Basic (04-19)

GN 01763.010 Overview of the Icelandic Social Security System

The Icelandic social security system provides old-age retirement, disability, and survivor benefits.

The Icelandic social security system is a three-pillar social insurance scheme.

  • The first pillar system pays flat rate benefits to persons who have resided in Iceland for the required period and who do not earn more than a certain amount of income.

  • The second pillar system is a mandatory occupational pension system (similar to a 401(k) in the United States) to which employers and workers are required to contribute a certain portion of income.

  • The third pillar system is the option for employers and workers to make additional tax-deductible contributions to a pension fund on behalf of the worker.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0201763010
GN 01763.010 - Overview of the Icelandic Social Security System - 04/25/2019
Batch run: 04/25/2019
Rev:04/25/2019