Pension Provision for Single People
Freedom is precious; single people know this only too well. Especially when you are young, it is easy to forget that you should start to think early about your pension and start to save for it. That is the only way that you can continue to be independent even in your retirement.
Single people make their own decisions and take direct responsibility for realizing their dreams. But it is important not to overlook the planning needed for your financial security and retirement provision. To ensure that you can continue to enjoy your independence in the future, it pays to make some important decisions as early as possible and to start saving for retirement.
What Should Single People Bear in Mind with Pension Provision?
On reaching normal retirement age, single people receive an AHV pension from the first pillar. In the event of death, benefits are only paid if surviving dependants need to be provided for.
In addition, a pension is paid from the pension fund, provided they are members of a pension fund.
Single people in particular should bear in mind that, in the event of death, benefits are paid only if surviving dependants need to be provided for. The pension fund may also make a single lump-sum payment to the legal heirs, if the pension fund regulations provide for this. The pension fund regulations also govern the amount of benefits and any options for adjusting the beneficiaries. However, it may also be that the assets remain in the pension fund so they can benefit the collective, that is all individuals insured by the pension fund.
In the third pillar, it makes sense in particular to start saving at an early stage. There is generally no need for death benefit coverage.
To close any pension gaps or be able to achieve your long-cherished goals and dreams in retirement, it is sensible to build a nest egg as early as possible. The ideal way to do this is through tied pension provision (Pillar 3a).