Leaving Switzerland: What you need to know before you move abroad

You're planning to leave Switzerland—whether it's for work, love, or simply the sunshine elsewhere. Exciting, right? But let’s be honest: moving abroad isn’t just a new chapter, it’s also a mountain of admin. Especially if you've worked, paid into the Swiss pension system, and built up some savings here.

To make sure you don’t run into any nasty surprises later on, this article walks you through:

• What to take care of before you leave
  
• What happens to your AHV, pension fund, and pillar 3a
  
• How to plan your taxes and retirement savings smartly before your departure
  

General checklist before you leave Switzerland

Before you start packing those boxes, take care of the most important admin tasks:

• Deregister with your local municipality or district office. (Important: No deregistration = no final tax assessment!)
• Cancel or adjust your insurance policies (health, liability, car insurance, etc.)
• Terminate contracts (mobile phone, internet, electricity, gym memberships)
• Check your bank accounts: Some Swiss banks charge higher fees if you no longer have a Swiss residence.
  
  

Pro Tip: If you're closing your account, consider transferring your funds with platforms like Wise to save on fees.

What happens to your pension when you leave Switzerland

I wouldn’t be a financial planner if I didn’t make you focus on your retirement savings. Seriously—don’t leave this behind.

AHV (1st Pillar)

If you’ve paid at least one year into AHV and you’re moving to a country that has a social security agreement with Switzerland (like Germany, France, or the US), your pension rights remain intact. Your AHV pension can even be paid out abroad.

Moving to a country without such an agreement? Then you’ll lose your right to the AHV pension. You can request a refund of your contributions, but it will be interest-free. In some cases, you can voluntarily continue contributions—if you’re abroad temporarily or still working for a Swiss employer.

🚨 Important: Notify the Swiss Compensation Office (ZAS/SAK) about your move and clarify whether you’re eligible for an AHV pension payout abroad.

Pension Fund (2nd Pillar)

Moving to a non-EU/EFTA country? You can usually withdraw your full pension fund assets, provided you can prove you’re leaving Switzerland for good.

Moving to an EU/EFTA country? Only the non-mandatory portion of your pension fund can be withdrawn. The mandatory portion stays locked or is transferred to a vested benefits account.

Vested Benefits Solution

If your pension fund money goes into a vested benefits account, and you’re moving to an EU/EFTA country, you can only withdraw it at the earliest 5 years before retirement age (at age 60).

Good to know: Your money continues to earn interest, but rates and fees vary—so it’s worth comparing providers.

Pillar 3a

With pillar 3a, you’ve got two options: keep your account in Switzerland or withdraw the funds. If you cash out while still a Swiss resident, you’ll pay capital withdrawal tax. If you withdraw the money after leaving, you’ll face withholding tax and possibly additional tax in your new country of residence.

Do the math. Compare Swiss capital tax with withholding + foreign taxes to decide if it's better to cash out before or after your move.

Important: You don’t have to withdraw your pillar 3a or 2nd pillar assets right away. You can access them at retirement age, especially if you’re staying within the EU/EFTA.

Contributions to pillar 3a from abroad are technically possible, but no longer tax-efficient. You're better off investing freely or using a local retirement product.

Tax implications of leaving Switzerland

Moving abroad has tax consequences. Apart from deregistering, look into:

• What taxes you’ll face in your new country, especially on retirement assets
• What needs to be settled in Switzerland before you go.
  

Each case is different, but here’s what to think about:

• Keeping your 2nd pillar in Switzerland? Choose your vested benefits provider wisely.
• Moving to a non-EU/EFTA country? You can withdraw everything—but check for foreign tax.
• What about your pillar 3a? Again, compare capital tax vs. withholding + foreign taxes.

Note: Many countries allow you to reclaim the Swiss withholding tax. But check your new country’s double taxation agreement for any added liabilities.

For complex cases, consult a tax specialist familiar with both countries.

My recommendations as a certified financial planner

A move abroad should be carefully planned - especially financially. That way, you’ll avoid headaches and paperwork later on.

Leaving Switzerland is also a great opportunity to restructure your finances, but do it with a plan. That’s the only way to avoid double taxation and future gaps in your retirement planning.

Summary: Leaving Switzerland and managing your retirement assets

Leaving Switzerland is an exciting step, but also one that comes with important financial decisions. From managing your AHV and pension fund to deciding when to withdraw your pillar 3a, each choice can have lasting tax and retirement implications. With proper planning and the right advice, you can avoid costly mistakes and ensure your financial future remains secure - wherever life takes you.

Ready to take the next step with clarity and confidence? Start planning today.

FAQs: Leaving Switzerland

Do I need to notify the AHV office?

Yes! You must inform your cantonal AHV office or the SAK.

Can I keep contributing to AHV?

Yes, in some cases - like temporary relocation or Swiss employment.

Can I keep my pension fund in Switzerland?

Yes—it’s moved to a vested benefits account. You can access it 5 years before retirement or convert it into a monthly pension.

Where do I pay taxes on pension payouts?

You’ll pay withholding tax in Switzerland and possibly local tax abroad.

What happens to my pillar 3a?

You can keep it or withdraw it. If you cash out in Switzerland, you pay capital tax. If you withdraw from abroad, it’s withholding tax + local taxes.