3rd Pillar 2024, maximum amounts and tax deductions.


3rd Pillar 2024, maximum amounts and tax deductions.

2024 - How much can you contribute to Pillar 3a?

Those affiliated to a pension fund BVG (generally employees): can make maximum contributions for the year 2024 of CHF 7056 /year. For those not affiliated to a pension fund BVG (generally self-employed): may make contributions equal to 20% of income, but up to a maximum of CHF 35,280/year.
The amounts therefore, remain the same as last year.

Every how many years is the maximum amount adjusted?

As a rule, the determining amounts of the 1st, 2nd and 3rd pillars follow the adjustment of AHV pensions.
This adjustment is proposed every two years (except if the exception in paragraph 4 of Art. 33ter LAVS is realized).
Thus, toward the end of 2024, the percentage increase in pensions and the spillover for benefits and other pillar values for the coming year will be known.

Deduct the 3rd pillar from taxes in 2024

For tax deduction purposes, amounts paid to Pillar 3a from 01.01.2024 to 31.12.2024 are taken into account. Then, between January and February 2025 you will receive the statement from the company with which you have signed the third pillar to attach to your tax declaration. If you have more than one 3rd pillar, you will of course receive a certificate for each contract, but in any case the total cannot exceed the maximum deductible for the year 2024. Thus the sum of the premiums paid to Pillar 3A will be deducted from your taxable income. On the other hand, those who are taxed at source, such as B permits or cross-border commuters, will have to apply to the tax office at source for Ordinary Additional Taxation (TOU) by March 31 of the following year in order to take advantage of the tax deduction.

Social insurance figures 2024

Maximum AHV/IV pension: CHF 2'450 /month

Minimum AHV/IV pension: CHF 1'225/month

BVG entry threshold: CHF 22'050

BVG coordination sum: CHF 25'725

THIRD PILLAR With second pillar BVG, maximum deductible: CHF 7'056,  Without second pillar (max. 20% of net salary): Max. CHF 35'280

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