Mandatory Premiums

By law, we are under employee obligation to be members of the pension fund of their profession and pay a 15.5% premium. The employee then contributes 4% and the employer 11.5%. The matching contribution is determined by collective wage agreements and in some cases is lower. 

Premium Payments

The employer is responsible for ensuring that the premiums are deposited in the fund in question.

Declaration Reports and Payments

Employers are obliged to send Gildi declaration reports on employee pension premiums. The employer or self-employed person must also notify the Fund if they no longer have to pay the pension premium.

Electronic Payments of Premiums

Gildi Pension Fund emphasises that premiums are paid electronically, for both security and simplicity. The intention is that all such payments will be electronic at the Fund.

Bank Claims

A payment request can be created in the online banking system after a declaration report has been sent to Gildi.
Trade Union Fees
Rehabilitation Fund
Private Pension
Principal Regulations

Premiums from January 1, 2023

According to a law that was entered into force on January 1, 2023, the employee’s contribution is 4% and the employer’s matching contribution is 11.5%. However, there are exceptions to this, e.g. contribution according to fishermen’s collective wage agreements is lower.

Employers are encouraged to study the agreements on premiums with the relevant trade union or with the Confederation of Icelandic Employers.


Reimbursement of Premiums to Foreign Citizens

Gildi Pension Fund does not reimburse premiums to foreign citizens.

In Gildi’s Articles of Association, there is an authorisation for reimbursement to fund members outside the EEA (Article 16.1), but according to the decision of Gildi’s Board of Directors from 2013, it is not used. This ensures that all fund members are equal. All fund members can start receiving a retirement pension at the age of 60 or receive a disability pension if an accident or illness impairs their ability to work. Spouses and children are also entitled to a spouse’s or child’s pension upon the death of a fund member.

Gildi’s Member Associations

Nine trade unions are a member of Gildi. All employers with operations in the professions for which the nine unions have entered into collective wage agreements are under obligation to pay the pension premiums of their employees to the Gildi mutual pension division.

In addition to the nine unions, the Confederation of Icelandic Employers is a member of Gildi.

The premiums are paid in the proportions specified in the relevant collective wage agreement. Membership in Gildi, therefore, is mandatory, and making payments into mutual pension divisions of other pension funds is not permitted.


The trade unions that are a member of Gildi are: