The Federal Council decided to increase the LOB minimum interest rate from 1.00% to 1.25% as of 1st january 2024. The minimum interest rate determines the minimum percentage of interest that pension funds must pay on the mandatory portion of insured persons’ retirement assets. You can find the detailed press release here.

The threshold amounts for mandatory occupational pension provision will remain unchanged as of 1 January 2024. Here you will find an overview of the amounts applicable from 1 January 2024 from the Federal Social Insurance Office FSIO.

LOB Guarantee Fund

Contributions to the Guarantee Fund are levied for all pension schemes subject to the Vested Benefits Act. The contribution rates for 2024 have been set as follows

• 0.13% (previous year: 0.12%) of the pro rata coordinated salaries in accordance with the BVG for contributions due to an unfavourable age structure.
• 0.002% (previous year: 0.002%) of the regulatory termination benefits and the amount of pensions from the operating account multiplied by 10.

You can find more information on the BVG 2nd Pillar Guarantee Fund here.