If you are foreign citizen moving out of the country, you may be able to reimburse your pension fund contribution. If you are a citizen in one of the following countries you may not apply for reimbursement of pension contributions upon moving away from Iceland.
If you are not allowed to apply for reimbursement now you will have to apply through the State Social Insurance Administration in your country when the time comes for pension payments. The State Social Insurance Administration will forward the application to the corresponding government agency abroad and handle relevant communications regarding to pension payments.
You can always contact us if you have any questions in the future.
The right to the so-called extrapolated calculation of a disability pension is cancelled one year after moving, in addition to cancellation of a child's pension. 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.
In the cases where a foreign citizen has the right to apply for reimbursement, the following rules shall apply:
| Age | Payment ratio |
| 16-29 | 100% |
| 30-34 | 95% |
| 35-39 | 90% |
| 40-44 | 85% |
| 45-49 | 80% |
| 50-59 | 75% |
| 60-64 | 80% |
| 65- | 85% |
Fill you the application and return it to the fund accompanied by:
In cases where a foreign citizen has the right to repayment of contributions, the following rules shall apply:
If the period of contribution payment is less than three years, the foreign citizen shall recover both his own and his employer's contribution plus indexation calculated with reference to the consumer prices index. Repayments do not carry interest.
If the period is more than three but less than five years, thus establishing the right to a current valuation of disability benefits, the proportion of recovery shall be based on the following table of the Association of Icelandic Actuaries, where the age of the foreign citizen at the time of recovery is of main importance.
| Age | Repayment ratio |
|---|---|
| 16-29 | 100% |
| 30-34 | 95% |
| 35-39 | 90% |
| 40-44 | 85% |
| 45-49 | 80% |
| 50-59 | 75% |
| 60-64 | 80% |
| 65- | 85% |
If the period of contribution payment exceeds five years, and the contribution's amount is substantial, the repayment shall be in accordance with the assessment of the Fund's actuary.
Repayment of contributions will cancel all benefits from the Fund. An income tax is deducted from the repayment.
UK citizens are entitled to repayment of contributions made from January 1, 2021. Repayment of contributions made before January 1, 2021, when the UK was a part of the EEA, is not permitted.
No refunds are authorised to nationals of countries in the European Economic Area (EEA). EEA countries are:
Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and Switzerland.
No refunds are authorised to nationals of USA.
