Fund members can apply for a half (50%) retirement pension from Tryggingastofnun (TR) opposite half a pension from Gildi and other pension funds from the age of 65. One of the conditions for such pension withdrawal is that the fund member must be active in the labour market but be in no more than a 50% employment ratio.

The TR website states the following conditions for starting to withdraw half a pension:

• To be 67 years of age or older, but half a pension can be applied for from the age of 65 against a permanent reduction in payments.
• That a half retirement pension has been applied for in all compulsory occupational pension funds that allow the payment of half the retirement pension, both domestic and foreign. If the pension fund does not authorise the payment of half the retirement pension, TR needs confirmation to that effect.
• Being active in the labour market but be in no more than a 50% employment ratio.

Payments of half of the retirement pension from TR begin when the institution has received confirmation that payments have begun with the pension funds that allow the payment of half of the retirement pension.

Income income allowance for half of the retirement pension can be found here