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-   -   Vested Benefits Account (https://www.englishforum.ch/finance-banking-taxation/49873-vested-benefits-account.html)

JKN 27.04.2009 19:50

Vested Benefits Account
 
I am from a Non EU country and was working in Switzerland on a B permit up until end of last year. Since my employer was an International Organization and was having tax exempt status, I did not have to pay income tax on my salary.

Now it is nearing 6 months since I left my employment and the company which takes care of our pensions has asked me instructions on the future of my pension amount currently with them. The instruction options are

a) Transfer to new employers account
b) Move the money to their recommended vested benefits account
c) Transfer out of country if I am leaving Switzerland

I do not plan to leave Switzerland yet but have not started a new job.

a) Suppose I go with the plan of a vested benefits account as suggested, Will I be taxed (withholding tax) when I decide to withdraw and leave the country?

b) I understand that this would be a blocked account. Will I be able to close the account and take my money if need be in future without restriction.

I look forward to your comments.

Bayesco 12.07.2009 22:26

Re: Vested Benefits Account
 
a) As much as I know it is the case that you will get taxed (withholding tax), max. 4.8% or less, if you would withdraw your vested benefit by doing it through one in the canton of Schwyz (I recommend www.pensfree.ch).

b) Yes, it is. There are some (small) restrictions,....if you are settling down in a non EU-Country, then you can withdraw everything....

jacek 09.12.2015 00:01

Re: Vested Benefits Account
 
For those who are interested in the vested benefits accounts to temporarily park their money during e.g. career break or period of unemployment, herewith a useful comparison tool:

http://www.moneyland.ch/en/vested-be...nts-comparison

fatmanfilms 09.12.2015 10:15

Re: Vested Benefits Account
 
Quote:

Originally Posted by jacek (Post 2500257)
For those who are interested in the vested benefits accounts to temporarily park their money during e.g. career break or period of unemployment, herewith a useful comparison tool:

http://www.moneyland.ch/en/vested-be...nts-comparison


Those are just interest beating accounts, long term investments should have some equity exposure.

jacek 09.12.2015 10:17

Re: Vested Benefits Account
 
Quote:

Originally Posted by fatmanfilms (Post 2500358)
Those are just interest beating accounts, long term investments should have some equity exposure.

Those banks can also invest your assets in equites but the management board decides which ones they are gonna be ... :D


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