In Sweden, there are three different base amounts that are used to be able to calculate various benefits in the public insurance system, states Fortnight.
One of them is the income base amount, which is calculated annually by the Swedish Pensions Authority and then determined by the government.
The income base amount is used, among other things, to calculate the pensionable income and the ceiling for withdrawal of general pension contribution.
But what will the income base amount land on in 2025?
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What is income base amount?
The income base amount is the calculation the authority makes, which after it has been produced must be determined by the Swedish government. The amount is used to be able to calculate the highest pensionable income and must always reflect the Swedish income trend.
According to the price comparison site Smart the calculation for the income index is based on how the Economic Institute calculates the development of income in recent years.
“The income base amount mainly affects the pensionable income (PGI). Amounts earned in excess of 7.5 times the income base amount will not be pensionable. The pensionable income mainly includes income in the form of salary and other taxable benefits such as car and board, but also fees for, for example, board assignments,” they write on the website.
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When did the government set the income base amount for 2025?
On November 13, 2024, the government announced in a press release that the income base amount for 2025 has been determined.
“The income base amount controls how much income is insured in the general old-age pension system. For 2025, that income amounts to SEK 54,167 per month,” the government wrote at the time.
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What is the income base amount in 2025?
The government’s press release explained what the income base amount for 2025 was written for.
“The income index increases from 208.41 in 2024 to 220.23 in 2025, an increase of 5.7 percent. The income index is used, among other things, for the annual enumeration of income and supplementary pensions”.
The income base amount in 2025 lands at SEK 80,600.
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