1st pillar, 2nd pillar, 3rd pillar
The 1st pillar covers basic needs, the 2nd pillar supplements professional income (occupational pension) and the 3rd pillar (3a / 3b) closes personal gaps.
Not for every pillar
OASI/DI is mandatory, occupational pension depends on status and salary, while pillars 3a and 3b are private decisions.
The first two pillars are not always enough
Part-time work, divorce, arrival in Switzerland, self-employment, high income or a mortgage can create a significant gap.
Diagram of the 3 Swiss pillars
1st, 2nd and 3rd pillar: each level has a role. Mixing them up creates gaps.
- Occupational 2nd pillar LPP via the employer
- State 1st pillar AHV, IV, loss-of-earnings allowances
Read the framework before choosing a product.
What are the 3 Swiss pillars for?
Swiss pension provision covers three risks: retirement, disability and death. It rests on the 1st pillar (public), the 2nd pillar (occupational) and the 3rd pillar (private: pillar 3a and pillar 3b).
The system is solid, but it does not automatically guarantee your lifestyle. The first two pillars provide a base, often insufficient when income, family expenses, mortgage costs or retirement plans are high.
The logic of the three pillars
A good pension plan is not about opening a random product. It is about knowing what would be paid in case of retirement, disability or death, then closing the useful gap.
1st pillar: OASI, DI and basic benefits
The 1st pillar is state pension provision. It includes OASI, DI and supplementary benefits. It is mandatory for people domiciled or working in Switzerland and mainly works on a pay-as-you-go basis.
Pensions depend on contribution years, average income and family situation. Career breaks, late arrival in Switzerland, years abroad or periods without contributions can create gaps. The 13th OASI pension is planned from December 2026 for old-age pension recipients.
2nd pillar: occupational pension and pension fund
The 2nd pillar supplements OASI/DI. In 2026, mandatory occupational pension affiliation generally applies to employees subject to OASI who earn more than CHF 22,680 per year with one employer. Death and disability risks are generally covered from 1 January after the 17th birthday, then retirement savings from 1 January after the 24th birthday.
Mandatory occupational pension does not cover the full salary. The calculation uses a coordination deduction of CHF 26,460, with a minimum coordinated salary of CHF 3,780 and a maximum of CHF 64,260 for the mandatory part. Self-employed people are not automatically affiliated and must analyse their pension provision carefully.
3rd pillar: pillar 3a, pillar 3b and 3rd pillar insurance
The 3rd pillar is optional. Pillar 3a is tied, tax-deductible and reserved for people with income subject to OASI. Pillar 3b (often called 3rd pillar 3b) is freer: payments, duration, beneficiaries and withdrawals are generally more flexible.
A 3rd pillar insurance policy (3a or 3b) can add life insurance: death, disability income or premium waiver, on top of savings. It is not mandatory, but useful if a family, mortgage or partner depends on your income. The same 3a savings can also sit in a bank, without risk cover.
Difference between pillar 3a and 3b
The pillar 3a or 3b question (difference between 3rd pillar A and B) comes down to this: 3a is mainly for tax relief and retirement, with restricted withdrawals. Pillar 3b is for more freedom (projects, cohabiting partner, inheritance), without the same federal deduction.
Common pitfalls
Pension planning seems simple until a status changes or a pension certificate reveals a gap.
I already have a 3rd pillar or pension fund: what should I check?
Check your beneficiaries, fees, returns, risk component, death or disability guarantees, pension fund buy-in possibilities and the organisation of several 3a accounts. Since 2026, retroactive 3a catch-up contributions can also become a lever under conditions for certain gaps that appeared from 2025.
Which profiles should do a review?
A review is particularly useful when getting married, divorced, buying property, arriving in Switzerland, becoming self-employed, having a child, increasing income, working part-time, changing employer or preparing retirement. These moments often change expected benefits and real needs.
Pour une entreprise, la qualité de la prévoyance professionnelle peut aussi devenir un avantage RH : meilleure couverture risque, plan LPP plus généreux, financement employeur ou solutions pour cadres.
We turn your three pillars into a clear plan
We read your pension certificate and analyse OASI, 3a, 3b, life insurance, taxation, family, mortgage and projects. The goal is not to accumulate products, but to build pension provision consistent with your situation.
Go deeper into your pension planning
Each pillar deserves a decision adapted to your status and goals.
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