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Aggregation of insurance periods
One of the most impactful provisions allows insurance periods completed in Sweden and Brazil to be combined when determining eligibility for benefits.
This means that individuals who have worked in both countries can qualify for pensions and other benefits even if they have not worked long enough in one country alone — helping to ensure that cross-border careers do not come at the expense of long-term financial security.
Equal treatment and exportability
The agreement also guarantees equal treatment between nationals of both countries. In addition, benefits may generally be paid across borders without reduction simply because a recipient resides in the other country.
These provisions enhance flexibility for retirees and other beneficiaries who choose to live outside the country where their benefits were earned.
Administrative cooperation
The agreement establishes a structured framework for cooperation between Swedish and Brazilian authorities, including the Swedish Social Insurance Agency, the Swedish Pensions Agency, the Swedish Tax Agency, and Brazil’s National Institute of Social Security (INSS).
The use of electronic communication between authorities will further streamline the exchange of information and improve efficiency in handling cases.
Entry into force
The agreement will enter into force following the completion of the necessary legal procedures in both countries. Once in place, it will remain valid indefinitely, although it may be terminated with twelve months’ notice.
Authors
- Andreas Bråthe, Partner, People Advisory Services – +46 73 397 24 33
- Sevim Güven, Partner, People Advisory Services – +46 72 230 95 20
- Latifa Pham, Manager, People Advisory Services – +46 70 823 29 85