How does retirement provision work in Switzerland?
In short
Retirement provision in Switzerland rests on three pillars.
OASI covers basic needs. Together with the pension fund it is meant to replace about 60 percent of your last salary. With pillar 3a you save on top voluntarily and with a tax benefit.
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Set your age and your salary. You immediately see how much each pillar contributes per month in old age. Tap a pillar to learn more.
Your salary before deductions, without 13th month salary and bonus if they are not fixed.
At most CHF 7,258 with a pension fund, as of 2026.
Calculate in more detail
Rather little in an account, more with securities, but with fluctuations.
Your income in old age, per month
CHF 5,234 74 percent of your salary
0your previous salary per month
Your working life, from 25 to 65
With OASI and the pension fund you reach 66 percent of your salary and meet the target of around 60 percent. Pillar 3a is an additional cushion.
1. OASI. The foundation for everyone
OASI is meant to cover basic living needs. Everyone who works in Switzerland pays in. The money of today's workers pays today's pensions. This is called the pay-as-you-go system.
- You pay
- 5.3 percent of your salary, in your case CHF 375 per month. Your employer pays the same amount on top. As a self-employed person you pay both halves yourself.
- You get
- Between CHF 1,260 and 2,520 per month, depending on salary and contribution years. From December 2026 a 13th pension is added. Here it is spread over twelve months.
- From when
- From 65. You can draw it one or two years earlier, then it is permanently reduced.
- Good to know
- For married couples the two pensions together are at most CHF 3,780 per month.
2. Pension fund. So that your standard of living stays
Together with OASI, the pension fund is meant to secure your usual standard of living adequately. Your balance belongs to you. It grows with contributions and interest. This is called the funded system.
- Who is insured
- Employees from CHF 22,680 annual salary. The coordinated salary is insured. That is your salary minus CHF 26,460, at most CHF 64,260. In your case that is CHF 58,540.
- You save
- Depending on age 7, 10, 15 or 18 percent of the coordinated salary. In your case CHF 5,854 per year. Your employer pays at least half.
- Your balance
- Estimated today CHF 43,362, estimated at 65 CHF 359,069. The statutory interest rate is 1.25 percent, as of 2026.
- You get
- With the statutory conversion rate of 6.8 percent around CHF 2,035 per month. Many funds use lower rates than the statutory minimum. Your real value is on the pension statement.
- As a self-employed person
- You are not compulsorily insured. You can join a pension fund or a foundation voluntarily. Otherwise you need your own provision, above all pillar 3a.
- From when
- From 58 at the earliest, depending on the regulations. You choose between pension, lump sum or a mix.
3a. Pillar 3a. Voluntary and with a tax benefit
You save in a tied account or securities account. You deduct the payment from your taxes. In return the money is locked in until five years before OASI age.
- You pay
- CHF 3,600 per year. At most CHF 7,258 is allowed with a pension fund and up to CHF 36,288 without, as of 2026.
- Your capital
- With the assumed return it would be around CHF 137,166.
- You get
- Spread over 20 years around CHF 572 per month. You can also draw it in one go or staggered.
- Good to know
- Since 2026 you can catch up on missed payments from the year 2025.
Rough estimate for individuals. We assume a full working life from 25 to 65 with the same salary, the statutory minimum of the pension fund and a simplified OASI pension. Part-time work, gaps, years abroad and better regulations change the result. Figures according to FSIO, as of 2026. Not advice.
Want to know more?
How do the three pillars work?
| 1. OASI | 2. Pension fund | 3a. Pillar 3a | |
|---|---|---|---|
| What it should achieve | Cover basic living needs | Together with OASI secure your usual standard of living | Close gaps, save tax |
| Compulsory | Yes, for everyone | Yes, for employees from CHF 22,680 | No, voluntary |
| Who pays | You and your employer 5.3 percent of salary each | You and your employer, he at least half | Only you |
| How it is financed | Pay-as-you-go, today’s workers pay today’s pensions | Your own balance with interest | Your own balance |
| When you get money | From 65 | From 58 at the earliest | Five years before 65 at the earliest |
| How it comes | As a pension | As a pension or capital | As capital |
The first two pillars are compulsory and together should replace about 60 percent of your last salary. That is what the Federal Constitution says. The third pillar fills what is missing and saves you tax at the same time.
What does that mean in francs?
The examples assume a full working life from 25 to 65, the same salary and the statutory minimum of the pension fund. They are simplified.
| Example | OASI per month | Pension fund per month | Together in relation to salary |
|---|---|---|---|
| Employed, CHF 85,000 salary | around 2,600 | around 2,000 | around 66 percent |
| Employed, CHF 45,000 salary | around 1,900 | around 650 | around 68 percent |
| Employed, CHF 150,000 salary | around 2,700 | around 2,200 | around 40 percent |
| Self-employed, CHF 85,000 salary | around 2,600 | nothing | around 37 percent |
Anyone who earns more than CHF 90,720 has a gap, because the salary above that is not insured in OASI and compulsory pension fund. Anyone who is self-employed has only OASI without their own provision. Try it above with your own numbers.
