External Membership

An active insured person whose employment contract is terminated by the employer, who does not have a new employer and who is still subject to AVS (i.e. residence in Switzerland), can request an external membership of the pension fund.

For the time as external member, you will pay all contributions (employee and employer contributions).

Savings contributions are voluntary, only risk contributions are still a must: the insured salary for "Risk" and "Savings" can be chosen independently of each other within the following limits:

• The annual insured salary "Risk" has to be between CHF 3'585 and your previous salary and must not exceed 10 times the maximum OASI pension (currently CHF 28'680)
• The annual insured salary "Savings" has to be between CHF 0 and your previous salary and must not exceed 30 times the maximum OASI pension (currently CHF 28'680)
• The underlying annual salary for the insured salary "Risk" must be at least the same than for the insured salary "Savings"

If the external membership lasts longer than 2 years, the resulting old-age benefits must be taken as a monthly pension payment. The capital option at retirement is then no longer possible.
If you plan to take all or part of your savings as a lump sum payment at retirement, your external membership must not exceed 2 years.

To apply for external membership, please contact Avadis (hp@avadis.ch) or the pension fund (info@pensionplus.ch) for a personal discussion.

For existing external members before 2021:

FAQs regarding the new external membership

What changes due to the new regulation 2021?

The main changes are:

• The external membership can last for more than 2 years, if the old-age benefits are paid out as a monthly pension payment. This means that the capital option at retirement is no longer possible when the external membership lasts longer than 2 years.
• Savings contributions are voluntary, only risk contributions are still a must: the insured salary for "Risk" and "Savings" can be chosen independently of each other within the certain limits.

What are the criteria for external membership?

The only condition for external membership is that your employment contracts has been terminated by the employer.

Can I stay as an external member when I have a new employer?

No, as soon as you have a new employer and enter his pension fund, the external membership must be terminated. The only exception is when a full buy-in into the new pension fund uses less than 2/3 of your pension fund savings.

How long can I stay as an external member?

If you are 55 or older when starting an external membership, you can stay an external member until age 65, if your choose a monthly pension payment at retirement. The capital option is no longer available when the external membership last for more than 2 years.

If you want to take out all or a part of your savings as a lump sum payment of at retirement, the external membership is limited to 2 years.

If you are below 55 years old when starting an external membership, the duration is limited to 2 years.

How much does the external membership cost me?

As an external member, you need to pay all contributions (employer and employee contributions) yourself. These contributions are defined as a percentage of the insured salary. The savings contributions depend on your age and savings plan, the risk contributions are currently fix at total 3%.

Savings contributions are voluntary, only risk contributions are still a must: the insured salary for "Risk" and "Savings" can be chosen independently of each other within the following limits:

• The annual insured salary "Risk" has to be between CHF 3'585 and your previous salary and must not exceed 10 times the maximum OASI pension (currently CHF 28'680)
• The annual insured salary "Savings" has to be between CHF 0 and your previous salary and must not exceed 10 times the maximum OASI pension (currently CHF 28'680)

• The underlying annual salary for the insured salary "Risk" must be at least the same than for the insured salary "Savings"

How do I become an external member?

Please send the completed request form to our administration hp@avadis.ch 3-4 weeks before your employment contract ends.

I already am an external member, what do I need to do?

• If you would like to extend your current external membership beyond 2 years, please fill in the request form before your membership reaches the 2-year-limitation and send it to our administration hp@avadis.ch. Please note that the capital option at retirement is then no longer available! After an extended external membership, your old-age benefits must be paid out as monthly pension payments.
• If you would like to change your insured salary (risk or savings), please contact our administration: hp@avadis.ch
• If you would like to keep your external membership as it is, i.e. you do not want to extend it beyond 2 years, as you plan to take a capital option, there is no need to do something.

Can I terminate the external membership?

You can terminate the external membership at any time by writing to our administration hp@avadis.ch with a notice period of 2 months. The pension fund can terminate the external membership if the contributions are not paid.

What are my options when the external membership ends?

You can

• have the termination benefits paid to the pension fund of a new employer or a vested benefits account
• retire (early) if you meet the criteria, and choose a monthly pension payment, a lump sum (if the external membership didn't exceed 2 years), or a deferral of a monthly pension payments

Do I still get the interest credit during the external membership?

You do still get the annual interest credit as every other active member when you are still a member as of 31 December.

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