TyEL key figures 2016–2023

The TyEL contribution percentage is confirmed by the Ministry of Social Affairs and Health. The TyEL earnings limit is adjusted annually with the wage coefficient.

Key figures for contract employers and temporary employers

The employee’s share depends on the employee’s age. For persons aged 53–62, the contribution is increased until 2025. The employees’ contribution share is included in the table in the basic contribution percentages and the temporary employer’s contribution percentages. In 2020, due to the Covid-19 epidemic, employers’ TyEL contribution was lowered by 2.6 percentage points for the period 1 May–31 December 2020.

Contract employer

The TyEL contribution for contract employers varies depending on the employer’s size and the disability pensions granted to the employer’s own employees. Read more about determining the TyEL contribution

* For small contract employers, the earnings-related pension insurance contribution will be a maximum of about 25.55 per cent of the payroll at Ilmarinen, when the expense loading is taken into account.  Pricing of the expense loading in earnings-related pension contributions will change.

Year Basic
TyEL contribtution
Employee's contribution, % Average employer’s contribution, % Average employee’s contribution, % Average
TyEL contribution, %
Lower
limit for obligation
to insure €/month
Large employer’s limit payroll €/year
2023 25.55* 7.15 / 8.65 17.39 7.45 24.84 65.26 2,197,500 / 2021
2022  25.85  7.15 / 8.65  17.40  7.45  24.85  62.88 2,169,000 / 2020
2021 24.8 7.15 / 8.65 16.95 7.45 24.4 61.7 2,125,500 / 2019
2020 25.3 / 22.7  7.5 / 8.65 16.95 / 14.35 7.45 24.4 / 21.8 60.57 2,086,500 / 2018
2019 25.2 6.75 / 8.25 17.35 7.05 24.4 59.36 2,083,500 / 2017
2018 25.3 6.35 / 7.85 17.75 6.65 24.4 58.27 2,059,500 / 2016
2017 25.1 6.15 / 7.65 17.95 6.45 24.4 58.19 2,044,500 / 2015
2016 25.1 5.70 / 7.20 18.00 6.00 24.0 57.51 2,025,000 / 2014

 

 

Temporary employer

Employers who do not continually employ employees and who pay their temporary employees wages that fall below the earnings limit over a period of six months can arrange their employees’ pension cover without an insurance contract (temporary employer). The reaching of the limit is monitored on a rolling basis, six months backwards from the current date. Find out whether you are a contract employer or a temporary employer.

Year Temporary employer's 
contribution, %
Temporary employer's
payroll limit EUR/6 moths
2023 26.20 9,348
2022 25.85 9,006
2021 24.8 8,790 
2020 25.3 / 22.7 8,676
2019 25.2 8,502
2018 25.3 8,346
2017 25.1 8,334
2016 25.1 8,238

 

 

The employee’s pension contribution in different years

Both the employer and employee bear part of the pension contribution costs. The employer collects the employee’s share from their wages and pays the whole contribution to Ilmarinen.

The size of the employee’s share depends on the employee’s age.

Year 17-52 years old 53-62 years old 63-68 years old
2023 7.15 8.65 7.15
2022 7.15 8.65 7.15
2021 7.15 8.65 7.15
2020 7.15 8.65 7.15
2019 6.75 8.25 6.75
2018 6.35 7.85 6.35
2017 6.15 7.65 6.15
2016 5.70 7.20 5.70

 

 

Components of the average TyEL contribution 2017–2021

In 2022, the expense loading paid by contract employers has been a maximum of around 0.5 per cent of the payroll. The expense loading at Ilmarinen in 2023 will be a maximum of around 0.25 per cent of the payroll.

Year Old-age pension Disability pension Pooled component   Other Estimate of
client bonuses
Total
2023 3.6 0.9 20.13 0.25 0.12/0.44 -0.6 24.84
2022 3.6 1.1 20.35   0.6 -0.8 24.85
2021 3.5 1.2 19.1   0.8 -0.2 24.4
2020 3.5 1.0 19.9/17.3   0.7 -0.7 24.4/21.8
2019 3.5 0.9 19.8   0.8 -0.6 24.4
2018 3.5 1.0 19.8   0.8 -0.7 24.4
2017 3.5 0.9 19.7   0.8 -0.5 24.4