13th AVS payment, generational pact fund created

Context

In brief

• Over 86 thousand beneficiaries in Ticino
• More than CHF 140 million additional
• Voluntary donation, total or partial
• Fund dedicated to young Ticino residents

Key Facts

• Benefit: thirteenth AHV
• When: next December
• Beneficiaries in Ticino: over 86 thousand
• Additional resources: more than CHF 140 million
• Destination: projects for young Ticino residents

The proposal was born around the thirteenth

The thirteenth AHV scheduled for next December will affect more than 86 thousand beneficiaries in Ticino and will bring more than 140 million additional francs to the territory. The Generational Pact Fund is grafted onto this new month's salary, designed to collect the sums that some pensioners will choose to allocate, in whole or in part, to the younger generations.

This is not an imposed levy. The idea of the promoters is to offer those who do not need the additional month's salary a philanthropic choice: to transform it, in whole or only in part, into a resource for initiatives aimed at young people. The project was initiated by Marco Netzer, initiator of the initiative and former president of the AHV/IV/EO compensation funds.

The promoters present it as a voluntary movement of solidarity in the opposite direction: from pensioners to young people, alongside the generational pact that supports the AHV.

"The AHV has always been based on a generational pact: those who work finance the pensions of those who are retired. We want to allow those who want to do so to make solidarity flow in the opposite direction, from pensioners to young people," explains Marco Netzer.

From the individual beneficiary to the projects

The fund does not provide for direct disbursements to individual young people. The resources will be made available to institutions and associations that will present projects aimed at young Ticino residents. The objective indicated by the promoters is to support initiatives capable of responding to concrete needs and offering growth, training and experience that would otherwise not be accessible.

The proposals will be selected by an independent committee, an expression of civil society. The criteria will have to ensure that the donations are used for the benefit of the community. The coordinator of the fund, Giorgio Panzera, specified that the resources are used to give skills to young people before the age of 30. Operational management will take place with the support of the Mantello Filantropia Foundation. The project, therefore, does not change the functioning of the AHV: it adds a voluntary possibility of solidarity, without automatically transferring the thirteenth month to individual recipients.

For those who want to distinguish this initiative from other forms of social security, the guida sulla rendita AVS is available.

Operational details

What changes, and what doesn't, for those who work across borders

The news should be read as an additional option, not as a change in the benefit. The thirteenth month is described as a monthly payment intended for AHV beneficiaries; the Fund is created only for those who decide to give up all or part of it. This distinction is the first practical element: the source does not reveal a generalized deduction, nor an automatic transfer of money to a project. The gesture is not presented as a new item to be applied to beneficiaries, but as an individual decision on the destination of the month's salary.

For a cross-border commuter, the link with the announcement is therefore limited to the AHV topic. The text does not describe effects on G permit, BVG, KVG, rebates, withholding tax, INPS or double taxation. These are issues that are not associated with the Generational Pact Fund in the available news; including them would mean attributing consequences to the project that the source does not indicate.

The difference between individual and collective support

The model chosen by the promoters also changes the destination of the sum. There is no direct payment to the individual young person. Instead, the resources pass through institutions and associations, which propose projects for young Ticino residents. The final choice is up to an independent committee representing civil society, with criteria oriented towards the benefit of the community.

This mechanism makes the donation different from directly assigned aid: the result will depend on the projects presented and the evaluations of the committee. The source does not indicate which entities will be able to apply, what documents they will have to produce or with what timetable the proposals will be examined. It does not even quantify the share that each pensioner will be able to donate. The only declared perimeter is the voluntary nature of the choice and the goal of offering skills before the age of 30.

The fund will also have an annual cycle: it will be emptied at the end of each year and will be filled again with a new round of donations in the following year. This scan links the donation to a renewable cycle, not to a permanent payment described by the source. To follow the pension topic without confusing different plans, you can consult the guida su AVS e rendita.

Useful planning tools

To estimate your pension strategy, use the pension planner and the pillar 3 simulator.

Key points

An operational track based on available data

Those who receive the thirteenth AHV and intend to evaluate the donation can follow the few steps that the source makes verifiable. First: consider the monthly salary scheduled for next December as the origin of the sum. Second: decide whether to donate the entire amount or only a part, because both options are contemplated. Third: consider that the final destination will not be a single young person, but a project presented by an institution or an association for young Ticino residents.

The fourth step concerns the nature of the choice: the Generational Pact Fund is described as a voluntary and philanthropic gesture and does not change the functioning of the AHV. The source therefore does not describe a new pension procedure or an obligation for beneficiaries. The source, on the other hand, does not specify the channel for making the devolution, the forms, the coordinates, any operational deadlines or the required documents. Inventing them would make the distinction between what has been announced and what has not yet been described less clear.

How to read the destination of the donation

For those who want to understand the outcome of their choice, the points to be verified are already delimited: the project must come from an institution or an association; it must be aimed at young Ticino residents; the selection is up to an independent committee of civil society; the goal is to respond to concrete needs and offer growth, training and experience. The resources, according to coordinator Giorgio Panzera, must give skills to young people before the age of 30.

The calendar has a precise characteristic: the fund will be emptied at the end of each year and will be fed by a new cycle of donations the following year. The choice of the donor must therefore be read within this annual cycle, without turning it into a promise of individual disbursement. Operational management with the support of the Umbrella Philanthropy Foundation is also part of the structure described.

To learn more about retirement provision, consult the guida sulla rendita AVS. If you want to combine this reading with a tool for your economic situation, use the calcolatore dello stipendio.

Source: ticinonews.ch