How to take TyEL insurance
Who is insured under TyEL?
All employees in an employment relationship, who are 17 years or older and whose monthly earnings are a minimum of €68.57 in 2024 (EUR 65.26 in 2023) shall be insured under TyEL insurance. All employees in the private sector, with the exception of seamen, are insured under TyEL insurance, including those receiving pension.
The upper age limit for TyEL insurance depends on the birth year of the employee in question:
- If the employee was born in 1957 or earlier, they will be insured until they reach the age of 68 years.
- If the employee was born in 1958–1961, they will be insured until they reach the age of 69 years.
- If the employee was born in 1962 or later, they will be insured until they reach the age of 70 years.
When does TyEL insurance need to be taken, at the latest?
TyEL insurance must be taken well in advance of the first salary payment in order to ensure that pension insurance matters are handled before earnings are reported to the Incomes Register.
For the reporting, you need a pension policy number, which is derived from your insurance policy number.
Take insurance from Veritas here!
Why does Veritas want to know about the authorised persons in your company?
Based on the law concerning the prevention of money laundering and financing of terrorist activities, Veritas has a duty to know its customers and their activities both upon initiation of and during the customer relationship. Therefore, we collect identification data already in connection with the insurance application.
Please also acquaint yourself with our privacy policy. It explains how we process your information at Veritas.
When can I be an occasional employer and when do I need to sign an insurance contract?
An occasional employer hires employees only on an occasional basis and the six-month payroll for the employees is less than EUR 9,822 in 2024. A contract employer pays salaries regularly and consistently has at least one employee. An employer cannot be a contract employer and an occasional employer at the same time.
Where do I get a certificate showing that I have taken pension insurance and paid my pension insurance contributions?
Employers who have a valid online service agreement with us can print out payment certificates themselves in the online service. Otherwise, please call Veritas corporate services to get a payment certificate, tel. +358 10 195 600.
How is work performed abroad insured?
As a rule, work performed abroad is insured according to the legislation of the country of employment. Exceptions to this rule are, for example, posted employees, employees working in several countries or those working under special permit. See further information.
How are foreign employees insured?
As a rule, the social security legislation valid in the country of employment is applied to foreign employees. Regardless of the nationality of the employee, any work performed in Finland is insured under TyEL, unless the case concerns, for example, posted workers. See further information.
How do I insure an employee who is 17 years or older?
Any salaries/wages paid to an employee from the beginning of the month following the day they turn 17, regardless of when it has been earned, is reported under TyEL insurance. The earnings are insured if they exceed €68.57 in 2024 (EUR 65,26 in 2023).
Example: An employee has turned 17 on 15 February 2023. If they have received a salary/wages on 28 February 2023, these earnings are not insured. If, however, they have received a salary/wages on 15 March 2023, these earnings must be insured.
How can I transfer my TyEL insurance policy to Veritas?
You can give notice to cancel your TyEL insurance policy on the last day of March, June, September or December. Your insurance will be transferred to Veritas three months after giving notice. In other words, an insurance policy that is cancelled on 31 March, for example, will become effective at Veritas on 1 July.
The insurance policy must have been valid for a minimum of one year in the previous company before it can be transferred.
The policy is cancelled by submitting a transfer application to Veritas. Veritas will take care of the cancellation with the previous company as soon as we have received your transfer application.
Go to our online TyEL transfer application.
Is it necessary to take TyEL insurance for an employee, who is already retired?
Employees who are already retired also need to be insured if they have not yet reached the age when their insurance obligation ends and their monthly earnings are more than EUR 65.26.
Are occasional employees or seasonal employees insured in the same way as other employees?
Occasional or seasonal employees shall be insured within the same insurance policy as employees who are in a continuous employment relationship.
Can employers make an agreement regarding pension insurance directly with employees?
Employers and employees cannot agree upon the arrangements regarding a statutory pension insurance between themselves.
Employers are, according to the Employees Pensions Act (TyEL), obligated to arrange for the pension security of their employees. In practice, this means that employers must take out earnings-related pension insurance for their employees and participate in its costs by paying their share of the pension contributions. Employees are also obligated to pay their own share of the pension contribution.
Can employers insure the employees’ earnings even though they remain below the earnings limit?
Employers can but are not obligated to insure employees whose earnings fall below €68.57 in 2024 (EUR 65.26 in 2023). In such a case, both the employer’s and the employee’s share of the contribution is withheld from the salary/wages.
Is it possible to have a valid insurance policy with no employment relationships?
