Moving to another country

  • Can I get a refund of paid-in contributions if I leave the fund?

    No, refunding contributions to Icelandic citizens is not permitted, whether they are in coinsurance funds or are additional pension savings.

    Earned rights are preserved for the fund or funds you have paid into. When the time comes for pension payments, you must apply for them.

    When foreign nationals leave Iceland, they may be entitled to a refund of their contributions, providing they are nationals of countries outside the European Economic Area (EEA) and BNA and are moving permanently.

  • Can I lose rights by moving from one country to the other?

    The right to the so-called extrapolated calculation of a disability pension is cancelled one year after such a move, in addition to a child allowance. In the event a fund member has obtained the right to extrapolated calculation upon moving away from Iceland, it will take six months to reinstate such rights after restarting contributions.

  • If I work in another country, am I obliged to pay into a pension fund there?

    This depends on the laws and regulations in the relevant countries. It is important to acquaint yourself well with the rules of the country where you live, and whether it may be necessary to obtain additional insurance.

  • What happens when I stop paying into a pension fund in Iceland, e.g., because of studies or residence in another country?

    You keep earned rights, but you lose the right to extrapolated calculation of a disability pension. It may therefore be advisable to consider additional insurance.


  • If I work in another country, can I elect to pay into an Icelandic pension fund?

    This is possible, but because of tax rules, it generally does not generally pay to make contributions to a pension fund in Iceland while living in another country. In Iceland, you can deduct contributions from taxes, and you then pay income tax on withdrawals from a pension fund. There is therefore a certain risk of double taxation.