Where are your gaps, and what can you do?
- Part-time. The coordination deduction hits small salaries disproportionately.
- Salary above CHF 90,720. The part above that is only insured if your pension fund does so voluntarily.
- Self-employment. The pension fund is voluntary. Without your own provision only OASI remains.
- Missing contribution years. Each missing year cuts the OASI pension by about 2.3 percent, for example for years abroad.
- Breaks. A career break for children, further training or unemployment lead to a smaller pension fund balance.
Here is what you can do about it.
- Read your pension statement. It shows your balance, your insured salary and your benefits on death and disability.
- Order the OASI account statement. You see whether contribution years are missing and can ask for a pension estimate.
- Pay into pillar 3a. Every payment lowers your taxes. With a pension fund it is up to CHF 7,258 a year.
- Check a buy-in to the pension fund. Many funds allow it. It also lowers your taxes.
- Plan your retirement. Stopping earlier costs something in every pillar.
What is new in 2026?
- 13th OASI pension. It is paid out for the first time in December 2026. Per year you then receive 13 monthly pensions instead of 12.
- Catching up on pillar 3a. You can make up missed payments from the year 2025.
- Reference age of women. After AHV 21 it rises gradually to 65.
What do the technical terms mean?
- Reference age. The age at which you draw OASI without a reduction. That is 65 years, for women it rises to 65 by 2028.
- Coordinated salary. The part of your salary that the pension fund insures, so salary minus CHF 26,460.
- Retirement credit. Your yearly savings contribution to the pension fund as a percentage of the coordinated salary, 7, 10, 15 or 18 percent depending on age.
- Conversion rate. It converts your balance into a pension. By law it is 6.8 percent, many funds use a lower rate than the minimum.
- Vested benefits. The balance you take with you when you change jobs.
- Contribution years. The years in which you paid into OASI. For the full pension you need 44.
What many people get wrong
- “OASI is enough to live on.” Not for most people. It covers basic needs, not the usual standard.
- “I will take care of retirement provision at 50.” With pillar 3a every year counts. You can only make up missed payments to a limited extent.
- “The pension fund insures my whole salary.” Not necessarily. Part-time and low salaries are often poorly insured, and high salaries only in part.
- “The pension fund money is gone when I change jobs.” It belongs to you and goes to the new fund with you.
Frequently asked questions
Do I have to pay into the pension fund?
As an employee yes, as soon as you earn at least CHF 22,680 a year from one employer, as of 2026. Self-employed people can insure themselves voluntarily.
How much may I pay into pillar 3a?
With a pension fund up to CHF 7,258 a year, as of 2026. Without a pension fund up to 20 percent of your earned income, at most CHF 36,288.
How high is the OASI pension?
Between CHF 1,260 and 2,520 a month for individuals, as of 2026. From December 2026 a 13th monthly pension is added every year. For married couples the two pensions together are at most CHF 3,780 a month.
What is the coordination deduction?
OASI already exists for your salary. That is why the pension fund only insures the part above it. It deducts CHF 26,460 from your salary and insures the rest, at most CHF 64,260. Anyone who earns little or works part-time therefore often has a small balance.
5 more questions
What happens to my pension fund if I change jobs?
Your balance belongs to you. It goes to the new pension fund as vested benefits. Give your old fund the address of the new one. Forgotten money otherwise ends up with the substitute occupational benefit institution.
When can I draw pillar 3a?
At the earliest five years before OASI age. Earlier only in exceptions, for example for home ownership or self-employment.
From when do I get OASI?
From reference age 65. For women it rises gradually from 64 to 65 by 2028. You can draw the pension one or two years earlier, then it is permanently reduced.
How do I find out what I will get in old age?
Your pension fund status is shown on the pension statement you receive every year. You can have your OASI pension estimated by your compensation office. It also sends you the account statement with your contribution years.
Will that be enough in old age?
That depends on your salary, your contribution years and your spending. Gaps often arise from part-time work, breaks or income above the insured salary.
What comes next?
Your path · My job is changing Step 7 of 7
Done You now know all the steps. Back to the overviewYour path · I am thinking about family and the future Step 1 of 6
Your next step How does pillar 3a work and how much tax does it save?Your path · I am planning my retirement Step 5 of 5
Done You now know all the steps. Back to the overviewSources and date 2 October 2026
- FSIO: Amounts valid from 1 January 2026, in German
- FSIO: Swiss retirement provision, brochure 2026, in German
- FSIO: Old-age provision in occupational pensions, in German
- FSIO: Your contribution to the 3rd pillar, in German
- FSIO: Implementation of the 13th OASI pension, in German
- FSIO: Stabilisation of OASI, AHV 21, in German
- AHV/IV: Fact sheet 3.01 Old-age pensions, in German
- ch.ch: The pension in Switzerland, in German
- ch.ch: The 2nd pillar of retirement provision, in German
- ch.ch: The 3rd pillar of retirement provision, in German
This page explains in general terms and does not replace personal advice. Law and your policy are what counts.