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Finnish pension system in a nutshell

Article 28.4.2022

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. EPSI Rating: Ilmarinen has the most satisfied customers in the sector
    According to the latest EPSI Rating survey, Ilmarinen has the most satisfied customers in the earnings-related pension sector. We ranked first among both employers and self-employed persons.
    Read news article EPSI Rating: Ilmarinen has the most satisfied customers in the sector
  2. Employer, self-employed person or pensioner: 2027 earnings-related pension index and wage coefficient confirmed
    The Ministry of Social Affairs and Health has confirmed the pension indices for 2027. The earnings-related pension index will be 3,184, which means pensions will increase by approximately 2.6% at the turn of the year. The wage coefficient has been confirmed at 1.773, an increase of approximately 3.6% from 2026.
    Read news article Employer, self-employed person or pensioner: 2027 earnings-related pension index and wage coefficient confirmed
  3. Ilmarinen’s return on investments was 6.2 per cent or EUR 4.2 billion
    Employment pension insurance company Ilmarinen’s investments yielded 6.2 per cent in January–September. The market value of investments grew to a record-breaking level of EUR 71 billion.
    Read news article Ilmarinen’s return on investments was 6.2 per cent or EUR 4.2 billion
  4. Ilmarinen had a strong first half of the year. In January–June, the return on investments was 5.3 per cent, or EUR 3.5 billion. Solvency ratio improved, and customer acquisition was at a good level.
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  5. Ilmarinen’s early 2026: Customer acquisition at record level, solvency remained strong
    Ilmarinen’s return on investment in January–March was –0.5 per cent. Solvency is strong and cost-effectiveness is at a good level. Customer acquisition in the early part of the year was going at record pace.
    Read news article Ilmarinen’s early 2026: Customer acquisition at record level, solvency remained strong
  6. Ilmarinen's Financial Statements 2025: Return on investments was 8.1 per cent or EUR 5.1 billion
    Ilmarinen’s investment assets increased to EUR 67.5 billion. Solvency continued to strengthen and cost-effectiveness is at a good level. Ilmarinen’s investments have generated a total of EUR 30.2 billion over a period of 10 years. Twenty per cent of the investments are in Finland.
    Read news article Ilmarinen's Financial Statements 2025: Return on investments was 8.1 per cent or EUR 5.1 billion
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