The payment of a residence grant 

A residence grant is paid after the date of delivery. The right to a grant expires six months after the date of delivery if an application has not been submitted to The Directorate of Labour before that time. 

Payment amount:

  • The amount of a grant is based on the same rules that apply to a daily allowance for state employees on domestic travels and the amount is 13.000 kr. per day. More information can be found here 
  • Please note that according to information from Iceland Revenue and Customs the residence grant is subject to taxation. If you want to use your personal tax credits, please send a request for the use of tax credit. The request form can be found here. 

Correction of payments:

If a person has incorrectly received a residence grant, they must reimburse the amount that was overpaid. A complaint can be made regarding such decisions to the Welfare Appeals Committee. 

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