A total of 18.5 percent of your annual salary is paid into your state pension account, which is managed by the Swedish Pensions Agency.
Sixteen percent goes into your income pension account, which for the average Swede is about SEK 32,000. You have no discretion over how this part of your pension is invested. Income pensions are indexed in line with consumer price and wage inflation.
The other 2.5 percent of your salary goes into your premium pension account and for the average person is about SEK 5,500. If you wish, you can decide how this money is invested.
Everyone who has lived and worked in Sweden receives a state pension. Amounts are based on your total taxable income, which includes allowances such as unemployment benefit, sickness and social security benefit and parental benefit.
Parts of the state pension, such as the guarantee pension for people with no or low earnings, are not income-based.
