What is NAV?
NAV (Arbeids- og velferdsetaten) is Norway’s Labour and Welfare Administration, responsible for labour market services, social security and welfare benefits. For accountants and employers, NAV is central: it receives data via mandatory reports such as the a-melding and administers benefits like sick pay, unemployment benefits and parental benefits.
NAV’s role in accounting and reporting
All employers report payroll and employee data to NAV via the a-melding and related standards. NAV uses this data to calculate:
| Benefit | Description |
|---|---|
| Sick pay | Reimbursement after the employer period |
| Parental benefits | Based on income reported in the a-melding |
| Unemployment | Income basis for daily benefit calculation |
| Pension/AFP basis | Income history for social security calculations |
Employer obligations toward NAV
- Submit the a-melding monthly with correct income, employment and deduction data.
- File income statements when NAV requests them (e.g., sick pay reimbursement).
- Keep documentation for payroll, leave and sickness absence.
- Follow deadlines to avoid penalties and delayed reimbursements.
Accounting impacts
- Employer costs (sick pay in employer period, employer NIC) must be accrued correctly.
- NAV refunds should be recognised when entitlement is established and measured reliably.
- Reconciliations: match NAV refunds to payroll and ledger accounts to keep balances clean.
Summary
NAV relies on payroll data to administer key benefits. Accurate and timely reporting via the a-melding and income statements ensures employees receive the right benefits and employers get correct reimbursements.