Salary exchange – exchange salary for a pension provision

This offer extends to all employees at Uppsala university, who work more than 20 % and has the salary paid by the university.

Employees born in 1988 or later could exchange salary from the first day of employment and to the end of the month when the employee reaches the age of 67.

Employees born in 1987 or earlier are normally able to exchange salary from the first day of employment up to and including the calendar month before the month the employee reaches the age of 65. For those who so wish, a new individual agreement can then be made, with corresponding application. The agreement then applies from the month you turn 65 years as long as employment continues, however, up to and including the calendar month before the employee turns 67 years.

A change in the gross salary may affect other benefits and allowances. Therefore, you are advised to carefully consider making an exchange if your salary after the salary exchange is lower than the amount limits following.

Public pension

The limit for earning a public pension is 8.07 income base amounts, SEK 49,967 per month in 2023 ( SEK 47,748 in 2022).

Parental allowance

Sickness benefit qualifying income (SGI) for the payment of parental allowance is affected by a salary below 10 price base amounts, SEK 43,750 per month in 2023 (SEK 40,250 in 2022).

Sickness benefit

Sickness benefit will be lower for those who, after voluntary pension provision through salary exchange, receive a salary below 10 price base amounts, SEK 43,750 per month in 2023 (SEK 40,250 in 2022).

Unemployment fund and sickness compensation

Compensation from unemployment funds and sickness compensation might also be reduced if you make a salary exchange.

An individual agreement could be made at any time during a calendar year and normally takes effect the month after the agreement is reached. Uppsala University then transfers the monthly agreed amount to the National Government Employee Pensions Board (SPV), which is responsible for transferring money from one insurer to another according to the employee's wishes.

When you have decided on a salary change, an individual agreement is signed between Uppsala University and you. On behalf of the employer, the agreement is signed by the prefect / equivalent. Agreement on salary exchange is made in Primula webb under the menu option My page, 14. Salary exchange and the form Salary exchange.

As of 1 April 2020 agreements on salary exchange are made in Primula webb. Previously made agreements will continue as agreed and will not be affected by this change in routine. Should you wish to terminate an exchange or change the amount, then you do so in Primula.

You may exchange an optional amount, at least SEK 500, a maximum of 35% of your gross income. Salary exchanges can only be made on future benefits. The salary exchange will begin the month after the agreement is signed. Uppsala University Uppsala University then transfers the monthly agreed amount to SPV.

The amount is invested in the selectable part of your occupational pension, according to the pension agreement PA16. Within the selectable part, the employee can choose manager of the funds. If you do not make your own choice, the amount is invested in traditional insurance without repayment protection at Kåpan Pensioner (Kåpan Valbar). See SPV's information at www.spv.se.

In the event of a change of employment within Uppsala University, the agreement on salary exchange follows unless otherwise is agreed.

Example of how it works practically

You have a monthly salary of SEK 46,000 and in June you choose to exchange SEK 2,000 beginning July 1st. The deduction from the salary is enforced on the July monthly salary. In July, Uppsala University pays the agreed SEK 2,000 to the occupational pension. You are taxed for the reduced gross salary SEK 44,000 (SEK 46,000 - SEK 2000), which gives you a lower income tax.

If you wish to change the amount of the salary exchange, a new individual agreement must be signed. The new agreement automatically replaces the previous agreement. Agreement on salary exchange is made in Primula webb under the menu option My page, 14. Salary exchange and the form Salary exchange.

Salary exchanges can only take place if there are prerequisites for being able to make salary deductions for the amount to be exchanged for occupational pension. The reason why full salary deductions cannot be made can be, for example, parental leave, leave of absence or sick leave.

The agreement shall cease to apply:

• at your request during employment, the notice period is three months
• if you are on full leave without pay
• if your employment at Uppsala University ends
• at the employer's request for tax rules, other legislation or other conditions change

You have a responsibility to find out how the agreement affects the current salary. Special attention should be paid to this in connection with illness. As a result, an agreement can be terminated at the next monthly change in terms of illness.

If an agreed exchange of wages ceases to apply, for whatever reason, you must sign a new agreement for the exchange of salary in order to make it valid again.

The agreement is normally valid until further notice and with a mutual notice period of three months. This means that both the employer and the employee can terminate an individual agreement. The termination must be in writing and takes place in Primula web under the menu item My page, 14. salary exchange to pension.