The pension commitment holds strong

The pension commitment means that you will receive the pension that belongs to you. It is a contract between the generations. You and your generation are paying the pensions of your parents. Future generations will pay for your pension. We ensure that this will happen.

Earnings-related pensions are a Finnish social benefit. It is stated in the constitution and earnings-related pension legislation.

That is why you don’t have to worry about whether you will receive a pension when it’s your turn. Or about how large it will be. You can be sure that you will receive it. You also know that it will be about 50–60 per cent of the salary or wages that you earn, on average, during your career. And, as a self-employed person, of your average YEL income.

Your earnings-related pension will provide you with a decent income. You can supplement this by planning your cash flows and saving money, if possible.

Ilmarinen or another earnings-related pension insurer will provide you with earnings-related pension, i.e. the insurer which your latest employer insured you with or which you took out insurance for yourself with as a self-employed person.

If your career has been fragmented, your pension may end up being small. Then you will also receive national pension from Kela.


That is why you too will receive your pension

The world may change and the economy may struggle. You and future generations will still receive your pensions. There are a number of reasons for this.

  1. Pension accrues on every hour that you work. It also accrues on specific social benefits. The pension you have earned will remain even though your workplace changes or your business operations end. You cannot lose the earnings-related pension you have earned – it is covered by the constitution’s protection of property.

  2. Our earnings-related pension system is based on reciprocity between the generations. Almost all Finns have worked and paid pension contributions at one time. When they retire, they will, in turn, benefit from the pension system.

  3. Pension assets are safe even if the economy is struggling. We pay out some of them as pensions to current pensioners. The rest we invest productively, securely and responsibly. For future generations.

  4. We, the earnings-related pension insurers, work together. If one of us were to cease to exist, the other earnings-related pension insurers would ensure that everyone receives their pension.

  5. The pension system changes hand in hand with the rest of the world. For example, by raising the retirement age, we will ensure that there will be enough people paying for pensions in relation to those receiving pensions. Of the Finns born today, as many as one third will live to be 100. The longer we live, the longer we will be pensioners. And the longer we will have to keep working in order to earn more pension. For future generations.