Sweden Finland Austria

Documentation of APW calculations for Sweden 1992, 
’correct' data
Single APW:
The gross wage of the APW in 1992 is from ’The Tax/Benefit Position of
Production Workers’, OECD, 1995 edition.
1992
Non-insured
1)
Gross wage
171,000 SEK
Tax and social security
47,901 SEK
Disposable income
123,099 SEK
APW-couple: The husband has the same wage as the single APW, the wife has 50 per
cent of that. The couple has no children.
1992
Non-insured
1)
Gross wage
256,500 SEK
Tax and social security
68,518 SEK
Disposable income
187,982 SEK
1)
Non-insured refers to unemployment insurance. This is voluntary in Sweden (in 1992) as it is in Den-
mark. A case for the insured should therefore also be included. The direct contribution for member-
ship is, however, relatively low in Sweden, about 500 SEK on an annual basis in 1992, and it is
deductible in taxable income. It was therefore decided, that the case for the ’non-insured’ was suffi-
cient. It is also identical then to the APW for Sweden in OECD’s publication ’The Tax/Benefit Position
of Production Workers’. In Sweden the contributions for social security are primarily paid by the
employer, they amounted to about 35 per cent of the gross wage in 1992. 
Standard’ income events
1.
Ill for one week. Single APW
The gross wage is reduced by 1/52, i.e. 3,288 SEK. Compensation for illness in one
week is 75 per cent of the gross income (on a daily basis that is 171,000 × .75 =
128,250 / 260 = 493.27 SEK, rounded 493 SEK) for the first 3 days and 90 per cent
for the remaining 2 (on a daily basis that is 171,000 × .90 = 153,900 / 260 = 591.92
SEK, rounded 592 SEK). The compensation is (3 × 493) + (2 × 592) = 2,663 SEK.

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188
The gross compensation percentage is 2,663 / 3,288 × 100 = 81. When the APW is
ill for one week his or her disposable income is 122,691 SEK.
The decrease in disposable income compared to the situation without illness is
123,099 - 122,691 = 408 SEK or 0.3 per cent.