Expert Insights: Benefits of Extending Your Working Years

The proposal from the pension group means approximately 100 kronor extra per month for those who have a pension of 15,000 kronor per month. If you have a higher pension, it can be more, says Martin Björgell, pension expert at Handelsbanken.

» Published: August 26 2025 at 13:11

Expert Insights: Benefits of Extending Your Working Years
Photo: Fredrik Sandberg/TT

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The pension system already has a brake, which means that the general pensions are not increased at all or that they are increased less than the wages if there is a deficit in the system.

Now, the Riksdag's parties propose that it should also have a gas.

It will be the opposite of the brake, when there are greater assets than liabilities, the indexation of the income pension is strengthened, says Martin Björgell.

Percentual increase

The indexation is the increase that occurs in the pensions at the turn of the year every year.

With today's surplus in the system, the gas corresponds to around 100 kronor extra per month for someone with a pension of 15,000 kronor per month.

It is a pension level that almost everyone reaches. If you have a higher pension, it can be more since the increase is percentual, says Martin Björgell.

The average pension for general pension is today 16,400 kronor before tax.

Greater responsibility

Martin Björgell thinks that the new proposal follows a number of other changes in recent years that together mean that the individual has greater responsibility for their own pension.

One can achieve a higher pension with one's own choices, he says.

It is about working as much and as long as possible.

One benefits from having a long working life and from following the retirement age for pension, or working longer than that.

It is what affects the pension the most in combination with having an occupational pension from the job.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers
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