Swedish pensioners’ income amounts to 82% of working-age income

Swedish pensioners’ income in retirement amounts to 82 per cent of the income earned by the working-age population, according to the Swedish Pensions Agency.

The report by the Swedish Pensions Agency found that the living conditions of Swedish pensioners are “generally good” in relation to the rest of the population. When the composition of the total household income after tax is taken into account, pensioners have 82 per cent of the economic standard for the population aged 20 to 64.

“The report broadens our picture of pensioners' finances. If you take into account the number of people in the household and calculate income after tax from salary, pension, allowance and capital, the pensioner is on average quite well compared to the rest of the population,” Swedish Pensions Agency analyst, Erik Ferm, said.

Other studies that have examined pensioners' views on their finances show that they worry much less about their finances compared to those who work, a finding that strengthens the picture that emerges from the report.

However, the Swedish Pensions Agency stressed that its assessment does not mean that the financial situation of all pensioners is good. Older single pensioners have the worst finances, a group with a predominant proportion of women. The economic standard among single women over the age of 80 is on average about half the standard of the population aged 20 to 64.

“Those who live with someone usually achieve better purchasing power by often sharing, for example, the rent, newspaper subscription or purchase of furniture, which provides a better financial standard. In addition, there are seven times more single women aged 80 or older than single men of the same age. In other words, significantly more women experience the disadvantages of living alone,” Swedish Pensions Agency analyst, Linnea Wikmark Kreuger, said.

    Share Story:

Recent Stories


An overview of growth investing
European Pensions Editor, Natalie Tuck, speaks to American Century Investments (ACI), Vice President, Senior Client Portfolio Manager, Kevin Lewis on growth investing.

They discuss how it has performed in 2021, and its outlook, going forward. They also cover ACI’s differentiated growth approach to the investment universe, and how this capitalises on market inefficiencies, as well as how ACI’s team is equipped to invest in this manner.
Podcast: The benefits of private equity in pension fund portfolios
The outbreak of the Covid-19 pandemic, in which stock markets have seen increased volatility, combined with global low interest rates has led to alternative asset classes rising in popularity. Private equity is one of the top runners in this category, and for good reason.

In this podcast, Munich Private Equity Partners Managing Director, Christopher Bär, chats to European Pensions Editor, Natalie Tuck, about the benefits private equity investments can bring to pension fund portfolios and the best approach to take.


Podcast - The power of three: Using Common Contractual Funds to improve tax outcomes for investors
Large asset owners are still investing in equities in a way where they are taxed on their income. The implication is that they get a poorer return. They need to, and can, improve this, but how?

In this podcast, AMX Head of Client and Manager Development, Aaron Overy, and AMX Product Tax Specialist, Kevin Duggan, discuss with European Pensions Editor, Natalie Tuck, about three options to help ensure good withholding tax outcomes for institutional investors.

Mitigating risk
BNP Paribas Asset Management’s head of pension solutions, Julien Halfon, discusses equity hedging with Laura Blows