Glossary

It's important to us to explain the complex topic of the occupational benefit scheme as comprehensibly as possible. However, sometimes we cannot get around using technical terms. In our glossary we explain these technical terms briefly and in a reader-friendly manner.

 

 

Vested benefits account

A restricted bank account into which the termination benefits from an insured person's occupational pension are transferred if this person does not begin a new position immediately.

Vested retirement assets (retirement savings)

Within the context of occupational pension plans, each insured person receives a percentage of his coordinated income. These sums, termed retirement credits, constitute a person's retirement savings. The retirement savings are comprised of the individual retirement credits, the occupational mobility credits (termination benefits) transferred in from a previous pension scheme, and any deposits plus interest accrued on these amounts. Interest is calculated on the basis of the minimum interest rate prescribed by the Federal Council.