Pensions are an essential benefit for most employees, as a pension will offer security in retirement in addition to other personal savings.  If you are hiring employees in Sweden you will find a range of pension programs and benefits, some of which are mandatory while others are optional.

What are the different types of pensions in Sweden?

Public Pension

Every worker in Sweden will have a public pension, which will be calculated based on taxable income, and contributed through payroll. 

• Income contribution: 16% of pensionable income and taxable benefits
• Premium contribution: 2.5% of pensionable income and benefits

The employee can choose the type of fund the pension is placed in for the premium portion, otherwise, the fund will be selected for them.  Contributions are subject to an average income maximum which changes each year, based on 7.5 times the income base amount.

Occupational Pension

As an employer, the other type of pension to be aware of is... read more

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