The fact that we live longer also means that we need to receive a pension for a longer period of time. It also means that we are expected to work longer.
In order to counteract the fact that the pension becomes lower when the average life expectancy increases, the Riksdag has decided to raise the retirement age by introducing a so-called reference age.
– It is a retirement age adapted to life expectancy. Which you should hang on to and work towards to compensate for the pension payments to last longer, says Agneta Claessoninformant The Pensions Authority to News24 and continues:
– 65 years is a big blur, now you have to work after the target age.
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Agneta Claesson, informant Pensionsmyndigheten. Reference age applies from 2026
The target age will be introduced in 2026 and will then be 67. The minimum age for drawing a general pension is three years before the target age, that is, from age 64 at the earliest when the target age is 67.
Anyone who retires before the target age can count on a lower pension. This is partly because you earn money over fewer years, and partly because it must be paid out over more years.
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Do you know your legal age? Photo: Pontus Lundahl/TT This is how the 66-year rule affects your guaranteed pension
But there is another pitfall for those who retire early and who have a guaranteed pension, the so-called 66-year rule.
It means that when the guarantee pension is calculated, it is done as if you took out a pension when you were 66 – regardless of how old you are. This makes the amount of income in the calculation higher, which in turn gives a lower guaranteed pension.
So how much less money will that be?
In a report from SPF Seniors examples have been made of people born in 1958, who had a final salary of 30,000, 34,000 and 38,000 kroner – and who worked for 40 years.
If pension withdrawals are made at the age of 63, 64 or 65, the 66-year rule means that the total loss over 20 years will be between SEK 75,000 and 212,000.
This means a difference of between SEK 300 and SEK 900 less in pension per month, for life.
Example for a person born in 1958
Who works until 66 with a final salary of SEK 30,000:
Total pension before tax: 20,356/month
Of which guaranteed pension: 2,186
Who stops working at 63 (in brackets: without the 66-year rule):
Total pension before tax: 18,144 (19,088)
Of which guaranteed pension: 2,133 (3,077)
Difference: SEK 944 (703 after tax).
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