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Old 02.02.2019, 16:28
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AHV Pension Estimate/Calculator

I am not sure if this has been referenced in the various threads on Pensions, but below is a link to a useful AHV Pension Estimate/Calculator in English:

https://www.ahv-iv.ch/en/Leaflets-fo...estimate-ESCAL
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Old 11.02.2019, 12:56
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Re: AHV Pension Estimate/Calculator

Shall it also take into account years the person was actually contributing to AHV? I.e. someone arrives in Switzerland at age of 40 and makes contributions for less long than a person who would start job in Switzerland at age of 20.
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Old 11.02.2019, 13:34
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Re: AHV Pension Estimate/Calculator

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Shall it also take into account years the person was actually contributing to AHV? I.e. someone arrives in Switzerland at age of 40 and makes contributions for less long than a person who would start job in Switzerland at age of 20.
My understanding (and please someone correct me if I am wrong) is that the AHV pension is based on an assumption of 44 years contributions. If you work less than 44 years your pension amount is prorated.

So in the case of OH, who will have worked here between 20-25 years before he retires, at best he will receive 25/44 of the pension amount. Not enough to be a significant part of retirement financing.

Another thing to bear in mind: If one spouse does not work and you are relying on the employed spouse's double-the-minimum-payment as the unemployed spouse's contribution, essentially (or effectively) that reduces the employed spouse's pension.

When we ran the numbers a while ago, we as a couple are better off if I do not claim an AHV pension, as my doing so seems to reduce OH's pension by more than what I would get.

---

I remember hearing that there is a minimum payment - can anyone confirm that?

---

But again the caveat - I have not paid much attention to AHV as we do not stand to benefit in any meaningful way, my retirement planning is focused elsewhere. So those who know more than I do, which is probably most people - please correct me if I have the wrong end of the stick.
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Old 11.02.2019, 13:50
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Re: AHV Pension Estimate/Calculator

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Good point and no it doesnīt.
Good point and yes it does.


@"Insured with the OASI" select Yes, partially. and then enter your periods of stay.
You can even enter the correct salary amounts for each and every year as stated on your AHV/OSAI extract. For this click on "Editing income" at the top.
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Old 11.02.2019, 14:01
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Re: AHV Pension Estimate/Calculator

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Good point and yes it does.


@"Insured with the OASI" select Yes, partially. and then enter your periods of stay.
You can even enter the correct salary amounts for each and every year as stated on your AHV/OSAI extract. For this click on "Editing income" at the top.

Thanks for that, hadnīt noticed that
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Old 11.02.2019, 14:09
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Re: AHV Pension Estimate/Calculator

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I remember hearing that there is a minimum payment - can anyone confirm that?
Yes there is. If you are married this minimal contribution is covered by your partner if his/hers payment is at least CHF 964.
https://www.ahv-iv.ch/p/2.03.e

But AFAIK there should be no penalty if you claim as well. The "capital" for pension calculation should be split 50-50.
And there might be no option to claim only for one spouse.

Best if you and your partner request a formal forecast.
https://www.ahv-iv.ch/en/Leaflets-fo...plication-form
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Old 11.02.2019, 14:12
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Re: AHV Pension Estimate/Calculator

It does if you manually enter the yearly salaries.

Tom
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Old 11.02.2019, 14:15
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Re: AHV Pension Estimate/Calculator

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It does if you manually enter the yearly salaries.

Tom

I now did and good thing it is not the only pension I will get......
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Old 11.02.2019, 14:26
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Re: AHV Pension Estimate/Calculator

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It does if you manually enter the yearly salaries.

Tom
i tried entering different salaries in each year and it doesn't seem to change the amount whether i enter 0 or 250'000.

anyone have a pointer to how to calculate this manually?
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Old 11.02.2019, 14:30
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Re: AHV Pension Estimate/Calculator

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I now did and good thing it is not the only pension I will get......
Same here. But, while balancing on one leg is unstable, a stool with three legs is perfectly stable. Hence the 3 pillar system. As pillar 1 is uncertain, the outlook of pillar 2 no the brightest, I invest in pillar 3. This is not only the tax preferred pillar 3a but actually any personal saving, and investment. The Picasso on the wall in your bedroom, the houses in which the bedroom is, the diamonds in the safe in the bedrooms wall, all the paper money stuffed in the bed's mattress, the solid golden bed posts.
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Old 11.02.2019, 14:42
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Re: AHV Pension Estimate/Calculator

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Good point and yes it does.


@"Insured with the OASI" select Yes, partially. and then enter your periods of stay.
You can even enter the correct salary amounts for each and every year as stated on your AHV/OSAI extract. For this click on "Editing income" at the top.
Thank you!
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Old 11.02.2019, 14:46
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Re: AHV Pension Estimate/Calculator

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i tried entering different salaries in each year and it doesn't seem to change the amount whether i enter 0 or 250'000.

