The essentials at a glance
- OASI (1st pillar): The reference age is 65 (progressive alignment of women completed under AVS 21). Flexible departure possible from 63 to 70 years old.
- 2nd pillar (Occupational pension / LPP): Retirement aligned with the OASI (65 years), but early retirement possible from 58 years in most pension funds.
- 3rd pillar (3a): Lump-sum withdrawal available at the earliest 5 years before the reference age (from age 60), and up to age 70 if you continue working.
Synthesis: Summary of Key Swiss Retirement Ages
| Feature | 1st pillar (AVS) | 2nd Pillar (LPP/BVG) | 3rd pillar (3A) |
|---|---|---|---|
| Standard reference age | Age 65 (Men/Women under AVS 21) | 65 years old (generally aligns with the AVS) | 65 years old (indexed to the OASI reference age) |
| Minimum age for early withdrawal | 63 years old (62 years old for the transitional generation) | 58 years old (according to your health insurance plan's rules) | 5 years before reaching AVS retirement age (at age 60 or 59, depending on the tier) |
| Maximum age for deferral | 70 years old (permanent pension increase) | 70 years old (if you continue working) | 70 years old (if you continue working) |
| Payment method | Lifetime Monthly Annuity | Annuity, Lump Sum (min. 25 %), or Hybrid | Uppercase only |
| Consequence of an early withdrawal | Permanent reduction in the annuity (-6.8 %/year) | Lower conversion rates and reduced capital | No rate cut, but early taxation |
What Is the Legal Retirement Age in Switzerland (AVS/OASI)?
In Switzerland, the concept of ’legal age« has officially been replaced by that of » reference age »"with the reform taking effect" AVS 21. This reference age corresponds to the precise moment when you can retire without incurring a reduction in your pension or receiving an increase.
Reference age: Men vs Women
- For men: The standard retirement age remains set at 65 years old.
- For women: The benchmark age is being progressively raised from 64 to 65 years old.
Summary table of retirement departures (AHV)
| Year of birth | Reference age (Men) | Reference age (Women) | AVS retirement age (without reduction) |
|---|---|---|---|
| 1960 and before | 65 years old | 64 years old | Already reached |
| 1961 | 65 years old | 64 years and 3 months | 2025 – 2026 |
| 1962 | 65 years old | 64 years and 6 months | 2026 – 2027 |
| 1963 | 65 years old | 64 years and 9 months | 2027 – 2028 |
| 1964 and after | 65 years old | 65 years old | 2029 and beyond |
- Good to know: Your entitlement to an AVS pension begins on the first day of the month following the month in which you reach the qualifying age. For example, if you turn 65 on May 14, your pension will be paid starting June 1.
Retraite des femmes en Suisse : ce qui change avec la réforme AVS 21
Approved by the Swiss people, the AVS 21 reform brings the retirement age for women in line with that of men at 65. The increase is phased in gradually at a rate of 3 additional months per year of birth (64 years and 3 months for those born in 1961, up to 65 years for those born in 1964).
View the summary table by year of birth to find out your exact age.
To soften the impact of this change, the law provides targeted compensatory measures for women born between 1961 and 1969, referred to as the "transitional generation."
Financial Compensation for the Transitional Generation
Option 1: Receive a lifetime pension supplement
If you retire at the standard retirement age (or later), you will receive a monthly allowance paid for life. This amount is calculated based on two criteria: your average annual income and your year of birth.
1. The basic supplement (for a full contribution period):
- CHF 160 per month for a low average annual income (≤ CHF 60,480)
- CHF 100 per month for a median annual income (CHF 60,481 to CHF 75,600)
- CHF 50 per month for a high average annual income (≥ CHF 75,601)
2. The percentage allocated based on year of birth:
| Year of birth | Reference Age | % of the basic supplement collected |
|---|---|---|
| 1961 | 64 years and 3 months | 25 % |
| 1962 | 64 years and 6 months | 50 % |
| 1963 | 64 years and 9 months | 75 % |
| 1964 | 65 years old | 100 % (Full surcharge) |
| 1965 | 65 years old | 100 % (Full surcharge) |
| 1966 | 65 years old | 81 % |
| 1967 | 65 years old | 63 % |
| 1968 | 65 years old | 44 % |
| 1969 | 65 years old | 25 % |
- Example: A woman born in 1963 with an average annual income of CHF 50,190 (low income = base of CHF 160) and a full contribution period will receive a supplement of CHF 120 per month for life (75% of CHF 160).
Please note (Legal Benefits):
- The supplement is paid in addition to the maximum annuity and is not subject to the pension cap for married couples.
- This supplement is not taken into account in the calculation of entitlement to supplementary benefits (PC).
