Remote work abroad
When an employee or self-employed person goes abroad to work remotely, they must usually arrange their social security in the country where they work. This applies to all remote work abroad, no matter how long it lasts or where the employer or company is based. This means that any statutory social insurance contributions will be paid to the country where the work is done, according to its laws.
Nevertheless, a person working remotely abroad temporarily may be covered by Finnish social security laws under certain conditions. When it comes to social security, it does not matter if remote work abroad is done on the employee’s own initiative. What matters is how long the remote work will last and where it will take place.
A person working remotely temporarily in an EU or a social security agreement country must have a certificate, such as the A1 certificate. The certificate must be applied for from the Finnish Centre for Pensions. With the certificate, people working remotely abroad continue to be covered by Finnish social security and all the statutory social insurance contributions are paid in Finland.
This page explains how an employee’s remote work abroad is to be insured. For more information on insurance for the self-employed and grant recipients who work remotely, go to the page Self-employed persons and grant recipients abroad.
Employer’s checklist before an employee goes abroad to work remotely
- Agree with your employee about working remotely in another country: where and for how long?
- Sort out the social security of your employee: will they be covered by the social security of Finland or the country where they work? Make sure you understand the rules of insurance for work abroad.
- Apply for an A1 certificate from the Finnish Centre for Pensions if your employee needs one.
- If necessary, agree on the insurance salary for work abroad with your employee.
- Find out about your other employer obligations, such as tax and work permit issues.
EU countries’ refers to these countries:
- EU countries: Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden.
- EEA countries: Iceland, Liechtenstein and Norway.
- Switzerland and the United Kingdom.
Social security agreement countries:
- Australia, Canada, Chile, China, India, Israel, Japan, Quebec, South Korea, and the United States of America.
Other countries called non-agreement countries:
- Non-agreement countries are countries other than those mentioned above, such as Thailand, Brazil or South Africa.
Remote work in an EU country
When an employee goes from Finland to work remotely in another EU country, the conditions for being covered by Finnish social security are the same as for an employee who is posted to an EU country:
- the remote work abroad in another EU country must be temporary (it cannot last for more than two years),
- the employee works remotely for a Finnish employer, and
- the worker is covered by Finnish social security immediately before going abroad to work remotely.
An employer who wants to insure a remote worker in Finland instead of in the country where the work is carried out must apply for an A1 certificate for the employee from the Finnish Centre for Pensions. If the certificate can be issued, the employer insures the employee, who works remotely abroad, in Finland and the remote worker is covered by Finnish social security.
Under certain conditions, a remote worker can be covered by Finnish social security while working abroad. If the A1 certificate has not been applied for or cannot be issued, the employer must insure the remote worker as required by the country where they work.
If the employee plans to work remotely abroad permanently, they cannot be covered by Finnish social security. In this case, the employer arranges the employee’s social security as required by the country where the work is carried out.
An employee usually works and lives in Finland. With the consent of the employer, the employee leaves for two months to work remotely in Spain. As well as working remotely, they spend a one-month-long summer holiday in Spain.
The employer applies for an A1 certificate from the Finnish Centre for Pensions for the two months of remote work in Spain and pays all statutory social insurance contributions in Finland for that period.
Note that the A1 certificate is only for work abroad and not for a holiday. The employee must make sure that they have travel and accident insurance for the holiday period and that their European Health Insurance Card is valid also for the holiday.
Question: I work for a Swedish university but do all my work remotely from my home in Finland. Which country’s social security am I covered by? Do I need to apply for an A1 certificate?
Answer: If you work for the university in the capacity of a civil servant (check with your employer if you are unsure), you are covered by Swedish social security (under the EU Regulations on social security), even if you do all your work remotely from Finland. Your employer must apply for an A1 certificate from Sweden to attest that you are covered by Swedish social security. In that case, your pension accrues in Sweden and you get your social security benefits from Sweden. If you have other work besides your work as a civil servant, for example in Finland, your social security situation may be different. In that case, please contact the Finnish Centre for Pensions.
