Topical issues

On average, the net income of a person retiring from employment is 79 per cent of the net income during the active period. A new study by the Finnish Centre for Pensions shows that the change in net income at retirement has remained unchanged since the early 2000s.

Despite the corona pandemic, Finnish investment assets rose by 4.8 per cent to 223 billion euros. In the review period 1997-2020, the average return of the Finnish pension insurance investors has exceeded the baseline projections. Read more about the allocation of Finnish pension investments in the English Summary of Työeläkelehti (2:2021), published on 7 June …

Each year, the Finnish Centre for Pensions grants a Pro Gradu Award to a distinguished master’s thesis. This year the award goes to Jonathan Strömberg from the University of Oulu. His thesis examines the financial sustainability of the Finnish occupational pension system, comparing the Finnish, Dutch and Danish pension systems.

The majority of the pension funds in our comparison reached a real return of 5–10 per cent despite the exceptional year. The clearly highest return, around 20%, was made by the Swedish buffer fund AP6 that invests only in equities. The Finnish pension investors weathered the peculiar year with varying degrees of success.

The application service for A1 certificates for employees, employers, sailors and flight crew members has been renewed. As a result, the applicant may receive the A1 certificate within one hour from submitting the application and with fewer clicks than before.  The application service for A1 certificates is renewed as of Monday 10 May 2021. The …

Saving for retirement is more prevalent among men and the 55–64-year-olds. Women and the unemployed state more often than others that they are financially unable to save. This is evident from a recent study by the Finnish Centre for Pensions.

Many wage earners intend to continue working past their old-age retirement age. A recent study by the Finnish Centre for Pensions shows that men and the highly educated intend to retire at a higher age than others.

Are pensions enough to cover income in retirement, particularly if one cannot work until the statutory retirement age? Will caregiving towards the end of one’s career affect continued working? How do family biographies affect income in retirement? The Finnish Centre for Pensions’ research webinar on 10 May presents the hot-off-the-print Social Policy & Administration Special Issue …

Mental disorders continue to be the most common reason for retirement on a disability pension. The largest single reason is depression, which drives ten persons to retire on a disability pension each day. Two out of three new retirees on a disability pension due to depression are women.

The average monthly pension of Finns grew by nearly 50 euros in 2020. In real terms, it has risen by an ample 200 euros in one decade. Yet every third pension is less than 1,250 euros per month.