Work & family · General financial education

Pillars of retirement as an idea

Many countries describe retirement income in three pillars: state, workplace and private. That is a structural idea, not a ranking, not a product list, and not a recommendation of how you should mix the pillars.

In more detail

The pillar idea only helps you sort sources. Entitlements, duties and incentives depend on the jurisdiction. Germany, the United Kingdom and Switzerland use similar words for very different systems. The concrete rules live in country packs, not in a translation of this module.

Background

Typical mappings are orientation only: DE statutory pension / bAV / private; UK State Pension / workplace pension / personal pension; CH AHV / BVG / pillar 3. Changing the app language does not change jurisdiction. Finmon does not calculate a pension gap and does not port German rules into the UK or the other way around.

An example

You read the app in English and work in Germany. “Three pillars” is still only the idea: German statutory pension rules belong in the DE pack, not on a UK State Pension page.

A common misconception

Three pillars means the same products and rates everywhere.

It is a sorting idea. State, workplace and private follow each country’s own law.

Source: OECD · Pensions at a Glance. Version 0.2.0. Finmon explains. It does not advise. Not investment, tax or legal advice.