Remote and on-site work in two or more EU countries
If an employee works regularly in more than one EU country, the rules for employees working in two or more EU countries apply. In this case, it matters in which country the worker lives and how much work they do in that country and in other countries.
If an employee normally lives and works in Finland but works remotely in another EU country, their employer must apply for an A1 certificate from the Finnish Centre for Pensions. This can happen, for example, if an employee works remotely from a holiday home in another EU country a few times a year.
An employee who regularly works remotely in two or more EU countries and who meets the conditions can get an A1 certificate for no more than two years at a time. As well as working on-site and remotely, the employee may also work in Finland and other EU countries, for example, go on business trips. The same certificate is valid for all work carried out in any EU country during that time.
Remote work agreement
Some EU countries have signed a Framework agreement on cross-border telework (here called a remote working agreement). The agreement lets employers insure their employees who do remote and on-site work in two EU countries in the country where the employer is based. Usually, these employees are covered by the social security of their country of residence. The remote working agreement only applies to employees in an employment relationship.
The remote working agreement applies if the following conditions are met:
- the employee works in only two countries: they work remotely in their country of residence and on-site in the country where their employer is based;
- both countries apply the remote working agreement;
- the employee works remotely from their country of residence for at least 25% but less than 50% of their total working hours;
- the employee works on-site in the country where their employer is based for at least 50% of their total working hours;
- the employer and the employee have agreed to apply the remote working agreement; and
- the employee does not work in other countries.
The employee lives in Germany. The employer is a company that is based in Finland. The employer and the employee have agreed that the employee does at least 50% of their working hours in Finland. For the rest of the time, the employee works remotely from home in their country of residence.
The employer can apply for an A1 certificate from the Finnish Centre for Pensions, as both Finland and Germany apply the remote working agreement and the other conditions for applying the agreement mentioned above are met. Having the certificate, the employee working remotely abroad is still covered by Finnish social security. This means that all the statutory social insurance contributions are paid in Finland.
The employee lives in Sweden. The employer is a company that is based in Finland. The employee works remotely from home for two days a week. For the rest of the working week, the employee works at their employer’s office in Finland. The employee’s job also involves regular visits to customers and business trips to Lithuania, the Netherlands and Belgium.
Sweden, Finland and the other countries where the employee works have signed the remote working agreement, but it cannot be applied since the employee also works in other countries than their country of residence and the country where their employer is based. This means that the employee is subject to the usual rules for employees working in two or more EU countries. That is why the employer must apply for an A1 certificate from Sweden, the country where the employee lives. The employer must also insure the employee in Sweden for all work.
The Finnish employer applies for an A1 certificate in accordance with the remote working agreement. This is done via the eServices of the Finnish Centre for Pensions. If the remote working agreement applies to the employee, the Finnish Centre for Pensions will issue the A1 certificate. This certificate shows that the employee is covered by Finnish social security.
When applying for the certificate, add the following information in the field ‘Additional Information’ on the application form:
- The employer and the employee want to arrange the employee’s social security under the Framework Agreement on Cross-border Telework in Finland.
- The employee does remote work in their country of residence for 25–49% of their working time. For the rest of the time, they work in Finland, the country where the employer is based.
The Finnish Centre for Pensions can grant the A1 certificate under the remote working agreement for a maximum of three years at a time.
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Remote work in a social security agreement country
When an employee leaves Finland to temporarily work remotely in a country that Finland has a social security agreement with, they can be covered by Finnish social security under certain conditions. In this case, based on the agreement, the employer must pay the statutory social insurance contributions for the employee in Finland.
The employee can be covered by Finnish social security while working remotely if they meet the following requirements:
- they are covered by Finnish social security when going abroad to work remotely,
- they work remotely abroad for their Finnish employer, and
- they work abroad temporarily.
For social security agreement countries, the temporary limit is different for each country, ranging from three to five years. For the employee to be covered by Finnish social security, the employer must apply for a certificate via the Finnish Centre for Pensions’ eServices.
