Calculation of a community pension – Loan and credit
The international agreements provide for the coordination of the pension plans of the European Union and Switzerland and make it possible to benefit from a community pension when it is more favorable to the national pension.
Request the liquidation of rights
You must file your application with the services of the country of residence at the time of retirement. If you live in France, the French Social Security will get in touch with the Swiss services.
The legal age of departure is that of the country that liquidates the rights. Thus, if you are a French national, you will be able to assert your rights to the French and Swiss retirement at the age of 62 (except provisions allowing anticipated for long careers). The basic principle is simple. Each state pays a pension according to the contributions paid to it.
Calculation of rights
We take the example of a retired Swiss border worker who keeps his main residence in France. The French credit union will calculate the amount of the pension by performing a double calculation:
- Calculation of a national pension without taking into account the career in Switzerland.
- Calculation of a community pension. The result to pay the most favorable pension will be retained.
The pension is calculated solely on the basis of the contributions made in France and according to the French laws according to the following formula:
The “community” pension
Its calculation is done in two stages:
- Calculation of the “theoretical overall pension”
- Calculation of the pro-rated pension
The “theoretical global pension”
The pension is first calculated as if the entire career had been carried out in France, taking into account the quarters acquired by the payment of contributions to all French and Swiss plans. Article R 173-4-3 of the Social Security Code specifies the mechanisms for prorating the average annual salary (SAM).
Example : a frontier worker seeks the liquidation of his Swiss and French retirement, his career being established as follows: 166 quarters of contributions of which 88 in France and 80 in Switzerland. Social Security will calculate the Average Annual Salary as follows: