The General View Of Retirement

953 WordsMar 9, 20164 Pages
Switzerland What is the general view of retirement in Switzerland? Demographics have changed quickly for Switzerland as its retirement population increases and estimated to continue the trend going forward. Similar to other European countries Switzerland’s retirement program is pillared, what has made the difference in this country is the diversification within each retirement component limiting the effect and avoiding global market and local economy hardships. The uncertainties still lay ahead as the retirement system adjusts to support it purpose of sustaining the means for superannuation. Are there government programs to help people afford their later years similar to Social Security? The public system for retirement is basically a pay as you go finance obligation covering the public living and employed in Switzerland. Men become eligible from the age of 65 and women from the age of 64, receiving benefits related to years of contribution. Early retirement is possible with reduced benefits up to 6.8 % for each year drawn early. Individuals can chose to delay withdrawals from 1 to 5 years after reaching the official retirement age, increase the benefit amount up to 31% depending on the number of months deferred. Occupational pensions are mandatory for workplaces, where employer and employee’s contribute from 7% to 18% into the compulsory pension program. Self-employed individuals and low earners can voluntary participant in this program. What are the main savings
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