Dream trips in retirement: How to plan your financial future
, 3 minutes
Anna and Peter, a dynamic couple in their early 40s, share a great passion: travel. Be it the breathtaking landscapes of New Zealand or the stunning beaches of the Maldives – they have already experienced many wonderful adventures together and dream of more unforgettable moments. But while they sit cosily in their living room and leaf through old travel albums, they ask themselves one key question: “How are we going to be able to afford all the trips we so desperately want in retirement?"
© Adobe Stock, oneinchpunch
Planning early: sufficient provision?
Although their retirement is still a long way off, Anna and Peter know that it's never too early to start thinking about the future. This is because Switzerland’s state pension system (AHV) and occupational pension system (BVG) often only cover about 60 percent of previous income in retirement. Those who want more financial freedom have to act on their own initiative and make arrangements well in advance.
What steps can Anna and Peter take?
Flexible pension savings via the pillar 3a scheme
Contributions to Pillar 3a can not only reduce your tax burden. when investing in securities investments, there is also the potential for attractive returns – especially with a long-term investment strategy. Ideal for making bigger dreams such as a long-distance trip come true.
Voluntary contributions to the pension fund
Additional contributions to an occupational pension fund can not only bring tax benefits, but in many cases also improve insurance benefits. As a result, Anna and Peter benefit from a bigger pension and/or greater retirement capital in their old age.
Individual asset accumulation
With a ZugerKB fund savings plan, you can invest additional capital in securities over a long-term horizon. This serves as an individual supplement to state and occupational pensions.
Summary: Make dreams come true through proper planning
Anna and Peter show us how important it is to think about the future early. With thoughtful financial planning, a clear budget, and the necessary discipline, other couples too can also make their retirement travel dreams come true. The combination of flexible pension options and individually tailored asset accumulation makes it possible to establish financial security and discover the world.
Advantages of 3a retirement savings with securities investments
- Tax benefits: Deposits can be deducted directly from taxable income, which results in a lower tax burden.
- Access to professional solutions: Even with small savings contributions, you gain access to diversified, professionally managed securities solutions.
- Opportunities for market development: Long-term investments in broadly diversified funds offer the opportunity to profit from positive market price developments.
- Higher return opportunities: Compared with the classic 3a savings account, saving in securities opens up potential for higher returns.
- Average price effect: Regular deposits make it possible to benefit from the average price effect.
- Optimal pension provision: Particularly suitable for people who want to start saving early and take advantage of the growth potential of financial markets over the longer term.
Francesco Gallello
Francesco Gallello has been working as an Occupational Benefits Advisor at Zuger Kantonalbank since 2021. He is passionate about advising on tailor-made pension fund solutions for companies. His particular focus is supporting start-ups in the development of occupational benefits schemes. He looks forward to working with you to develop optimal solutions.
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