Stated below applies to the country I live in. From the turn of the year, the guaranteed pension will be increased by 8.7%, while the income pension will only be increased by 3%. This is because the guarantee pension follows inflation, while the income pension follows the general wage increase.
Guarantee pension is paid to people who had little or no income during their working life. These may be people who had difficulty entering the labor market or who came to Sweden at an advanced age. In practice, this means that people who worked in low-wage occupations are losing ground to people who did not work at all. It's called "respect distance".
Depending on where you are on the income ladder, the gap narrows by anywhere from $20 to $200 per month. I understand and support the basic idea, but out of respect for all the people who worked hard in low-wage occupations, the difference between income- and guarantee pension must be more than crumbs.
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