Should you leave Switzerland permanently, your options depend on
1) if you have emigrated to a non-EU/non-EFTA state you can choose whether you
- apply for payment (Barauszahlung) of your accumulated capital (termination benefit); please note: after having received the termination benefit, any payment of retirement- or other benefits is impossible. The cash payment will be after deduction of the source tax or
- maintain the retirement fund cover (options in this case see below, 3)
If you apply for payment within 6 months after your contract has ended, an application must be submitted to your last employer’s retirement fund (e.g. the VSAO). You can do this before leaving Switzerland. Your employer will provide you with the necessary forms when you leave the occupational fund.
If you apply for the payment after 2 years, the application should be submitted to the auxiliary fund, (Auffangeinrichtung- Fondation Institution supplétive) directly, please refer to point 3), below.
2) if you have emigrated to an EU/EFTA state and are not subject to any social insurance, see 1)
3) if you have emigrated to an EU/EFTA state and are subject to any social insurance in that country, you can withdraw just part (the non-compulsory portion) of the accrued capital. The obligatory part has to stay in Switzerland until you will retire. In this case, the termination benefit can be transferred into
- a special blocked bank account (so called Freizügigkeitskonto =vested benefits account)
- or a blocked insurance policy (so called Freizügigkeitspolice = vested benefits policy)
- or the so called auxiliary fund
However, you have to inform your last pension scheme about your decision. Should you not make a decision the VSAO will transfer the cash termination benefit to the auxiliary fund (BVG) not earlier than 2 years after the termination. More information about the auxiliary fund (www.chaeis.net – Phone: 0042 41 799 75 75)
4) Shouldn’t you have applied for cash payment of the termination benefit, the retirement fund cover remains in the 2nd pillar-account. In general, the occupational retirement fund of your last employer will transfer your termination benefit to the auxiliary fund no sooner than six months and no later than two years after you leave your job. In this case an application for payment must be addressed to the auxiliary fund.
Stiftung Auffangeinrichtung BVG