Hire and pay employees in
Sweden, hassle-free

With Deel, your business can easily hire employees in Sweden. No more worrying about local laws, complex tax systems, or managing international payroll. Deel takes care of everything in 150+ countries.

The average onboarding time frame in Sweden is 2 days with Deel.

Currency

Swedish Krona (SEK)

Capital

Stockholm

Official Language

Swedish

Payroll Cycle

Monthly

Onboard, pay and manage employees in Sweden with Deel.

Usually, to hire in Sweden, your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months.

Deel lets you hire employees in Sweden quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more. For your existing direct employees, we can manage your entire payroll operation from end-to-end.

Download the Guide

All the necessary benefits for Sweden
built right in

Deel allows you to provide localized benefits for employees in Sweden within minutes. All in one manageable online dashboard.

  • Public Health Insurance
  • State Pension Fund
  • Private Healthcare - Unisure (optional)
  • Private Healthcare and Pension - Soderberg & Partners (optional)
  • Long-term disability insurance
  • Private Healthcare - Allianz (optional)
  • Global Life Insurance - Allianz

Our quickstart guide to hiring in Sweden

Navigate the tabs below to learn everything you need to know about hiring an employee in Sweden

Minimum Wage Requirements

There are no provisions regarding the minimum salary stipulated in the law. Minimum wages may be regulated by collective bargaining agreements (CBA) if they apply to the company. Deel is part of no CBA.

Individual Income Tax

Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status, the number of children, and the municipality where the employee lives.

Gross Annual Income National Tax Rate (%) Municipal Tax Rate (%)
Up to SEK 598,500 0% 32%
Over SEK 598,500 20% 32%

Payroll Cost

Monthly costs

  • Social Security Contributions - 31.42%*
  • Long-Term Disability Insurance - Average cost: SEK 485**

*Social Security Contributions cover the mandatory employer contributions towards health insurance, parental insurance, retirement and survivor's pension, labor market, worker's compensation, and general payroll tax. The estimated cost varies for employees born between 2005 and 2007, between 1938 and 1956, or in 1937 or earlier.

**The exact cost for Long-Term Disability Insurance will be determined on enrolment and varies based on the employee’s salary and age.

Annual costs

Holiday pay - 12% of the employee’s variable payments (salary, bonus, overtime compensation, etc.) during the vacation year (April to March)

These costs are provided as estimates and are intended solely for general informational purposes. To fully comprehend all associated costs and fees related to the terms of any employment agreement for this country, please contact our Sales team for a quote.

Overtime Pay & Maximum Hours

Standard working hours are 8 hours per day, 40 hours per week. The standard workweek is from Monday to Friday. Overtime payment is not mandatory and may be included in the salary. If specified in an employment agreement, hours outside of standard work hours can be considered overtime. Employees can work a maximum of 50 hours of overtime per month and a maximum of 150 hours per year. For additional hours, employees are paid an hourly rate of 168% of the hourly rate.

Maternity Leave

In Sweden, maternity and paternity leave are shared under parental leave. Both parents have the same right to take leave, however, pregnant employees are entitled to, and must take, 60 days before the child's birth and at least 29 days after the child is born.

Paternity Leave

In Sweden, maternity and paternity leave are shared under parental leave. Both parents have the same right to take leave, however, the non-birthing partner is entitled to an additional 10 days which must be used within 60 days of arriving home after the birth of the child or taking the child into custody.

Parental Leave

Employees are entitled to a total of 480 working days of parental leave until the child reaches 8 years old, which is shared with the other parent.
Parental leave can be divided into a maximum of 3 periods within one calendar year. Both parents may take parental leave at the same time, known as 'double days', for a maximum of 60 days. Double days must be used before the child is 15 months old. Parents with joint custody of a child can transfer 45 days of parental leave each to any other person who is insured for parental leave, and parents with sole custody of a child can transfer 90 days of parental leave to any other insured person.

The Swedish Social Insurance Agency will pay the salary during this period.

