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Why retirement plan?

How much pension will you receive at the end of your working life?
Even those who think they know what they have available often forget some decisive factors.

The three-pillar model should provide Austrians with robust security in their retirement. Since pillar no. one is becoming weaker and weaker and pillar no. two is a quite rare thing to have, pillar no. three will play a decisive role now and in the future.

In practice, most people in Austria will only be able to sustainably close financial gaps in old age by additionally arranging for retirement plan.

In an extensive meeting we analyse and elaborate a private pension and security plan for your family according to your personal needs, goals, and wishes.

As part of a detailed financial analysis your personal provisional pension can already be calculated. With a private pension you create a financial basis for your retirement and thus prevent the loss of earnings. After all, it’s about your well deserved sunset years after a long working life.

A 25-year comparison of the real value development of shares
and fixed-term deposits with an investment amount of EUR 100,000

Source: 3M-Euribor, MSCI World, inflation rate provided by Statistics Austria

If you are concerned about your retirement provision you should definitely take your life expectancy into account. Fortunately, life expectancy is constantly increasing. Those who were born in Austria in 2000 will live an average of five years longer than the 1950 generation. The flip side of the coin: those who do not want to retire later and maintain a certain standard of living have to save enough capital.

The devaluation of money due to inflation, an important factor in retirement planning, is often neglected in the planning process. This has a signifiant impact on your wealth over the years. If the inflation rate over the next 30 years is only two percent a year on average, which is a realistic assumption, purchasing power will drop from 1,000 to just 552 Euros.

Those who start private retirement provision early can let compound interests work for them. As the profits generated yield a return themselves, wealth increases exponentially, not linearly – an effect that is particularly noticeable in long-term investments.