Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation
Reply
 
Thread Tools Display Modes
  #1  
Old 14.11.2015, 01:09
Senior Member
 
Join Date: Aug 2007
Location: zh
Posts: 258
Groaned at 21 Times in 14 Posts
Thanked 65 Times in 36 Posts
giff is considered knowledgeablegiff is considered knowledgeablegiff is considered knowledgeable
question on 2nd pillar contribution and 3 years limit

Hi all,

I know one cannot take the money previously put into the 2nd pillar to fill gaps before three years.

Now the question is: what if I leave CH before the 3 years have passed? What happens to the money? Can take all the 2nd pillar except the voluntary contribution and leave that in a vested account and wait for the 3 years to pass?

Another question is on using such money as a security when buying a property. I thought this meant that, on an hypothetical 1M house, I could use the 2nd pillar money, together with some cash, to reach the 200k needed to open the mortgage. So, if I have 100k cash and 100k in the pension fund, I can borrow 900k and still buy the house. Is this correct? What if I have the 200k in cash AND the 100k in the pension fund? How can I use the pension money then?

Thanks!
Reply With Quote
  #2  
Old 14.11.2015, 18:03
DUTCH's Avatar
Member
 
Join Date: Oct 2006
Location: Wollerau
Posts: 137
Groaned at 3 Times in 3 Posts
Thanked 159 Times in 72 Posts
DUTCH has earned the respect of manyDUTCH has earned the respect of manyDUTCH has earned the respect of many
Re: question on 2nd pillar contribution and 3 years limit

You can withdraw the pension fund, within the stipulated rules, for buying a house and fund the rest with a mortgage and/or with your own cash in whatever combination. Ofcourse, the bank will demand a certain minimum proportion as your contribution (whether pension withdrawal or cash).

Keep in mind the 3 year rule is for voluntary contributions (on top of mandatory) made. These voluntary contributions are tax deductible and hence they want a certain time these are kept in pension fund. Also, be aware that they are treaed as Last-In-First-Out when you withdraw, i.e. 3 years must have elapsed from your last contribution.

The 3 year rule when you leave still applies (AFAIK), may be some one will confirm. If you withdraw before 3 years have elapsed, the Tax Office will recalculate your past tax returns and send you a bill for incremental taxes.
Reply With Quote
  #3  
Old 14.11.2015, 18:08
Senior Member
 
Join Date: Aug 2007
Location: zh
Posts: 258
Groaned at 21 Times in 14 Posts
Thanked 65 Times in 36 Posts
giff is considered knowledgeablegiff is considered knowledgeablegiff is considered knowledgeable
Re: question on 2nd pillar contribution and 3 years limit

Quote:
View Post
The 3 year rule when you leave still applies (AFAIK), may be some one will confirm. If you withdraw before 3 years have elapsed, the Tax Office will recalculate your past tax returns and send you a bill for incremental taxes.
Thanks DUTCH. I guess buying into the 2nd pillar is a good incentive on staying another 3 years at least in CH .
Reply With Quote
Reply




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
US taxes on 2nd and 3rd pillar rwabel Finance/banking/taxation 0 24.06.2014 05:13
Pay into 2nd pillar: voluntary contribution MrVertigo Finance/banking/taxation 4 07.12.2013 20:20
BVG 2nd pillar question Island Monkey Finance/banking/taxation 9 12.04.2013 00:08
Pay into 2nd pillar whilst drawing on 3rd pillar jaudi Finance/banking/taxation 19 12.07.2011 10:05
2nd pillar question fudge Finance/banking/taxation 13 09.02.2011 01:18


All times are GMT +2. The time now is 20:43.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2016, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0