Most people pay only municipal tax on their salary, around 30 to 35 percent depending on the municipality. But if you earn above a certain level, a further 20 percent state tax is added on the part that exceeds the line. It is not your whole salary that is hit, only the kronor above the line, but it makes your marginal rate, the tax on your next earned hundred, suddenly jump. Understanding where the line sits is the key to smart decisions about salary sacrifice, extra work and pension saving.
For 2026 the state-tax threshold (skiktgräns) sits at 643 000 kr of taxable income. Above it you pay 20% state tax on top of municipal tax, which in practice means a gross salary of around 55,000 kr a month before it kicks in. Your marginal rate then goes from about 30 percent to just over 50. Only the income above the line is taxed higher, so you never end up with less by earning more, but every krona above it gives less in hand, and that makes pension contributions extra worthwhile.
I untangle the difference between the skiktgräns and the brytpunkt, what the extra 20 percent actually does to your marginal rate, who is affected, and how you can influence how much state tax you pay. Run your own salary in the net salary calculator.
The threshold and the breakpoint
Two words for almost the same thing, and that is where the confusion starts. The skiktgräns is the level expressed in taxable income, that is your salary after the basic deduction, and it sits at 643 000 kr for 2026. The brytpunkt is the same line expressed in gross salary, before the basic deduction, and therefore somewhat higher. It is the brytpunkt you recognise from your payslip: it corresponds to a monthly salary of around 55,000 kr. If you have turned 66 the line sits higher, because the basic deduction is then larger. The point is simple: it is the gross salary above the brytpunkt that draws the extra tax.
What the extra 20 percent means
State tax is not a rise in the tax on your whole salary, which is the most common misunderstanding. It is added only to the part of your income that exceeds the line. But it affects your marginal rate, that is how much you get to keep of your next earned krona. Below the breakpoint the marginal rate is around 30 to 35 percent; above it, it jumps to just over 50 percent when the 20 state points are added to municipal tax. That means a pay rise or extra job above the line gives roughly half as much in your pocket as you might have thought. It is nothing to fear, but it is worth knowing when you work out whether an extra shift or a bonus is worth it.
Who pays state tax?
Fewer than you think, but more than they routinely assume. About one in six income earners in Sweden crosses the breakpoint in a given year, and many land right at the line after a pay rise or a few months of overtime. Because the line is adjusted each year for inflation, but salaries sometimes rise faster, more people drift over it across time, a phenomenon often called the line being "eroded". You do not need to do anything active to pay state tax; the Tax Agency withholds the right amount automatically via your preliminary tax. But it pays to know if you are above it, because it opens up a couple of smart moves.
How you can influence how much you pay
If you sit just above the line there are tricks that actually work. The strongest is salary sacrifice: swapping part of the gross salary above the breakpoint for a pension contribution. Then you avoid the high marginal rate now and defer the tax to retirement, when you are likely below the line. If you are self-employed you can smooth your income between years so you do not spike over the line in a single year. And do not forget deductions: deductions for travel, interest or work expenses lower your taxable income, and every krona you deduct just above the state-tax threshold is worth a bit over 50 öre in reduced tax instead of 30.
A worked example
Say you have a taxable income of 700,000 kr for 2026. Then 57,000 kr sits above the state-tax threshold of 643 000 kr, and on exactly those kronor you pay 20% state tax, that is 11,400 kr extra on top of municipal tax. If you get a pay rise of 2,000 kr a month, 24,000 kr a year, the whole rise lands above the line and is taxed at just over 50 percent, so you see about 11,000 kr of it in your pocket. If you instead sacrifice those kronor to pension you avoid both the state tax and part of the social contributions. Test exactly what your salary gives after tax in the net salary calculator and compare municipalities in the tax comparison.
My recommendation
Do not fear the breakpoint; you always keep more by earning more, it is just less more above the line. But if you sit just above it, that is where pension contributions and salary sacrifice give the most, because you avoid the highest marginal rate. Check where you sit relative to the line once a year, especially after a pay review, and work out whether salary sacrifice pays off for you in the salary sacrifice calculator. To understand the whole journey from gross to net there is also the guide your salary and tax.