Birta pension fund is the fourth largest pension fund in Iceland. Birta Pension Fund operates pursuant to its Articles of Association and Act No. 129/1997 on Mandatory Pension Savings and the Activities of Pension Funds. It also operates on the basis of agreements between unions and employers of 19 May 1969 and 12 December 1995.

The purpose of Birta Pension Fund is to ensure that pension benefits are available to its members, their surviving spouses and children in accordance with the Fund's Articles of Association as well as the Act on Mandatory Pension Savings and the Activities of Pension Funds. 

The Fund is divided into two main departments, a Mutual Pension Division and a Private Pension Division.  The Mutual Pension Division offers constancy to fund members and their families in the face of unexpected traumas as well as sickness and old age. Both divisions operate under the same Board but are financially separate from each other.

Birta is the Icelandic word for ‘light’

Birta Pension Fund was created by the merger of the pension funds Sameinaði lífeyrissjóðurinn and Stafir lífeyrissjóður, which was approved at extraordinary annual meetings of the funds on 29 September 2016 and entered into effect on 1 December 2016.

The funds were merged as of 1 January 2016, but the pension rights section of the Birta Articles of Association entered into effect on 1 January 2017. The members of Birta pension fund are mainly carpenters, chefs, electricians, engineers, mechanics, plumbers and also include many more tradesmen who have finished their journeyman's test.

The members of the fund and their employers pay their share of the mandatory premium for as long as the employee is employed in a position that qualifies him/her for membership. A contribution ceases to be paid to the fund at the end of the month in which the member reaches 70 years of age.

Financial Statement

The annual financial statements of the Fund have been prepared in accordance with the new rules of the Icelandic Financial Supervisory Authority on the annual financial statements of pension funds, no. 335/2015.

Financial Statement 2017 PDF - 496,9 KB
Financial Statement 2016 PDF - 715,4 KB

Asset Management

Birta is a signatory to the Principles for Responsible Investment as initiative of UNEP Finance and the UN Global Compact. That involves for example that the fund will ask its business partners/investing companies to answer a few basic questions regarding these rules and to use them as a part of their investing decisions.


Our Asset Management Team

Our offices

Office hours are Monday through Friday 9:00 a.m. to 4:00 p.m GMT.

  •  Sundagörðum 2, 104 Reykjavík, Iceland
  • Email. birta@birta.is
  • Tel. +354 480 7000


Concerning foreign nationals temporarily employed in Iceland

Yes, according to Section 1.4 of Act No. 129/1997 on mandatory pension insurance and the operation of pension funds, all employees and employers or self-employed persons are obliged to secure their pension rights through membership of a pension fund from the age of 16 years until 70 years of age.

An exception to this is when a foreign national within the European Economic Union area is an employee of an overseas company and works in Iceland temporarily, i.e. a maximum of 12 months. In such a case, he is not under obligation to pay premiums into a pension fund in accordance with Icelandic legislation, provided that he has an E-101 form from his home country. The E-101 form is certification that the employee is insured in accordance with the social security legislation of his home country.

Foreign nationals are encouraged to contact Birta pension funds consultants and explore their obligations and rights.

According to Section 19.4 of Act No 129/1997, on mandatory pension insurance and the operation of pension funds, pension contributions of foreign nationals emigrating from Iceland may be reimbursed, provided this is not prohibited in accordance with international agreements to which Iceland is a party.

  • Reimbursement can not be limited to a specific portion of the contributions except on proper actuarial premises. This means that a pension fund may retain the part of the paid premium that is equivalent to the fee for the entitlements that the said individual has enjoyed in the fund while he contributed to it (invalidity, spouse or child pension).
  • Reimbursements are subject to taxation. In cases where an individual has emigrated from Iceland and where double taxation avoidance treaties apply between the country where the individual is resident and Iceland, the double taxation avoidance treaty shall determine whether the income is subject to taxation in Iceland or not. According to the provisions of most double taxation avoidance treaties, full tax obligation applies in Iceland for such reimbursements, as these payments are regarded as income accrued from employment in Iceland.

Foreign nationals are encouraged to contact Birta pension funds consultants and explore their obligations and rights.