Sickness benefit qualifying income
The amount of compensation issued for illness or parental leave is based on your annual income. This qualifying amount which is calculated by the Social Insurance Agency is called SGI (short for “sjukpenninggrundande inkomst” in Swedish).
The Social Insurance Agency calculates your SGI. If you do not have an SGI, you might receive less financial support in case of parental leave or might not be eligible for any compensation at all in case of sickness. Therefore, it is important that you keep track of your SGI.
To be entitled to an SGI, you have to be covered by the Swedish social insurance. You have to also fulfil the following criteria:
- work in Sweden
- have an income from work that is expected to last for at least six consecutive months, or have periods of work that recur each year.
- earn at least SEK 11,500 per year (applicable for year 2022)
There are several factors that can affect your SGI, for instance, if:
- you are a job seeker
- you are planning to study
- you are going on parental leave
- you have your own company.
How SGI is calculated
If you receive the same salary every month, your SGI usually is the same amount as your monthly salary multiplicated by 12. If you do not have the same salary every month, calculations are usually based on the income you had before you apply for the allowance.
Income covered in the SGI can include:
- your salary before tax
- inconvenient working hours supplement
- overtime compensation
Ceilings for SGI
There are ceilings which determine the maximum amount of SGI. It means that if your annual income is higher than the ceiling, you will not receive 80 percent of your entire income. Instead you may be entitled to a maximum of 80 percent of your SGI. These ceilings depend on the type of compensation.
These are relevant SGI ceilings for 2022:
- SEK 483,000 in parental benefit
- SEK 362,000 in compensation for care of a child and 10 days in connection with the birth of your child
- SEK 483,000 in compensation for sickness benefit.
No previous employment or income
Since SGI is calculated on income you are not entitled to an SGI if you have never worked. It means that you are not entitled to compensation from the Social Insurance Agency if you for instance fall ill.
Parental allowance with no SGI
You are eligible for compensation during parental leave regardless if you are entitled to an SGI or not. If you are not entitled to an SGI, you will receive SEK 250 per day. If you are entitled to an SGI, the compensation is based on it.
Secure your SGI
If you stop working or reduce your working hours, you may no longer be entitled to your previous SGI.
However, if you secure your SGI you may still be entitled to your previous SGI even if you do not have an income or have a lower income. Your SGI can be covered for three months from the last day you worked.
After that it may still be guaranteed if you have done any of the following:
- registered as a job seeker at the Public Employment Service (Arbetsförmedlingen) and are actively seeking employment
- study (at least part-time) in a programme that entitles you to student aid according to CSN
- study in your professional field
- have been on sick leave and received sickness benefit
- have been on parental leave (if your child is under 1 year old)
- have been on parental leave and received parental allowance for the time you did not work (if your child has reached the age of 1)
- participate in a labour market training and receive an activity support, development allowance or introduction benefit.
- receive monthly financial support for studies, internships or such through agreements from Trygghetsråden.
Keep in mind that in case you interrupt the activities listed above under the time you do not work the Social Insurance Agency may decide that you are no longer entitled to SGI.
If you have worked in another country within the EU/EEA or Switzerland before and stopped working there to start working in Sweden, you could be credited for that period and entitled to a secured SGI.