The BVG defines the mandatory affiliation of employees to a pension fund as well as the minimum benefits it must provide. Mandatory insurance covers salaries between the entry threshold and the upper limit of 22’050 to 88’200 Swiss francs (as of 2023). There are extra-mandatory institutions that provide additional benefits that go beyond the BVG mandatory benefits. These are referred to as extra-mandatory pension plans or, rarely, Pillar 2b. Pension plans that include both mandatory and extra-mandatory benefits are referred to as enveloping.