For owner-occupied residential property, you may withdraw funds from Pillar 3a early – however, you should gradually strengthen your 3rd pillar again later.
Posted today at 5:30 am—
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Illustration: Christina Baeriswyl
My single-family home is about to be renovated, which will cost 60,000 francs. The question now is how this should be financed. I have the following options on my radar: withdrawing Pillar 3a funds or increasing my mortgage. Payment from my other resources is excluded. Which option is better and what other options are there? Readers question from WT
You could also make an advance withdrawal from your pension fund. But I advise you not to do so, because it will weaken your retirement provision. In addition, there is a risk that your insurance benefits would be reduced in the event of death or disability in the event of an early withdrawal.
