How big is the pension gap for part-time workers in Switzerland?

The pension gap for part-time workers depends on work level, salary, and duration. A typical 3-year career break followed by 60% employment costs approximately CHF 130,000 in pension fund assets compared to an uninterrupted full-time career. The coordination deduction of CHF 25,725 is not adjusted to work level, disproportionately penalising part-time workers.

How can I close my pension gap in Switzerland?

You can close your pension gap with three levers: 1) Max out pillar 3a every year (CHF 7,258/year, invested not in a savings account), 2) Voluntary pension fund buy-ins after a career break (fully tax-deductible), 3) Start your own savings plan with tax-free capital gains. Together, these measures can close a gap of CHF 100,000+ within 10–15 years.

What does a career break cost in pension fund assets?

A 3-year career break costs approximately CHF 60,000–90,000 in pension fund assets. This includes missed employer and employee contributions, lost compound interest to retirement, missed 3a contributions, and lost tax savings. A 5-year break followed by 60% employment can result in a gap exceeding CHF 200,000.

What is the coordination deduction and why does it penalise part-time workers?

The coordination deduction (currently CHF 25,725) is subtracted from gross salary before the pension fund calculates the insured salary. It is not adjusted to work level. At 100% (CHF 90,000 salary), 71% of your salary is insured. At 50% (CHF 45,000), only 43%. This means part-time workers not only earn less, but a proportionally smaller share of their income is insured in the pension fund.

Pension Gap Calculator: What Do Part-Time Work and Career Breaks Really Cost?

Thierry

February 26, 2026 3 min read

arvy Pension Calculator

Pension Gap Calculator: What Do Part-Time Work and Career Breaks Really Cost?

Enter your situation — the calculator shows your personal gap and a concrete catch-up plan.

Gross salary (100%)

Your annual gross income at a 100% workload. The higher your salary, the larger the gap at part-time — because the coordination deduction (CHF 25,725) is fixed. → Budget Calculator

CHF 50,000CHF 200,000

Work level after break

Your work level after the career break. The coordination deduction (CHF 25,725) is NOT adjusted to your work level. At 60% and CHF 90,000 salary, only CHF 28,275 is insured vs. CHF 64,275 at 100%. This is the biggest trap in the system. → Glossary: Pension Fund

20%100%

Years of career break

Years without earned income = no pension fund contributions, no 3a deposits, no compound interest. 3 years of break cost significantly more than just 3 years of contributions due to lost compound interest.

010 years

Current age

The younger you are, the more time you have for the catch-up plan — and the stronger the compound effect. But even at 45+, it's never too late: pension fund buy-ins and 3a are effective at any age.

2555

Canton

Your Pension Gap

Your Catch-Up Plan

Close your gap. Now.

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⚠ Simplified estimate. Not financial, tax, or pension advice. Values are approximate and vary by pension fund regulations, canton, and personal situation. For binding calculations: contact your pension fund. arvy is a FINMA-regulated asset manager.

What Is the Pension Gap — and Why Does It Affect You?

The pension gap (also called the "Gender Pension Gap") describes the difference between the retirement income you'd receive with an uninterrupted full-time career — and what you actually get. In Switzerland, women receive on average 37% less pension than men. The main reason: the pension system is designed for uninterrupted 100% employment histories.

Three factors widen the gap significantly: part-time work (the coordination deduction of CHF 25,725 is not adjusted to your employment level, penalising lower work percentages disproportionately), career breaks (no earned income = no pension fund contributions, no 3a deposits, no compound interest), and lower salaries (less salary = fewer contributions = less pension, compounded across decades).

How the Calculator Works

The pension gap calculator uses your personal inputs (salary, work level, break duration, age, canton) to calculate how large your gap in the pension fund and pillar 3a will be by retirement — including the lost compound interest. It then shows you a concrete catch-up plan with three levers: max out your 3a, staggered pension fund buy-ins, and your own savings plan with tax-free capital gains.

The calculation accounts for the current coordination deduction (CHF 25,725), BVG contribution rates, cantonal marginal tax rates for tax savings, and different return expectations for pension fund assets (2%) vs. freely invested assets (6%).

How to Close the Gap

The good news: with three concrete actions you can actively close the pension gap. Pillar 3a gives you CHF 7,258/year in tax-advantaged capital building plus CHF 2,000–2,500 in annual tax savings. Pension fund buy-ins after a career break are fully tax-deductible. And your own savings plan (with Switzerland's tax-free capital gains) gives you maximum flexibility and independence.

→ The Pension Gap: Why Women in Switzerland Receive CHF 100,000 Less in Retirement
→ Part-Time, Kids, Career Break: What 5 Years Without a Pension Fund Really Costs