Average monthly pension in Finland in 2022: 1,845 euros
The total pension expenditure in 2022 was 35 billion euros. Every third person in Finland who has turned 16 years received a pension.
Press releases
Musculoskeletal diseases the main cause of retirement on a disability pension in 2022
The number of new disability pensions granted due to musculoskeletal diseases grew by nearly 10 per cent in 2022. A growing share of new pensioners on a disability pension are 60 years or over.
Effective retirement age dipped as expected
In 2022, Finns retired on an earnings-related pension a couple of months earlier than in 2021. The average effective retirement age was 62.2 years. The dip was due to the large amount of new pensioners on an old-age pension.
2017 pension reform successful – retirement clearly deferred
A recent study by the Finnish Centre for Pensions shows that retirement has been deferred clearly, particularly in the private sector. Working after age 63 has also increased significantly, again particularly in the private sector. The gradual increase of the retirement age was agreed on in connection with the 2017 pension reform. The new study …
Unusual index increase led to a flood of pension claims
The number of pension claims soared at the end of 2022 as tens of thousands of Finns claimed the partial old-age pension. Exceptionally, the increase in the earnings-related pension index was clearly higher than the increase in the wage coefficient. It encouraged people to claim the pension already in 2022.
Pensioners’ economic wellbeing relative to rest of population unchanged – poverty most common among people who live alone
The average disposable income of pensioners in 2020 was 27,000 euros. Pensioners’ income level relative to the employed population is 77 per cent. The ratio has remained virtually the same over the last decades. Single, particularly under-55-year-olds, have a smaller-than-average income.
Use the YEL calculator on Tyoelake.fi to calculate the confirmed income from self-employment
When starting working as a self-employed person, the confirmed income for insurance under the Self-employed Persons’ Pensions Act (YEL) can be estimated using the calculator on Tyoelake.fi. The calculator as part of the instructions on confirmed income is also a useful tool when guiding self-employed people. The calculator is open to all and requires no login. It is available in English, Finnish and Swedish.
The self-employed concerned about the government reform proposal
The forthcoming reform of the Self-employed Persons’ Pensions Act (YEL) has caused fierce debate among the self-employed, particularly on social media.
Cross-national comparison of pension costs reveals: Lowest contribution levels in Sweden and Finland
The Finnish Centre for Pensions compared pension contribution levels in eight European countries. Pensions cost the least in Sweden and Finland, just over 12 per cent relative to GDP. The highest price tag on pensions is found in Italy and Denmark. Employers pay the main part of pension contributions in all other countries except Denmark.
Long-term projections: Pension financing relies increasingly on investment returns
The long-term pension financing outlook has improved considerably due to favourable investment returns. At the same time, uncertainty about future contribution rates has grown. If the birth rate remains low, an increasing share of rising pension expenditure will have to be covered by returns on pension assets.