Salary exchange (Retirement Plan Contribution)

For those who are permanently employed at the Karolinska Institute there is the possibility to enroll in the Salary Exchange program and thereby have KI contribute to your retirement plan. The salary exchange is available from the age of 23 and at the latest up to and including the month before you turn 67. The plan involves a deduction on your gross salary by any amount that is then placed in your retirement savings.

You choose the amount to be deducted, but there is an upper and lower limit of the amount. Salary exchange is favorably as it means the gross salary will be lower, which means that the tax paid by the employee is reduced and employer contributions are also reduced.

If your monthly salary is below the limit for earning a public pension (49 967 per month for 2023) the salary reduction is not always beneficial, since it results that the state pension will be lower.

Please make sure you have read Rules and regulations for salary exchange at Karolinska Institutet before your enroll.