Sweden Income 2026: AB Strategy Tool

Compare regular employment vs. your own business contract

Income Step 1. Employee 2. AB: Max Salary 3. AB: State Limit 4. AB: SGI Max
Total Budget (Excl. VAT) ... ... ... ...
Paid Vacation from Client? YES NO NO NO
Annual Perks (Deductible) None ... ... ...
Employer Tax (31.42%) ... ... ... ...
Monthly Gross Salary ... ... ... ...
Personal Income Tax ... ... ... ...
Company Profit (Pre-tax) N/A ... ... ...
Company Tax (20.6%) N/A ... ... ...
Dividend (Net) N/A ... ... ...
Total Tax to State ... ... ... ...
Pocket Money (Year) ... ... ... ...
Pocket Money (Month) ... ... ... ...

🏖️ Vacation and Holidays

This is the main difference for a consultant:

  • Employee: You get paid when you are on holiday. Usually 25 days per year.
  • AB Company: You only get paid when you work. If you take time off, your billing stops.
  • Strategy: Your daily rate must be high enough to cover the weeks you are away. Most engineers assume they work 10.5 months to be safe.

📑 Company Perks (Expenses)

Maximize your money by letting the company pay for these before tax:

  • Wellness (Friskvård): Max 5,000 SEK/year (Tax-free).
  • Lunch Card: You pay a small tax, but the company pays the full bill. Very common perk.
  • Electronics: Buying a MacBook or iPhone is 100% deductible if used for work.
  • Study Trips: Flights and hotels for tech conferences are business costs.

✨ The Magic Numbers

~660,000 SEK: The State Tax Limit. Stay under this to avoid the extra 20% tax.

~592,000 SEK: The SGI Cap. This is the max salary that counts for sick leave and parental pay.

31.42%: The tax the company pays just to have you as an employee.

💰 Dividend Rules (3:12)

You can take profit out of the company at only 20% tax.

Simplified Rule: Every owner can take about 322,400 SEK/year (2026 estimate) at 20% tax, no matter their salary.

Salary Rule: If you pay yourself enough salary, you can take 50% of the company's total salaries as a low-tax dividend.

📅 Payout Timing

Salary: Paid every month for your daily living costs.

Dividends: Usually paid once per year after your annual report is finished.

Warning: Never take money from the company account for private use without a salary slip or a dividend meeting. It is illegal.