As a general rule, Pillar 3a is always a sensible solution, whether taken out through an insurance company or a bank. Not only can you save for old age, but you can also save on tax. That is because the deposits can be deducted from your income. You only have to pay tax on the savings when you withdraw the money. The tax rate for this is lower than the normal rate.

Pillar 3a through a bank

Pillar 3a accounts are offered by all Swiss banks as part of their standard product range. The advantage: you have the flexibility to decide how much you want to pay in. You can also take a payment break if ever you find yourself short of money. If you are no longer happy with the bank or the conditions, you can simply transfer your assets to another provider. 

Banks offer Pillar 3a as a savings or a fund account:

• a savings account is a safe option, but little interest is paid. Under certain circumstances, this option may not be enough to fill the pension gap left by the 1st and 2nd pillar.
  
• With a fund account, the bank invests your money in securities. You normally benefit from higher returns than with a savings account.

Which customers is this solution best for?

Pillar 3a through a bank is suitable for anyone who wants a simple and flexible way to put money aside for old age purely by saving up. It can be a good solution for young adults in particular.
 

Pillar 3a through an insurance company

Insurance companies usually offer Pillar 3a in combination with a risk insurance policy. In other words: you can save for old age while also protecting yourself against risks such as loss of earning capacity or death. The premiums for the insurance are treated as payments into Pillar 3a. These premium payments are also tax-deductible, so you can save even more

Which customers is this solution best for?

Pillar 3a through an insurance company is suitable for anyone who wants to achieve their savings objective by any means possible while also protecting themselves against financial risks such as loss of earning capacity or death. Risk cover is important if you are starting a family or becoming self-employed, for instance.

Generali Tip
It makes perfect sense to have more than one pillar 3a – through an insurance company and/or a bank. This is advantageous, because you can have your money paid out in phases so you don’t have to pay tax on your savings all at once. We recommend a maximum of CHF 40,000 to CHF 60,000 per 3a account.

However, the total amount may not exceed your annual contributions. Find out about the current statutory maximum amounts.
 

Our flexible Pillar 3a account: the best of the insurance and banking worlds

With our pillar 3a solution, you enjoy the combined benefits of insurance company and bank, i.e.: flexibility and risk cover. Flexibly is important, especially when you are young. This is because you don’t yet know what the future will hold – e.g. you might have a career break to raise a family, or long stints of working or travelling abroad. We give you the choice of how much you want to pay in and when.

Open a Pillar 3a account online with Generali

Taking out a Pillar 3a account with us online just takes a few minutes and doesn't involve any paperwork. In the customer portal, you can access your 3a account at any time, make payments and monitor its performance. For just CHF 8 per month, you can also get income protection insurance. That is, if you are unable to work, we will continue to save for you.