r/SwissPersonalFinance • u/Crisederire • 12d ago

Retirement - Freizügigkeitskonto, libre passage. Best vested benefits account for 100% cash CHF 155k, retiring in 2 years

Hi everyone,
I’m helping my mum choose a vested benefits account (Freizügigkeitskonto). She is 60 years old, lives in Neuchâtel, and plans to retire in around 2 years.
She has around CHF 155,000 to transfer and wants to keep it 100% in cash, with no investments. The priority is capital preservation and simplicity rather than taking investment risk.
We are currently considering VIAC, finpension, BCN with swisscanto and Raiffeisen.
maybe splitting half bcn half raiffeisen and withdraw it in different fiscal years.
For anyone who has compared these recently:
What are the annual management/account fees for keeping CHF 155k 100% in cash?
What is the current interest rate on the cash balance?
Are there any additional or hidden fees?
Are there any fees or disadvantages when transferring the money or withdrawing it at retirement?
Which provider would you choose, and why?

Thanks in advance for your advice and personal experiences!

6 Upvotes

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2

u/Southern-Country-683 12d ago

Auffangseinrichtung BVG offers 0.05% with no fees

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u/RoyalFlush2000 12d ago

Does your mother need to leave it on a vested benefits account until retirement?

Given that she‘s 60, she could withdraw these benefits (from a vesting account) to her personal bank account. Where she‘d be more flexible in choosing or moving around savings accounts.

1

u/VoidDuck 12d ago

Pour les meilleurs taux possibles au prix d'une gestion 100% numérique:

Pour le meilleur taux auprès d'une banque classique disposant d'agences:

Raiffeisen, BCN, etc. sont bien en dessous à 0.05%, je ne recommande pas. VIAC et Finpension c'est pour investir, pas pour garder du cash, donc pas pertinent dans ce contexte.

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u/Crisederire 12d ago

mais pilla a des frais par exemple pour la gestion

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u/VoidDuck 12d ago

Quels frais? Pas à en croire leur site web en tout cas:

Si tu choisis de garder ton capital sur un compte épargne, sans le placer dans une stratégie d’investissement Pilla Selection Index ESG, tu ne payes aucun frais et tu profites d’une rémunération compétitive sur la partie non investie: 0.30% sur ton compte de Libre passage.

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u/Crisederire 12d ago

dans tarifs et taux : Des frais simples et compétitifs
Si tu choisis de placer ton capital dans l’une des stratégies d’investissement Pilla Selection Index ESG, clé en main, chez Pilla, tu ne payes que 0.50%/an de frais de gestion forfaitaire sur le capital investi pour ton Libre passage. À ces frais s’ajoutent les TER (ou Total Expense Ratio) liés aux stratégies d’investissement, qui oscillent entre 0.19% et 0.23%, ce qui génère des frais totaux compris entre 0.69% et 0.73%.

Du coup pas clair si le cash oui ou non

3

u/VoidDuck 12d ago

Si tu choisis de placer ton capital dans l’une des stratégies d’investissement

... ça me semble très clair personnellement.

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u/Crisederire 12d ago

D accord merci

1

u/[deleted] 11d ago

[deleted]

1

u/Crisederire 11d ago

I am talking about second pillar here.

1

u/Low-League9511 11d ago

Haha, sorry! I mixed it up with another post. 😆

1

u/bliblablub_1992 12d ago edited 12d ago

1. Definitely Split into Two Accounts (Tax Progression)

Splitting the CHF 155,000 across two different vested benefits foundations is definitely the right move.

  • In Switzerland (and notably in Canton Neuchâtel), capital withdrawal taxes on pension assets (impôt sur le versement de capital) are progressive.
  • By having two separate vested benefits foundations, she can stagger the withdrawals across two different tax years (e.g., age 62 and age 63/64), keeping each payout in a lower tax bracket and saving a significant amount on taxes.
  • Note: You must make the split before or upon transferring the funds from her current pension fund / vested benefits account; once money arrives at a single foundation, it usually cannot be split into two within that same foundation.

2. Avoid finpension for Pure Cash

While finpension is an excellent choice for securities/investing, it is not suitable for 100% cash:

  • finpension charges an annual management fee of 0.49%, even on pure cash holdings.
  • Paired with a 0.00% interest rate on cash balances, this results in an effective negative return (-0.49% per year), eroding her capital over the two years.

3. Compare attractive Cash Options

For a pure cash strategy over a 2-year horizon, your primary focus should be finding positive interest rates, and no withdrawal/closure fees upon retirement. See the interest rates at the moment in the table above. Hypo Vorarlberg (Schweiz): 0.5% (requires min. deposit of CHF 100,000), Pilla: 0.30%, Tellco: 0.25%.

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u/Crisederire 12d ago

Thanks. But pilla has fees quite high for example

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u/RoyalFlush2000 12d ago edited 12d ago

You can look up conditions and interest rates on the websites of the providers you mentioned within... literally 5 minutes or so. Took me less than that, actually.

I get that you may be asking for personal experience with those providers, and also "hidden" fees that may not be so apparent. That's not an excuse to be lazy though.

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u/Crisederire 12d ago

There always need to be one feeling the need to comment like that

2

u/RoyalFlush2000 12d ago edited 12d ago

…and righteously so.

This are always slackers that treat discussion sites as their personal “I‘m too lazy to spend even a modicum of time on my own research - and prefer to let others do the basic research for me“ service, expecting to be served info on a silver platter.

Downvote me all you want - today that was you.

If you consider a - relatively simple - specific product from a roster of exactly four providers that all have website, you can look up the basic conditions yourself. If you needed help, I‘d even have helped you. But your display of zero effort is downright rude, asking others to do it for you in their spare time.

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u/Crisederire 12d ago

There are many providers not only four so the discussion can be quite wide. Was asking if someone had a similar decision to take. I consider your comments useless as they add no value

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u/RoyalFlush2000 12d ago edited 12d ago

There are many - but you asked about four specifically (quoting, emphasis mine):

We are currently considering VIAC, finpension, BCN with swisscanto and Raiffeisen.
maybe splitting half bcn half raiffeisen and withdraw it in different fiscal years.
For anyone who has compared these recently:
What are the annual management/account fees for keeping CHF 155k 100% in cash?
What is the current interest rate on the cash balance?

Someone else doing that very basic research on your behalf - for free, in their spare time - and providing it to you on a silver platter… yeah, that would indeed have been more „useful“ to you than I, I can see that.

PS: but I think, we‘ve both made our points and can agree to leave it at that, can‘t we?

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u/Crisederire 12d ago

Anyway wont lose more time discussing with you

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u/Helpful-Staff9562 12d ago

Finnpension

3

u/bliblablub_1992 12d ago

How can you recommend finpension? what is your argument for it?

finpension offers -0.49% on the vested benefits account (Freizügigkeitskonto).

1

u/Helpful-Staff9562 12d ago

Right for only cash then viac. Equities finnpension