Sweden’s social security system

Sweden has a social security system to ensure that people who live here have enough money regardless of how their life situation looks.

Study

If you are going to study in Sweden, you can apply for study support to be able to pay your costs. You can get a study grant that varies depending on your age and you can also take a student loan. It is the National Board of Student Aid (Centrala studiestödsnämnden, CSN) that administers study support.

CSN

Courses and studies

Holidays

In Sweden, all employees are entitled to 25 days’ holiday a year regardless of age and form of employment. A distinction is made between the right to leave and the right to receive payment. Depending on when during the year you begin your employment, your payment is adjusted during your holiday. You can thus be free without being paid. Holidays exist for you to be able to rest and recover.

Verksamt - about holidays

Riksdagen - about the Holiday Act

Leave of absence – leave without pay

You can apply for leave of absence from your work to take time off and do something else. Perhaps you wish to study, try a different job, start your own business or take care of a close relative. After a leave of absence, you have the right to return to your work with the same conditions as before.

Check with your employer or your trade union to find out what applies in your case if you wish to take leave of absence.

If you fall sick

If you work and become sick, you must notify your employer. The first day you are sick is called a qualifying day and you receive no payment. For sic days 2 to 14, your employer pays you sick pay. Sick pay is 80 per cent of your wages/salary. If you are sick for more than 14 days, Försäkringskassan takes over payment of your sick pay.

Försäkringskassan - sick

Parental leave

As a new parent you have the right to be at home with your child until he or she is one and a half years old. Your benefit while you are on parental leave is called “föräldrapenning” (parental allowance) and is paid to you by Försäkringskassan. The amount you receive is based on your wages/salary and any benefits from your employer. Parental insurance applies to both mothers and fathers. Three months are reserved for each parent.

Försäkringskassan - Parent

Remember

Your future pension will be affected by how much parental leave you take since it is based on how much you have earned during your working life.

The Swedish Pensions Agency – What affects your pension?

If your child falls sick

If your child becomes ill, you are entitled to leave from work on temporary parental allowance until your child turns 12. The amount of benefit is about 80 per cent of your income. In everyday language this is called VAB (vård av barn). Both mothers and dads have the right to be on leave to care for children.

Försäkringskassan - care of children (VAB)

Unemployed with unemployment benefit (a-kassa)

Unemployment benefit is money that you can receive when you are unemployed. In most professions there is an unemployment insurance fund. If you are a member of an unemployment insurance fund, you can receive up to 80 per cent of your previous wages/salary in benefit if you become unemployed.

Unemployment benefit from an unemployment insurance fund (a-kassa)

Pension

Pension is the money you are to live on when you stop working. Your pension is usually made up of three parts: national pension, occupational pension and any private savings. When you take parental leave, your income and your pension may be affected. National pension is a state pension which Pensionsmyndigheten (the Swedish Pensions Agency) has responsibility for. You have the right to begin drawing your national pension when you turn 61 but you can also choose to work until you are 67.

The Swedish Pensions Agency – understand your pension

Working legally and working cash-in-hand

Working cash-in-hand is illegal

If you work cash-in-hand, your employer does not pay any social security contributions for you, nor do you pay tax on your income. The Swedish Tax Agency can demand that you pay the tax you have not paid. It is illegal to work cash-in-hand and can lead to imprisonment for up to two years.

Working legally

If, on the other hand, you work, pay tax and work legally, you can enjoy all the benefits of the Swedish social security system.

The Swedish Tax Agency – consequences of working cash-in-hand

The Swedish Tax Agency – how to work legally

Do you want to work in Sweden?

Information in English about working in Sweden.

Do you want to work in Sweden?

Eures-portalen