The “dependent fund” is encouraged by the government through fiscal gifts. The employees and the self-employed can deduce the contributions paid for “dependant funding” from the income subject to national, cantonal and local taxes.

Since 1999, the amount of the contributions is limited to (annual):

• Sfrs. 6365.- for employees and self-employed affiliated to a contingency fund.
•  20 % of the income, but no more than Sfrs. 31824.- for employees and self-employed no 
  affiliated to a  2nd category contingency fund.
  Dependent funding is only possible for the people having a job.

You can sign up for dependent funding with an insurance company through a special contract including benefits after retirement and in case of death or disability. Banks propose a “dependant funding convention”, which is a saving contract to which a contingency funding option can be added.

In the event of death the beneficiaries would be: the spouse, direct descendants and those financially supported by the deceased, the relatives, brothers and sisters and other heirs. The contract-holder can change this order, following some restrictions though.

The retirement benefits can be received 5 years at the earliest before the policy-holder turns 64 for a woman or 65 for a man.