Ilmarinen
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Self-employed
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Social security and pension for the self-employed
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Self-employed person’s pension
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Starting business after retirement
Starting business after retirement
Many people continue running a business when they retire, or start a business only after retirement. This often raises questions such as: can I work as an entrepreneur while receiving a pension, how much am I allowed to earn, and do I need YEL insurance?
Can I work as an entrepreneur while retired?
Yes, you can.
You can continue as an entrepreneur when you retire or start a business while already retired.
How working affects your pension depends on:
- which type of pension you receive
- the amount of your YEL income
- whether an earnings limit applies to you
Does an earnings limit apply to me?
An earnings limit does not apply if you receive:
- old-age pension, or
- partial early old-age pension
If you are on old-age pension or partial early old-age pension, you can work as an entrepreneur and earn income freely without it affecting your pension.
When does an earnings limit apply?
An earnings limit applies only if you receive one of the following pensions:
- disability pension
- rehabilitation allowance
- partial disability pension
- partial rehabilitation allowance
- years-of-service pension
In these situations, the earnings limit determines how high your YEL income can be without your pension payments being suspended.
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The earnings limit shows how much you can work as an entrepreneur while receiving a pension.
- The earnings limit is monitored based on your YEL earned income
YEL earned income reflects the monetary value of your work input - It is not your company’s turnover or your taxable income
- As long as your YEL earned income stays within the earnings limit, your pension will continue to be paid as normal
- The earnings limit is monitored based on your YEL earned income
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Years-of-service pension
While receiving a career pension, the earnings limit is the same for everyone and is reviewed annually.
In 2026, the earnings limit is:
- €990.90 per month
- that is €11,890.80 per year
Työkyvyttömyyseläkkeillä
When you are on a disability pension, the earnings limit is personal. It is based on your previous earnings or, for entrepreneurs, on your YEL earned income.
What happens if the earnings limit is exceeded?
If your YEL income exceeds the earnings limit:
- a short-term exceedance does not yet affect your pension
- if the exceedance continues for at least three consecutive months, your pension will be put on hold and payment will be stopped from the first month of exceedance
We always send out a separate decision when pension payments are suspended.
How do I report exceeding the earnings limit?
Contact us immediately if:
- your YEL income is about to exceed the earnings limit, or
- you want to make sure how earnings monitoring works in your situation
You can report the change:
- via the online form Notification of work alongside pension
- by calling our customer service
If you also receive a pension from Kela, remember to notify them as well.
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Yes.
When you end your business activity, or reduce your work so that your YEL income falls below the earnings limit.
Your pension can be reinstated from the beginning of the month following the end of business activity, or from the month in which your YEL income falls below the limit
We always issue a separate decision on reinstatement.
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A pension can be on hold for a maximum of two years.
After that, it will be terminated.
- for disability pension, termination is counted from the date the pension was put on hold
- for rehabilitation allowance, termination follows the granted end date
We always issue a separate decision on termination.
What is YEL earned income and how do I determine it?
YEL earned income is an estimate of the value of your work input as an entrepreneur.
It is not your company’s profit, turnover, or the salary you pay yourself.
You can assess your YEL earned income by asking: How much annual salary would you pay, in your line of business, to someone with the same professional skills as you to do your job?
Your YEL earned income affects:
- how much pension you accrue
- your social security
- any applicable earnings limits
Do I need YEL insurance if I work as an entrepreneur while retired?
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You do not need mandatory YEL insurance.
If you wish, you can take out voluntary YEL insurance, which will accrue additional pension until the upper age limit for old-age pension.
If you are interested in voluntary YEL insurance, please contact our customer service.
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- Your mandatory YEL insurance will end automatically
- You can continue as an entrepreneur and take out voluntary YEL insurance
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You can continue your entrepreneurial activity without restrictions, as there is no earnings limit. Your YEL earned income must correspond to your actual work input.
If you reduce your workload, you can easily apply for a change to your YEL earned income in the entrepreneur’s online service. Apply for a change to your YEL earned income
If you stop your business activity, you can end your YEL insurance in the entrepreneur’s online service. End YEL insurance
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You can work as an entrepreneur within the earnings limit. In this case, YEL insurance is mandatory if the conditions for insurance are met.
YEL insurance is mandatory if:
- you work as an entrepreneur continuously for at least 4 months
- your YEL earned income is at least €9,423.09 per year or €785 per month in 2026
If you already have valid YEL insurance and reduce your workload, you can easily apply for a change to your YEL earned income in the entrepreneur’s online service.