Understanding the 3rd pillar

All you need to know, made simple.

Knowledge base

What is Pillar 3A?

It is your personal retirement savings plan in Switzerland. With Pillar 3A, you can plan for the future while saving on your tax today. But how does it work, why does it matter and why should you start today? 

We explain everything here.

Connected to your future

Why Pillar 3A?

It’s never too early to start thinking about your future. With Pillar 3A, you can secure your retirement while reducing your tax bill – it’s as simple as that.

1. Never 2 pillars without the 3rd. 

In Switzerland, pension provision is based on three pillars. The first (AVS/AI) is compulsory and helps cover your basic needs. The 2nd (LPP) is reserved for anyone who belongs to a pension fund. The 3rd is your personal pension plan: a free and flexible savings solution designed to enhance and optimise your retirement.

2. Secure your future with ease.

Spoiler alert: contributions to your 1st and 2nd pillars rarely provide enough to maintain your lifestyle during retirement. That’s why Pillar 3A is always a good idea.

3. Less tax, more money for what matters to you.

With Pillar 3A, you pay in money each year up to a maximum authorised amount (in 2025 CHF 7'258 for people who belong to a pension fund, or CHF 36'228 for people who do not). The good news is that these payments are deductible from your taxable income.

4. Invest at your own pace.

Your Pillar 3A contributions are invested in funds according to the investment strategy you select. You ultimately gain much more than if you let your money sit idle in a savings account.

Getting started is easy. The sooner you begin, the more confident you'll feel about the future. So, shall we get started?

Your Pillar 3A with Pilla

The specific advantages of Pillar 3A

1. Save on your taxes, immediately
The more you pay into your 3rd pillar, within the annual limit, the more you reduce your taxable income and pay less tax at the end of the year.

2. Make your money work
With Pillar 3A, your money works for you, offering significantly better return potential than conventional savings accounts.

3. Stay in control at all times
Do you want to set up your own business? Buying a home? Going abroad? Depending on your situation, you can use your Pillar 3A capital for your life goals.

4. Freedom to invest
Choose how much you pay in each year and how you want to invest your money, depending on your investment profile.

Take control of your future. Open an account in just a few minutes.

Your pension at your fingertips

Manage and optimise your pension at any time.