Social Security Payments and Limits In Finland 2017

Employee pension insurance (TyEL)	2017
Salary minimum for TyEL	58,19 €/month
Temporary employer with only temporary workers and total salaries below 8 334 €/6 months (2017)	25,10%
Contractual employer with permanent staff and total salaries from 8 334 €/6 months (2017) TyEL basic payment without client discounts, payment loss discount considered.	25,10%
Employee part of TyEL-contribution
17-52 years old	6,15%
53-62 years old	7,65%
over 63 years old	6,15%
Entrepreneurs’ pension (YEL) contribution
18-52 years old	24,10%
53-62 years old	25,60%
over 63 years old	24,10%
– starting entrepreneurs’ contribution
18-52 years old	18,798%
53-62 years old	19,968%
over 63 years old	18,798%
YEL – Income Limits
YEL – income minimum	7 645,25 €/year
YEL – income maximum	173 625,00 €/year
Entrepreneur has a right to YEL-based part-time pension if his/her income is at least	-€/year
Unemployment coverage: right to Kela’s basic daily allowance if income at least	12 564,00 €/year
Entrepreneur can become a member of an unemployment fund	12 564,00 €/year
Employer’s Social Security Contribution (sosiaaliturvamaksu)	1,08%
Insured Person’s Social Security Contribution
Employees	1,58%
Entrepreneurs (applicable for YEL)	1,64%
Pensioners	1,45%
Unemployment Insurance Contribution
From total salaries (for the whole company) up to 2 059 500 € (2017)	0,80%
From part of total salaries (for the whole company) above 2 059 500 € (2017)	3,30%
Employee’s contribution	1,60%
TyEL + insured part business owner’s employer’s contribution	0,80%
TyEL + insured part business owner’s employee’s contribution	0,70%
Pension indexes
Salary coefficient	1,389
Pension index	2534
Interest
Basic interest	2,00%

Sources: Keskinäinen työeläkevakuutusyhtiö Varma (in Finnish); Keskinäinen Työeläkevakuutusyhtiö Elo (in Finnish)

Please find more information about taxes and employee-related benefits in Finland in our Tax Consulting section and about employees’ tax-exempt travel allowances on our Tax-Exempt Travel Allowances page.

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