Occupational pension (LPP/BVG)

2nd pillar -- can be used for primary residence purchase.

The occupational pension (LPP/BVG), or 2nd pillar, is the mandatory retirement scheme for employees in Switzerland. LPP assets can be used for primary residence purchase.

Withdrawal conditions: - The property must serve as a primary residence - Minimum withdrawal amount: CHF 20,000 - Only one withdrawal every 5 years - After age 50: amount limited (assets at age 50 or 50% of current assets, whichever is higher)

The withdrawal is subject to cantonal tax (approximately 5% to 15% depending on the canton). This amount can be repaid and the tax recovered.

Important: withdrawing from the 2nd pillar reduces your retirement pension.

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