Essential information for employers and self-employed persons in Switzerland
Occupational pension provision, or the 2nd pillar (LPP), is a fundamental pillar of the Swiss social security system. It complements the 1st pillar (AVS/AI) to maintain an adequate standard of living after retirement, in the event of disability or death.
At Insurance Keepers SA, we help you understand, structure and optimise your LPP pension plan in order to protect your employees while maximising the benefits for your company.
LPP reference amounts for 2025
According to official data from the Swiss Confederation, the thresholds applicable in 2025 are as follows.
These amounts define the basis of the compulsory scheme. For more comprehensive cover, you can take out supplementary or 1e plans.
Salary Components | Amounts (CHF) |
| Minimum annual salary subject to LPP | 22,680 |
| Coordination deduction | 26,460 |
| Minimum coordinated salary | 3,780 |
| Maximum coordinated salary | 64,260 |
| Maximum insured salary (mandatory) | 90,720 |
| Threshold for 1e plan | 136,080 |
They enable companies to enhance their attractiveness, retain and protect their talent:
→ Guarantee salaries below or above the legal thresholds
→ Improve benefits in the event of death or disability
→ Strengthen social protection for key employees
💡 Extra-mandatory pension plans go beyond the minimum requirements set by law.
Designed for employees with an annual salary above CHF 136,080, these plans offer:
→ Greater flexibility in choosing investment strategies
→ The possibility of optimising tax-efficient redemptions
→ A tool for attracting and retaining executives
💡 Today, setting up a 1e plan is one of the best ways to optimise taxation in Switzerland.
Thomas Martinetti
Pension advisor
A smart tax lever
Pension fund buy-backs allow you to:
→ Increase your future pension benefits
→ Benefit from a tax deduction on your taxable income
Please note: no purchases are permitted during the three years prior to early withdrawal (e.g. for the purchase of property).
Real Estate and Occupational Benefits:
what does the law say about it?
The Federal Act on Vesting Benefits (LFLP) authorizes the use of pension capital for:
→ The purchase or construction of a home for personal use
→ The repayment of an existing mortgage
→ The acquisition of shares in a housing cooperative
💡 Early withdrawal reduces your retirement benefits. It is therefore crucial to plan this decision carefully.
Pension or lump sum at retirement:
what is the right choice?
At retirement age, the insured person can choose:
→ A lifelong pension (with or without reversion)
→ A lump-sum withdrawal (subject to a single tax)
→ A mixed solution
💡 The right choice depends on your financial, family, and tax situation. Our experts help you make an informed decision.
To serve your interests and advise you
- Analysis of your existing LPP schemes
- Design of tailored supplementary plans
- Implementation of customized 1e plans
- Tax optimization via buy-ins
- Structuring of real estate projects with your occupational benefits
- Assistance in choosing between pension and lump sum
Solid expertise for
tailor-made support
Risk Analysis
Our goal? To provide you with a clear understanding of your risks and support you with tailor-made solutions.
Tailor-made Insurance Solutions
We assist your company in designing tailor-made insurance solutions, perfectly aligned with your needs.
Insurance Portfolio Management
The management of your insurance portfolio relies on human, professional, and personalized support.
Our commitment
Transparency – Neutrality – Expertise
Our goal is to transform your occupational pension provision into a strategic advantage.
We work with leading Swiss institutions to guarantee reliable, flexible solutions tailored to your needs. Every recommendation is based on rigorous analysis and completely independent advice.
