Topical issues

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.

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.

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.

Are you looking for information on the economic wellbeing of pensioners in Finland? Do you want to know more about how pensions have developed or how large the pension income is relative to wages in Finland? Do you know how well the pension system is known? The Finnish Centre for Pensions has compiled its key research findings on its website in the section “Findings from our research”.

The forthcoming reform of the Self-employed Persons’ Pensions Act (YEL) has caused fierce debate among the self-employed, particularly on social media.

The review on pension indicators is a compact information package on the state and projected outlook of earnings-related pensions. The package is directed at decision-makers and all interested in the outlook of pension provision. The review includes the most important indicators that depict the current status and predicted development of earnings-related pensions through graphs and …

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.

The population is ageing, which has consequences for the pension system. In response, policy reforms across Europe have aimed at extending working lives and postponing the retirement of older workers. However, one actor is often overlooked in these changes: the employer.

In Finland, employment among the 60–68-year-olds increased in all educational levels between 2006 and 2018. As a rule, educational inequalities in employment has narrowed, a study by the Finnish Centre for Pensions shows.

The Ministry of Social Affairs and Health has confirmed the 2023 indexes for earnings-related pensions. The earnings-related pension index will rise by 6.8 per cent and the wage coefficient by 3.8 per cent compared to 2022. Because of the exceptionally high increase in the earnings-related pension index, the timing of retirement matters if the plan is to retire at the turn of the year 2022-2023.