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Article 28.4.2022

Finnish pension system in a nutshell

Finland has one of the best pension systems in the world - and that’s a fact. But if you’re starting a business in Finland, you might be wondering why it’s mandatory for entrepreneurs to take out pension insurance. Or for employers to get pension insurance for their employees? We are here to help you!

Finnish pension system in a nutshell
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  1. Ilmarinen’s administrative cost will decrease in 2025
    At the start of next year, Ilmarinen’s customers’ administrative cost will decrease by roughly 10 per cent. The administrative cost is part of the TyEL insurance contribution, and in that respect, your TyEL contribution as our customer will decrease.
    Ilmarinen’s administrative cost will decrease in 2025
  2. A diverse workplace is a choice – and a resource
    A diverse community accepts and appreciates differences. Diversity at work is also tightly connected to inclusivity and equality. At IKEA, diversity is an important part of the work community and daily work. The community is easy to join and lets everyone’s voice be heard.
    A diverse workplace is a choice – and a resource
  3. Ilmarinen's return on investment 4.9 per cent, and market uncertainty increased
    In January–June, Ilmarinen's return on investment was 4.9% and its solvency strengthened. Cost-effectiveness continued to improve as premiums written grew 2 per cent and pension cover operating expenses fell 6 per cent.
    Ilmarinen's return on investment 4.9 per cent, and market uncertainty increased
  4. Ilmarinen’s return on investments 3.2 per cent and efficiency improved further
    The return on Ilmarinen’s investments in January–March was 3.2 per cent. The company’s cost-effectiveness improved further as premiums written grew and the operating expenses necessary for providing pension security fell. “We have successfully continued implementing Ilmarinen’s strategy and improved our productivity significantly over the past six years,” says Ilmarinen’s CEO Jouko Pölönen.
    Ilmarinen’s return on investments 3.2 per cent and efficiency improved further
  5. Coming this year: electronic YEL invoices to be sent automatically
    In future, we will be sending electronic YEL invoices automatically if the payer of the invoice is a company that receives online invoices.
    Coming this year: electronic YEL invoices to be sent automatically
  6. The carbon footprint of Ilmarinen’s investment portfolio decreased significantly
    Earnings-related pension company Ilmarinen saw the carbon footprint of its investment portfolio decrease and the share of renewable energy in its investee companies increase significantly in 2023. This information comes from Ilmarinen’s Annual and Sustainability Report 2023.
    The carbon footprint of Ilmarinen’s investment portfolio decreased significantly
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