Social Security Payments and Limits In Finland 2019

Employee pension payments (TyEL)
Salary minimum for TyEL	59,36 €/month
Temporary employer with only temporary workers and total salaries below 8 676 €/6 months (2020)	25,20%
Contractual employer with permanent staff and total salaries from 8 676 €/6 months (2020) TyEL basic payment without client discounts.	25,20%

Employee part of TyEL-payment
17-52 years old	6,75%
53-62 years old	8,25%
over 63 years old	6,75%

Employer part of TyEL-payment
17-52 years old	18,45%
53-62 years old	16,95%
over 63 years old	18,45%

Entrepreneurs’ pension (YEL) payment
18-52 years old	24,10%
53-62 years old	25,60%
over 63 years old	24,10%

– starting entrepreneurs’ payment
18-52 years old	18,80%
53-62 years old	19,97%
over 63 years old	18,80%

YEL – Income Limits
YEL – income minimum	7 799,37 €/year
YEL – income maximum	177 125 €/year
Unemployment coverage: right to Kela’s basic daily allowance if income at least	12 816,00 €/year
Entrepreneur can become a member of an unemployment fund	12 816,00 €/year

Employer’s Social Security Contribution (sosiaaliturvamaksu)	0,77%

Employment Fund Contribution (työttömyysvakuutusmaksu)

Employee part (withheld)
for employees	1,50%
for shareholders	0,5%-0,78%

Employer part
for companies with total salaries up to 2 086 500€/year	0,50%
for companies with total salaries above 2 086 500€/year	2,05%

Sources: Keskinäinen työeläkevakuutusyhtiö Varma (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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