You can fill gaps in the contributions to your savings account by making voluntary payments. This is advisable if you wish to benefit from the most comprehensive provision possible with the associated advantages; for example, purchases are usually tax deductible. Voluntary payments boost your future retirement benefits. There are various reasons for gaps in your contributions record:
- Long-term career breaks, for example as a result of time spent raising children, caring for relatives or in education.
- You did not have to pay pension fund contributions while you were temporarily self-employed.
- It is especially common for women to have a gap in their provision after a divorce.
- You switch to a higher salary level.
- You are an immigrant.
Voluntary contributions paid in may not be withdrawn in the form of a lump sum for three years. Capital withdrawn in advance for the purchase of residential property must be made up in full before a voluntary purchase is effected. This area of voluntary purchases is also regulated by the Swiss Federal Act on the occupational old-age, survivors’ and disability pension (BVG).
Buy-ins are possible at any time but must be made by no later than the beginning of December of a calendar year in order to be processed for the corresponding tax year.