Slovenia Pension Guide
Slovenia operates a three-pillar pension system. The 1st pillar (PAYG, managed by ZPIZ) provides a state pension. The 2nd pillar is mandatory occupational pension insurance for certain sectors. The 3rd pillar is voluntary supplementary pension savings with tax incentives. Retirement age is 65 for men (gradually increasing to 65 for women). All amounts in EUR.
Zavod za pokojninsko in invalidsko zavarovanje Slovenije (ZPIZ) manages the state pension system. For related guidance, see our Social Contributions Guide →.
The Three Pillars
1st Pillar: State Pension (ZPIZ — PAYG)
- Mandatory for all employees and self-employed persons.
- Funded through social contributions (employee 15.5% + employer 8.85% = 24.35% of gross salary).
- Provides a pay-as-you-go (PAYG) state pension based on years of contributions and the reference wage.
- Minimum pension: Guaranteed for those with at least 15 years of contributions.
2nd Pillar: Mandatory Occupational Pension
- Mandatory for employees in hazardous occupations and certain sectors (e.g., heavy industry, security).
- Contributions are paid by the employer on top of the 1st pillar contributions.
- Managed by private pension funds under strict regulatory oversight.
3rd Pillar: Voluntary Supplementary Pension
- Open to all individuals — employees can join through their employer's group plan or individually.
- Tax incentive: Contributions up to EUR 1,500 per year (or 5.844% of gross salary) are deductible from IIT.
- Employer contributions to 3rd pillar plans are tax-deductible for the employer (up to certain limits) and exempt from social contributions.
Retirement Age
- Men: 65 years (with at least 15 years of contributions).
- Women: Gradually increasing from 60 to 65 (target reached by 2030s). As of 2026, the retirement age for women is approximately 62-63 depending on the number of children.
- Early retirement: Possible at age 60 (men) / 58 (women) with at least 40 years of contributions, with a permanent reduction in pension.
Pension Calculation
- The state pension is calculated based on the reference wage (average of the best consecutive years of earnings) and the accrual rate (approximately 1.26% per year of contributions).
- The maximum pension is capped at approximately 4 times the minimum pension base.
- Pensions are adjusted annually for inflation (usklajevanje pokojnin).
Taxation of Pensions
- State pension (1st pillar) is taxed as employment income under IIT progressive rates.
- 2nd and 3rd pillar pensions are taxed upon withdrawal as pension income.
- A portion of the pension may be exempt from tax (a specific pensioner allowance applies).
- Lump-sum withdrawals from supplementary pension funds may be subject to different tax treatment.