VR Contingency Fund

The VR Contingency Fund combines entitlements from different funds. Please note that payments from the Contingency Fund are subject to taxation, and tax will be deducted on withdrawal.

Exceptions from this rule are payments amounting to ISK 55,000 per year for physical exercise and rehabilitation following an accident or illness. (total amount for 2018).

Members can use the VR Contingency Fund for:

  • educational leave and educational services.
  • maintenance costs in conjunction with unemployment benefits.
  • retirement after reaching the age of 60.
  • loss of health.
  • purchase of life, accident and sickness insurance
  • purchase of physical exercise, rehabilitation, psychological, medical and dentistry services.
  • purchase of support equipment such as spectacles and hearing aids.
  • purchase of holiday related services.

What if I leave VR?

If members leave VR, their entitlement credits will be reduced by 25% after the elapse of 24 months from the payment of premiums and thereafter correspondingly each year until entitlements are fully cancelled.