Period Pay Payer
0 - 390 days % of the salary (almost 80%) Social Insurance (Försäkringskassan)
391 - 480 days SEK 180 per day Social Insurance (Försäkringskassan)

Sick Leave

Employees are entitled to paid sick leave for 90 days. This leave is paid at different rates and by different payers depending upon length:

Period Pay Payer
2 - 14 days* 80% of base salary Employer
15 - 90 days 25-80%** Social Insurance


*Each sick period starts with a qualifying period that's equivalent to 20% of an average work week that is unpaid by law.
** The exact amount will be calculated by Social Insurance when the employee submits the request on their platform and provides the information required. The maximum contribution is SEK 810 per day.

Termination Requirements

Terminations must respect complex rules and the rules of an employee’s employment country. The off-boarding is always handled by the Employer with the primary stakeholders. It may include ad-hoc fees as well as required or recommended steps on specific termination cases.

There is no at-will termination in Sweden. Terminations in Sweden can be done by the employer, the employee, or mutual agreement. To terminate a contract, each party has to provide the correct notice.

Compliant terminations include:

  • Voluntarily by the employee
  • By mutual agreement
  • By the expiration of the contract
  • Unilaterally by the employer based on:
    • probation period
    • objective grounds
    • performance due to unsuitability for the job
    • misconduct
    • cooperation problems
    • refusal to work

Notice Period

The minimum notice period is 30 days and increases according to the length of employment:

  • 30 days if employment is less than two years.
  • 60 days if employment is between two and four years.
  • 90 days if employment is between four and six years.
  • 120 days if employment is between six and eight years.
  • 150 days if employment is between eight and ten years.
  • 180 days if employment is more than ten years.

Severance for Employees

In Sweden, there are no statutory requirements for severance payments. During the notice period, the employee receives a standard salary.

Paid Time Off

Full-time employees are entitled to 25 days of paid time off (PTO) a year. PTO accrues monthly at 2.08 days per month. Employees earn vacation from April 1st to March 31st of the following year.

PTO for part-time employees will be subject to how many days they work per week. If the employee works 5 days a week, they will be entitled to 25 days. If the employee works fewer days, a pro-rata calculation will apply.

Vacation accrual is mandatory and accounts for 12% of the employee's gross salary. The employer is obligated to offer the employee four consecutive weeks from June to August.

Public Holidays

Sweden celebrates 13 national holidays, which include:

  1. New Year's Day
  2. Epiphany
  3. Good Friday
  4. Easter Sunday
  5. Easter Monday
  6. Labor Day
  7. Ascension Day
  8. Whitsunday
  9. National Day
  10. Midsummer Day
  11. All Saints' Day
  12. Christmas Day
  13. Boxing Day

Onboarding

Onboarding takes 2 business days after the client signs the SOW.

Each person must have a SS number and provide it before signing the agreement. If the employee has no SS number, they will need to reach the Tax Agency and request a temporary number.

Employment Contract Details

Contracts are in English and can be bilingual. They must be in writing and signed by both parties.

The contract must state mandatory information such as the name of the employee, start date, length of the employment, holiday conditions, among others.

Probation Period

Employees hired using Deel have a probation period of 90 days, which you can extend up to 180 days. As of January 2022, it's Deel company policy to include probation periods in all employment contracts moving forward.

By law, fixed term employment agreements cannot have a probation period.

The maximum probation period for indefinite contracts is 180 days (6 months).

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Hiring in Sweden, hassle-free

With Deel, your business can easily hire employees in Sweden with our EOR solution. If you have an entity, our Global Payroll solution takes care of payroll and compliance for your direct employees. Our 250+ in-house experts handle everything from managing local laws, complex tax systems, or your payroll in Sweden and 150+ countries.

Group (8)

Starting at 599 USD

Management fee

Group (9)

31.42%

Estimate Employer Cost

*of employee salary

Want to learn the cost of hiring an employee in Sweden?

View our Employee Cost Calculator
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