Disability benefits are paid until you turn 65 and are then replaced by a retirement pension. The retirement pension is recalculated on the basis of the continuing accruals to the savings capital after you turn 65 and of the conversion rate now applicable. The amount of savings capital shown for the retirement age is a projected figure.
It is arrived at using two different interest rates, one short-term and one long-term. The short-term interest rate is updated every year and applies to the next five calendar years in this projection. At the moment, it is 1%. The long-term interest rate is 2% and applies from the sixth calendar year until retirement age. In order to calculate your annual retirement pension, your savings capital at the time of retirement is multiplied by a conversion rate to determine your retirement pension for life. If you go to bvk.ch/berechnungstools, you can calculate your retirement pension by entering your personal interest income expectations in the calculation tool.
The conversion rate and the annual retirement pension are shown on the pension statements of insured persons who are aged 55 and over at the time the pension statement is generated.
No binding calculation of retirement benefits is possible before the insured person has reached the age of 65. They can turn out to be less than the disability benefits.
The savings capital position indicates the capital available at the age of 65. Interest credited to savings capital is disregarded where no interest is to be credited to it in the future.
Even after your retirement, you are entitled to a child’s pension for each child of your own under the age of 18 (or under the age of 25 if they’re still in education or training). The amount of this is set by reference to the rules on minimum benefits in the Swiss Federal Law on Occupational Retirement, Survivors’ and Disability Pension Plans (BVG).