Pillar 3a: To enjoy the tax advantages, please make your contributions by the end of December 2020 

To enjoy your retirement free of financial worries, our advice is to make arrangements for your pillar 3a retirement savings plan as early as possible. AHV/AVS social security benefits together with occupational pension benefits will not allow you to maintain your customary standard of living once you retire. With a Liberty 3a retirement savings account, you can build up additional retirement savings at a preferential tax rate.

Pillar 3a retirement saving plans may also be implemented with a securities solution. When interest rates are persistently low, securities may be a worthwhile alternative to conventional account solutions, provided such investments are in line with your own risk capacity.

The amounts contributed to your pillar 3a savings plan are fully deductible from your taxable income. Credit interest and any capital gains on stock market fluctuations are exempt from income and wealth tax.

For example, with a taxable income of CHF 75'000 you can save CHF 200 in tax for every CHF 1'000 you contribute. For higher incomes, the tax savings are even greater, due to the tax progression.

For 2020, the maximum allowances for pillar 3a savings are:

- CHF 6,826 for employees which are members of a pension fund

- 20% of net earned income up to max. CHF 34,128 for employees which are not members of a pension fund;

To ensure that we can certify your savings contributions for the current year, we recommend that you transfer your payments no later than 22 December 2020 at the latest.

For your transfer, please use the payment instructions that were sent to all account holders in early October. If you have issued standing orders, please double-check them and make any necessary corrections.