Why Accurate Time Reporting Matters in Swedish Payroll.
In Sweden, time reporting isn’t just a tool for tracking hours — it directly affects payroll, taxes, vacation, and employee rights. Whether your team is salaried or hourly, accurate time reports are critical for payroll to function properly.
Here’s why time tracking matters more than you might think.
Why Time Reporting Is Required
Swedish payroll laws and labor agreements rely on accurate records of:
Worked hours
Overtime
Absences (paid and unpaid)
Sick leave
Parental leave
Vacation days
This information is used to calculate monthly salaries and employer contributions — and is required for proper reporting to Skatteverket.
New Payroll Rule 2025: Sick Leave Must Be Reported in the AGI
Starting in January 2025, all employers in Sweden must also include sick leave days in the monthly employer declaration (AGI).
This change improves coordination with Försäkringskassan, reduces manual reporting, and helps speed up sickness benefit handling.
Employers who fail to track and report sick leave correctly may face compliance risks or delays in employee benefits.
This makes accurate time reporting even more critical moving forward.
What Can Go Wrong Without It?
Inaccurate or missing time reports can result in:
Over- or underpayment of salaries
Incorrect tax withholding
False employer declarations
Misreported vacation balances
Compliance risks with unions or collective agreements
Fixing errors later is time-consuming, and may require corrections to past payroll periods — including tax submissions.
Monthly Deadlines Are Tight
In Sweden, the payroll cycle is short:
Employees submit time reports by the 1st–5th of each month
Payroll is processed shortly after
Employer declarations must be submitted by the 12th
Salaries are paid by the 25th
If time reports are late or incomplete, the entire chain is delayed — or processed with guesses that may lead to mistakes.
Let Employees Report — But Keep Control
Using a digital portal makes it easier to:
Collect time reports on time
Avoid manual errors
Keep track of vacation balances and sick leave
Approve or reject entries
Lock reporting after each period
Our Stay-in-touch-Portal gives you just that — without bloated features.
What About Fixed Salary Employees?
Even for employees with fixed monthly salaries, time reporting matters for:
Absence deductions (unpaid leave)
Sick leave reimbursements
Statutory vacation tracking
Adjustments for start or end of employment
Ignoring time reporting risks paying more than required — or failing to meet reporting obligations.
We Help You Get It Right
We provide:
Digital tools for time reporting
Clear checklists and reminders
Integration with payroll processing
Monthly review and confirmation
You stay in control, and your employees know exactly what’s expected.
Conclusion: No Time to Guess
Time reporting isn’t just a formality — it’s the foundation of compliant, accurate payroll in Sweden. With the new AGI rules starting in 2025, the importance of tracking sick leave correctly is greater than ever.
Let us help you set up a process that works — and avoid costly mistakes before they happen.
Before you start reading the next article, let me first tell you a bit about the photo featured.
This is Stockholm Central Station, the beating heart of Sweden’s railway system and a symbol of precision, timing, and coordination.
While the very first railway station in Sweden was Nora Station (below), inaugurated in 1856, it was Stockholm Central that soon became the true hub. Opened in 1871, this grand building not only defined Swedish infrastructure but also anchored the country's commitment to punctuality and organization — values that still define Swedish work culture today.
If you’ve ever been to Stockholm, chances are you’ve passed through this iconic place. Each day, it connects over 200,000 travelers, with rail routes spanning across Sweden and deep into Europe. From here, you can board trains to Copenhagen, Oslo, and via connecting routes, even reach Berlin, Prague, Vienna, and as far as Barcelona or Moscow — no flights required.
Just like trains must run on time, payroll in Sweden relies on accurate time reporting and flawless coordination.