Sometimes the employer might have to pay social insurance contributions for a remote worker in Finland and in the country where the remote work is done. The employer must find out which social insurance contributions must be paid for a remote worker to both Finland and the country where the remote work is done.
For more information, check the online service Social insurance contributions in international work situations to find out which social insurance contributions employers must pay in Finland for employees doing remote work in a social security agreement country.
An employee works and is insured in Finland. Their spouse has been posted to the United States for three years, so the employee goes with their spouse to the United States for three years. The employee has agreed with their Finnish employer that they will work remotely from home in the United States during this period.
If the employer wants to insure the employee in Finland instead of in the United States, the employer must apply for a certificate from the Finnish Centre for Pensions. The certificate shows that the employee is covered by Finnish social security. In this case, the employer must pay the statutory social insurance contributions for the employee in Finland. The employer must also find out whether it must pay the statutory social insurance contributions for the employee in the United States.
Remote work in a non-agreement country
If an employee is covered by Finnish social security and goes abroad temporarily to work remotely for a Finnish employer in a country with which it does not have a social security agreement (a so-called non-agreement country, such as Thailand, Singapore or Mexico), the employer must take out earnings-related pension insurance (TyEL) for the employee in Finland.
Usually, if someone works abroad temporarily, their employer must also pay other social insurance contributions in Finland. Employers may have to pay insurance contributions for remote workers working in a non-agreement country also in the country where the work is carried out. The employer must find out which insurance contributions must be paid in Finland and which in the country of work.
When the work is done in a country that does not have a social security agreement with Finland, the Finnish Centre for Pensions will not issue a certificate to show that the employee is covered by Finnish social security laws. Kela must be notified about the work abroad.
Go to the service Social insurance contributions in international work situations to check which social insurance contributions the employer must pay in Finland for an employee going to work in a non-agreement country.
An employee works in Finland and has insurance there. They decide on their own initiative to work remotely in Thailand for six months. They agree with their employer about this before going to Thailand. Usually, in situations like this, the employer must pay the statutory social insurance contributions in Finland. However, Thailand can also demand that social insurance contributions are paid in Thailand. When the work is done in a country that does not have a social security agreement with Finland, the Finnish Centre for Pensions will not issue a certificate to show that the employee is covered by Finnish social security laws.
Frequently asked questions about remote work abroad
Have a look at our list of frequently asked questions about working remotely abroad.
In practice, there is no difference when it comes to social security and insuring the employee. The rules about employee social security and international work are the same for all types of work, whether it is remote work, a business trip or a posting. Although working remotely is often different from being posted abroad in that working remotely happens at the initiative of the employee and not the employer, the employee is insured in both situations under the same rules.
The employee needs an A1 certificate if they want to remain insured in Finland, also when they work remotely abroad.
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The employer decides where the employee can work.
If the employee has already gone abroad to work, the employer needs to find out which country’s social security the employee is covered by and in which country the statutory social insurance contributions should be paid.
For example, if an employee works remotely in another EU country and has not paid social insurance contributions to the country where they work, or if they have not received benefits there, their employer can apply for an A1 certificate from the Finnish Centre for Pensions for the period of work abroad that has already begun or ended.
The employee cannot decide on whether to pay or not to pay the statutory social insurance contributions. The employer must take the contributions out of the employee’s wages when the employee is covered by Finnish social security laws and is working abroad.
If the employee works remotely abroad and has applied for and been granted an A1 or equivalent certificate, they are covered by Finnish social security. This means that the employer pays the social insurance contributions in the same way as if the employee was working in Finland.
If the employee does not have an A1 certificate, they are covered by the social security of the country in which they work. In this case, the employer must withhold the statutory social insurance contributions based on the laws of the country where the work is done and pay them in that country. In such situations, the employer cannot decide which country to pay the statutory social insurance contributions for the employee working remotely.
Social insurance contributions in international work situations
Visit the website of the Finnish Centre for Pensions to find out which statutory social insurance contributions the employer must pay in Finland when an employee goes abroad to work or comes to Finland to work. The service provides information on contributions payable in Finland on a country-by-country basis.