If I understand it right it is basically:
Sum up all the salaries of each year.
Divide by numbers you have been in Switzerland (but not more than 44 / 43 male/female).
Look up full pension amount at page 14 https://www.ahv-iv.ch/p/3.01.e
Divide full pension by 44 and multiply by number of years you paid at least CHF 482 of AHV.
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Old 11.02.2019, 21:31
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Re: AHV Pension Estimate/Calculator

the calculation is like this:

over 44(45) years employment in CH, if you earn on average more than CHF85,320 (2019) per year over the 44 years you are entitled to the full CH state (P1) pension. It is the average over you working life, so some years you can earn nothing, others CHF170k.

For every year (including partials) not working in CH you loose 2.3 percent of the amount you are entitled to based on the 44 year calculation.
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Old 12.02.2019, 11:57
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Re: AHV Pension Estimate/Calculator

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the calculation is like this:

over 44(45) years employment in CH, if you earn on average more than CHF85,320 (2019) per year over the 44 years you are entitled to the full CH state (P1) pension. It is the average over you working life, so some years you can earn nothing, others CHF170k.

For every year (including partials) not working in CH you loose 2.3 percent of the amount you are entitled to based on the 44 year calculation.
So if some is working 10 years earning 500k CHF would never catch up for the missing years even though 44 year base average would be above 85.5 kCHF? (500*10/44= 113.6)
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Old 12.02.2019, 21:01
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Re: AHV Pension Estimate/Calculator

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So if some is working 10 years earning 500k CHF would never catch up for the missing years even though 44 year base average would be above 85.5 kCHF? (500*10/44= 113.6)

If you miss years in CH then you can never catch up, yes. (But you may be entitled to a previous state pension from elsewhere?)
The loss is always 2.3% x num of years/months, based on the amount you are entitled to. If the average 44 year salary is CHF84600 (approx the max) then you loose 2.3% for every year (i.e. 2.3% of CHF2350). If the average was CHF75000 then you loose 2.3% for each year of the equivalent mentioned in the PDF previously.
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Old 13.02.2019, 22:21
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Re: AHV Pension Estimate/Calculator

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If you miss years in CH then you can never catch up, yes. (But you may be entitled to a previous state pension from elsewhere?)
The loss is always 2.3% x num of years/months, based on the amount you are entitled to. If the average 44 year salary is CHF84600 (approx the max) then you loose 2.3% for every year (i.e. 2.3% of CHF2350). If the average was CHF75000 then you loose 2.3% for each year of the equivalent mentioned in the PDF previously.
Bill, if one inputs the info into the AVH calculator correctly, surely their calculation will be a reasonable estimate? I entered my husband's dates of employment and expected retirement date/last date of OASI contribution, as well as our children's info (not sure why this was relevant but maybe you can help me here?) and finally my info/birthdate as a non contributor.

Have you tried the calculator/link I referenced in my initial post? Do you agree with it?

Thanks in advance for your help!
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Old 13.02.2019, 22:47
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Re: AHV Pension Estimate/Calculator

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Have you tried the calculator/link I referenced in my initial post? Do you agree with it?

Thanks in advance for your help!
I'm not disputing its accuracy, I would say it is very accurate if you know and can input your actual CH earnings. I have been responding to others queries and explaining how the website (i.e. the law) defines the calculation. I've used it myself previously for my actual earnings in CH (and projected future earnings) and the calculation for my state pension from CH matches what I have described above.


The website gives you the result of the calculation I described, you don't need to do anything with your number if you have input your actual and possible future earnings. If your age 21--30 years (many expats in CH!) are missing in CH contributions, the number it calculates for you includes that reduction. The number you get will be very very close to what you can expect for a CH state pension.
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Old 13.02.2019, 22:54
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Re: AHV Pension Estimate/Calculator

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as well as our children's info (not sure why this was relevant but maybe you can help me here?) and finally my info/birthdate as a non contributor.

sure, this is for your widows / widower / orphans etc state pension should you find yourself in that unfortunate situation. the amount you would get is based on the salary earners contributions just like the state retirement pension. see the link mentioned above, p.g. 14 which is not presented in the OASI 'regular' state pension web calculation you mentioned in the original post.


HTH
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Old 13.02.2019, 22:55
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Re: AHV Pension Estimate/Calculator

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I'm not disputing its accuracy, I would say it is very accurate if you know and can input your actual CH earnings. I have been responding to others queries and explaining how the website (i.e. the law) defines the calculation. I've used it myself previously for my actual earnings in CH (and projected future earnings) and the calculation for my state pension from CH matches what I have described above.


The website gives you the result of the calculation I described, you don't need to do anything with your number if you have input your actual and possible future earnings. If your age 21--30 years (many expats in CH!) are missing in CH contributions, the number it calculates for you includes that reduction. The number you get will be very very close to what you can expect for a CH state pension.
Thank you! My husband and I are on the other side of 50 But I have a pretty good idea of his projected/average earnings. Can you tell me how children factor into the equation? We moved here 2 years ago and our kids are 28, 26 and 23 respectively. It appears as though, the amount changes when I add them into the AVH calculator...
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Old 13.02.2019, 22:56
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Re: AHV Pension Estimate/Calculator

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sure, this is for your widows / widower / orphans etc state pension should you find yourself in that unfortunate situation. the amount you would get is based on the salary earners contributions just like the state retirement pension. see the link mentioned above, p.g. 14 which is not presented in the OASI 'regular' state pension web calculation you mentioned in the original post.


HTH
Thanks
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