Option 2: Planning for retirement with minimal reductions
If you prefer to draw your Old Age and Survivors' Insurance (AVS) pension before the reference age (from age 62), the pension is subject to a reduction. However, the reduction rates applied to women of the transitional generation are very advantageous.
Discount rate for whole years of anticipation:
| Early retirement age | Average income ≤ CHF 60'480 | Average income CHF 60,481 – 75,600 | Average income ≥ CHF 75,601 |
|---|---|---|---|
| At 64 years old | 0 % (No discount) | 2,5 % | 3,5 % |
| At 63 years old | 2,0 % | 4,5 % | 6,5 % |
| At 62 years old | 3,0 % | 6,5 % | 10,5 % |
- Note: The discounts are adjusted pro rata if the departure is only a few months early.
Key points of caution:
- Application as of January 1, 2025: Women born in 1961 and 1962 who have brought forward their pension have benefited from these preferential rates for life since January 1, 2025 (they were subject to ordinary rates until December 31, 2024).
- No child's pension: No child's pension is granted during the entire pre-retirement period of the pension.
Early or postponed retirement: How to adjust your AHV departure?
Since the reform came into effect AVS 21, the Swiss pension system offers increased flexibility. It is possible to draw all or part of your OASI pension early from the age of 63 or to defer it until 70 years old.
Early retirement: Receiving your pension starting at age 63
Retiring early lets you stop working sooner, but it results in a lifelong reduction in your AVS/OASI pension.
- Minimum age: The advance payment can start from 63 years old (or 62 for women of the transitional generation).
- Flexibility by the month: You no longer have to anticipate by full years. You can set the start of the payout down to the exact month (for example: 63 years and 4 months).
- Standard reduction rates: For policyholders who are not eligible for the transitional preferential rates, the reduction generally ranges from 4.3 % (for 1 year of early payment) to approximately 13.6 % (for 2 years of early payment), depending on the exact duration and the amount of income.
Reduction rate of the OASI pension according to the duration of advance:
| Duration of anticipation | Discount | Impact on the maximum pension (2,520) |
|---|---|---|
| 6 months | - 3.4 % | 2'434 (- 86) |
| 1 year | - 6.8 % | 2'349 (- 171) |
| 1 year and 6 months | - 10.2 % | 2'263 (- 257) |
| 2 years | - 13.6 % | 2'177 (- 343) |
- Please note: Advancing the old-age pension suspends entitlement to child benefits for the entire duration of the advance payment.
Deffering the pension: Working until age 70
If you continue working past the reference age (65) or if you do not have an immediate need for your cash, you can defer payment of your OASI pension for 1 to 5 years maximum (up to 70 years old).
In return for deferring, your AHV pension will be permanently increased by a monthly supplement:
| Duration of the adjournment | Increase in the OASI pension |
|---|---|
| 1 year (12 months) | + 5,2 % |
| 2 years (24 months) | + 10,8 % |
| 3 years (36 months) | + 17,1 % |
| 4 years (48 months) | + 24,0 % |
| 5 years (60 months) | + 31,5 % |
- Procedure: The deferral must be reported to the compensation fund no later than one year after reaching the reference age.
Partial retirement: A phased transition
One of the biggest innovations of AVS 21 is the option to combine partial unemployment benefits with a partial pension.
- You can apply to receive between 20 % and 80 % of your AVS pension.
- How it works: The portion of the pension paid in advance is subject to the standard reduction, while the remaining portion continues to accrue or may be deferred.
- Advantage: This helps mitigate the loss of income during a smooth transition to retirement (e.g., switching to a 50% part-time schedule at age 63).
At What Age Can You Access Your 2nd Pillar (LPP)?
While the AHV (1st pillar) guarantees a subsistence minimum, occupational pension coverage (2nd pillar or BVG) aims to maintain your usual standard of living in retirement. Its age rules are linked to the AHV, but they offer far greater flexibility, defined by the regulations of your own pension fund.
The statutory retirement age and the reality of pension funds
The standard retirement age under the 2nd pillar is set at 65 years old.
Frequent shift for women of the transitional generation:
Under the AVS 21 reform, the AVS reference age for women born between 1961 and 1969 increases in increments of a few months (64 years and 3 months, 64 years and 6 months, etc.). However, most pension funds have kept the statutory retirement age at 65.
In practical terms: An insured person may reach her AHV reference age at 64 years and 6 months and begin receiving her AHV pension, but may have to wait until she turns 65 to receive her regular BVG pension.
Early Retirement Under the LPP: Possible Starting at Age 58
Unlike the AVS, where early withdrawal is limited to two years (starting at age 63), the Occupational Pension Act allows for early retirement starting at age 58 (in accordance with your health plan's provisions).
Financial impact: Taking early retirement reduces the amount of your future pension for two reasons:
- The accumulated balance is lower (fewer years of contributions and interest).
