All persons engaged in gainful employment have a statutory right to employment pension. Earnings-related pensions will be reformed in 2017.
Earnings-related pension secures your income in the event of old age, disability or your spouse's death and entitles you to vocational rehabilitation if your work ability is threatened by illness or injury.
All private-sector employees aged 17–67 are insured in Finland under the Employees Pensions Act (TyEL). The employer takes out the earnings-related pension insurance. Between the ages of 18 and 67, entrepreneurs must take out insurance for themselves according to the Self-Employed Persons' Pensions Act (YEL). You can accrue pension under several different pension acts during your working life.
Earnings-related pension benefits
- The age limit for old-age pension will rise gradually beginning in 2018. The new age limits will apply to persons born in or after 1955.
- People born in 1954 or earlier can retire on old-age pension between the ages of 63 and 68.
- Partial early old-age pension will make it possible to withdraw some pension before reaching the actual old-age pension age whether you continue to work or not. In 2017, it will be possible to draw partial old-age pension at the age of 61 at the earliest.
- Disability pension secures your income if you become incapable of working due to deteriorated health.
- Vocational rehabilitation provides support if illness or injury jeopardises your work ability.