Calculating earnings-related pensions until December 31, 2004

Earnings-related pensions will accrue for work done by employees between the ages of 23 and 65. Employees’ TEL pensions are calculated for each employment relationship separately, which means that the wages and duration of each employment affects the pension.

The amount of a self-employed person’s YEL pension is affected by the confirmed earned income, the length of employment in business, the accrual rate of the pension and insurance premiums paid.

The total pension comprises the combined total of the pensions calculated from all contracts of employment and periods of self-employment. Earnings-related pensions may not exceed 60 per cent of the person’s earnings.