The very thought of retirement appeals to many hardworking people, they ponder over a time of freedom from responsibilities and more time for recreation. Switzerland continues to attract retirees from over the globe, thanks to its pristine alpine surroundings, excellent health care, and low taxes. In this blog we take a closer look at a few factors that make Switzerland an ideal place for retirement and examine a few legal aspects to officially retire here.
A recent survey by the Natixis Global Asset Management placed Switzerland in the top ranks for retirement. Switzerland had an overall score of 82% factors that were considered included material wellbeing, health, finances, and quality of life. The report praised the country’s excellent health care and well developed economy. Among the other factors that contributed to Switzerland’s success are its excellent public policies, and broad access to social services.
Who Is Eligible For Retirement In Switzerland?
EU/EFTA nationals will easily be granted residence permits to retire in Switzerland if they have sufficient finances to cover themselves and family members. They will also need health and accident insurance coverage prior to signing up for retirement. The retirement permit is valid for five years and is automatically renewable if all conditions are met.
Citizens from other lands apart form the EU may also be granted a retirement permit if they are over 55 and have close connections with Switzerland, i.e. past residency or family members living here. Prior to finalizing the retirement procedures non-EU citizens must provide official documentation that shows they won’t seek gainful employment in Switzerland.
Useful Tips For Swiss Residents
Swiss residents can officially retire at 65 years of age for men, and 64 for women; the minimum age for early retirement for Swiss residents is 58. Swiss residents are entitled to receive benefits from the old age insurance system OAS commonly referred to as AHV. Pension. The old age pension and occupational pensions must both be declared as income and are fully liable to tax, as a retiree you will be taxed at a special rate.
Depending on your income the OAS pension will be calculated accordingly. Several factors are taken into consideration, i.e. the number of years you have contributed to the pension, your income, and any contribution credit you have received for bringing up children or caring for other people.
FERZ SA offers practical advice and guidance for retirees our team will explain all the legal requirements and sort out any pension hurdles.