
I agree if someone leaves CH just before retirement then it’s a choice to leave and not stay
But for some it might be not so straightforward. Let’s say someone lose their job or for family reasons move to another country. They are not yet of retirement age. In that case they do not really having a choice
Yes, but they can chose to move to a country where they can withdraw their pension tax free.
You make it sound as this is the simplest thing to do.
All I am saying is that if you do not intend (or do not know yet) to stay in Switzerland as a pensioner then you really need to do your homework and evaluate if it really makes sense to contribute somewhere that could bite you hard after 10+ years - when you retire.
Maybe I am naive. But how is it even possible?
Perhaps I am not aware of rules for EU citizens. Can they just move randomly to wherever they want to withdraw pension?
I for example can only be in CH or IN. That’s it. I don’t have this luxury to just move to a random country which would allow be to retire.
I think there are places in the world where you can be a total ghost, you fake rent a fake house and fake move there. Then the person you’re paying there does all that’s needed and gets you a residence permit which you show CH and get your pension.
OMG
I am way out of the pro league
I will only retire where I want to live. And I will only live where I have connections. Or else I will end up alone with money.
It depends on a number of things:
I find this strange. What about all the NRI’s of this world? Do they have nationalities you don’t have? And what about love? Don’t Indians fall in love with other nationalities and choose to live in a third country? Enlighten me.
You don’t need to live forever in the low tax country. Just long enough to be tax resident and get your money out tax free.
I think you might have misunderstood me.
I was mainly talking about provisions to simply relocate for the purpose of retirement. Indians don’t have legal rights to do that.
For example if I say tomorrow „I want to retire in Spain“, it’s not so straightforward. Unless I go through some shady golden passport program, there is no reason for me to me there and hence no way to get residency.
People move for work, love, family or education. For these purposes , there is a process to get residency. That is normal. I never heard any NRI moving to a random country to simply retire.
Yeah I understand.
Perhaps there are some countries who sell residencies for this very purpose
Hmmm 
. Switzerland?
Lucky me 
The dream!
(I kid, I kid)