- The conversion rate applied to the principal is adjusted downward because the annuity will need to be paid to you for a longer period.
AVS Bridge Pension: Since the AVS pension cannot be claimed before age 63 (or age 62 for the transitional generation), many pension funds offer to provide a temporary «bridge pension» to make up for the loss of income until the first-pillar pension begins.
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The Postponement of the second pillar: Working until age 70
If you continue to work after age 65, most pension funds allow you to defer receiving your 2nd pillar benefits until you turn 70 at the latest.
- Advantage: During these additional years, you continue to accumulate principal and interest, while benefiting from a higher conversion rate when you retire permanently.
Annuity or lump sum: Watch out for administrative delays
When you retire, you must decide whether you want to receive the pension, the LPP capital, or a mix of both.
The law requires funds to allow withdrawal in the form of capital of at least 25 % from the mandatory portion, but most regulations allow a withdrawal at 100 %.
- Please note: Pension funds require notification of your choice of capital withdrawal within very strict deadlines (often 3 months to 3 years before your retirement date). Remember to request your pension fund regulations early enough.
3rd Pillar (Pillar 3a): When and How to Withdraw Your Tied Retirement Savings
The tied 3rd pillar (3a account or policy) is a private individual pension plan encouraged by the state through significant tax deductions. Unlike AHV or BVG pensions, the assets built up in a 3rd pillar are (in principle) paid out exclusively as a lump sum.
Withdrawal rules are directly indexed to the OASI reference age, but offer great flexibility.
Early withdrawal: The 5-year rule before the reference age
You can withdraw the full capital from your Pillar 3a at the earliest 5 years before reaching the AVS/OASI reference age — meaning at age 60, for both men and women.
- Exception (Extraordinary early withdrawal): It is possible to withdraw your 3a pillar funds before these age brackets only in specific cases provided for by law: purchasing your main residence, permanently leaving Switzerland, switching to self-employed status, or disability.
Postponement of the 3A: Defer withdrawal until age 70
If you reach the OASI reference age but you continue to engage in a gainful activity (proof of income provided), you are not obliged to liquidate your Pillar 3a.
- Extension up to 5 years: You can defer the withdrawal of your 3rd pillar until Maximum 70 years old.
- Double advantage: During this period, you can not only grow your capital sheltered from wealth tax, but you also retain the right to continue to pay annual 3A contributions and to deduct them from your taxable income.
Tax tip: Staggering pillar 3a withdrawals
When you withdraw the money from your 3rd pillar, this capital is subject to a separate taxation of capital benefits (at a reduced rate compared to income tax). In Switzerland, this tax is progressive : the higher the amount withdrawn within the same tax year, the higher the tax percentage.
The multiple account strategy:
- Open multiple Pillar 3a accounts during your working life (ideally 3 to 5 accounts).
- Spread withdrawals over several consecutive years (for example, one account liquidated at age 61, another at age 63, and the last at age 65).
- Case of married couples or registered partnerships: Please note that withdrawals made by both spouses during the same calendar year are added together by the tax authorities. It is therefore advisable to coordinate the timing of both partners' withdrawals.
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Frequently asked questions about the retirement age in Switzerland
Can one work past 65 without contributing to OASI?
No. In Switzerland, anyone who continues to engage in gainful employment after the reference age remains subject to the obligation to contribute to the OASI.
However, you benefit from a deductible from 1,400 CHF per month (i.e., 16,800 CHF per year and per employer) on which no OASI contributions are withheld. Only the portion of the salary exceeding this allowance is subject to contributions. Since the OASI 21 reform, these additional contributions can be used to fill any potential gaps or to improve the amount of your OASI pension.
What is the minimum age to cash out all 3 pillars?
- The OASI pension (1st pillar) is the strictest and can only be drawn from the age of 63 (or 62 for women of the transitional generation).
- The 2nd pillar (LPP) can then be drawn from the age of 58 if your pension fund's regulations allow it.
- The 3rd pillar (3A) can be withdrawn first, starting at age 60 (or age 59 depending on the women's OASI tier).
What happens if I claim my OASI pension at age 64?
- For men and women covered by the general pension system (born in 1964 or later): Your AVS pension will be permanently (for life) reduced by 6.8 %.
- For women of the transitional generation (born between 1961 and 1969): The reduction will be significantly lower (between 0 % and 3.5 %, depending on your average annual income) thanks to the preferential rates granted by the AVS 21 reform.
Is it mandatory to cash out your 2nd pillar and receive your OASI (AVS) in the same year?
No, absolutely not. The Swiss system makes it possible to decouple the departure dates between the pillars. You can perfectly well anticipate your 2nd pillar at age 63 to stop working, while deferring your OASI pension to age 66 or 67 to avoid taking the reduction on the 1st pillar. This flexibility makes it possible to build a tailor-made income strategy.