TyEL insurance can be valid if the company is temporarily not paying any salaries/wages. However, if no salaries/wages are going to be paid in the future, either, the insurance policy should be terminated.
In case an insurance policy has been kept in force but no salaries/wages have been paid, the employer must notify of this with a separate notification to the Incomes Register. Read more, incomesregister.fi.
Can I include all employees in the same insurance policy?
All employees of an employer, both regular and occasional employees, must be insured under the same insurance policy.
TyEL contributions
What does the TyEL contribution consist of?
The TyEL contribution is based on grounds confirmed by the Ministry of Social Affairs and Health and is the same for all pension insurance companies. The contribution of a contract employer depends on the size of the employer and the client bonuses of the pension company. An occasional employer has a fixed contribution. The TyEL contribution is calculated based on the payroll sum paid to the employees. See the current contribution percentages here.
How is the TyEL contribution divided between the employee and employer?
The employer pays the entire TyEL contribution to the pension insurance company and withholds the employee’s share in connection with the payment of salary or wages. The employee’s contribution is determined by the employee’s age: Employees aged 53–67 years pay a different contribution than other employees. See the current contribution percentages here. Employers pay the TyEL contributions of employees who are aged 17–67 years.
Do I need to use a payment reference when paying TyEL contributions?
Yes, you do. When a reference number is used, the payment is directed to the correct charge.
Can the due date of a TyEL invoice be changed permanently?
Insurance contributions are primarily due for payment on the last day of the month following the salary payment month. You can also choose to have a separate invoice for each salary payment, in which case a term of payment “14 days net” is applied to the invoices.
You can determine your own invoicing schedule; please contact us at tyel@veritas.fi!
Can the payment method for TyEL insurance be changed?
The TyEL contributions are primarily due for payment on the last day of the month following the salary payment.
Is an annual calculation performed for TyEL insurance?
The use of annual calculations came to an end along with the introduction of the Incomes Register. The TyEL contributions are invoiced in real time on the basis of the payroll information reported to the Incomes Register. You will find an annual summary of TyEL contributions and reported earnings from our online service.
What is a contribution category?
The contribution category of a company is determined by the company’s average of risk ratios from two consecutive years. The higher the average, the higher the contribution category.
The risk ratio is the expenditure from disability pensions granted to a company’s employees divided by the average disability pension expenditure. Pension expenditure refers to the implicit cost that is incurred by disability pension until the pensionable age for old-age pension. The size of the pension expenditure depends on the age, employment history and earnings of the pension recipient.
What does the disability contribution consist of?
The disability contribution is a part of the TyEL contribution. In 2023, the disability contribution consists of the basic contribution that depends on the age distribution of a company’s employees as well as of a liability component based on the contribution category as follows:
- If company’s liability earnings in 2021 were less than EUR 2.198 million, the disability pension contribution is determined solely on the basis of the basic contribution and the contribution category does not affect the contribution.
- If a company’s liability earnings exceed EUR 2.198 million but fall below EUR 35.2 million, the employer is partially liable. In such a case, the disability pension contribution is determined partly by the company’s contribution category and partly by the basic contribution.
- In case a company’s liability earnings exceed EUR 35.2 million, the employer is fully liable and the disability pension contribution is determined by the company’s contribution category.
When will an employer have a pension expenditure that affects the contribution category?
New disability and partial disability pensions granted in 2020 and 2021 and valid until further notice will affect the contribution category of the year 2023. The contribution category for the year 2022 will, logically, be affected by pensions granted in the years 2019 and 2020.
The starting date of an employee’s disability determines those companies whose contribution categories will be affected by the disability pension.
The disability pension expenditure is divided among the companies that have paid salaries/wages for the employee during the two years preceding the onset of the disability.
Example: A person’s disability started in the year 2020. They have been granted disability pension in the year 2021. In this case, the disability pension expenditure affects the contribution categories of the companies that have paid salaries/wages to the person during 2018 and 2019. The pension expenditure is divided among these companies in relation to the salaries/wages they paid during 2018 and 2019. A pension granted in 2021 will affect the contribution categories of the years 2023 and 2024.
Which disability pensions affect the contribution category?
New disability and partial disability pensions granted to employees until further notice affect the disability pension contribution through the impact of the contribution category. The smaller the disability pension expenditure caused by disability pensions granted to a company’s employees, the lower the company’s contribution category will be.
The pension expenditure does not include the costs of temporary pensions, in other words, rehabilitation support or allowances. Also, changing a partial disability pension to become a full disability pension does not affect the contribution category.
What is meant by increased contribution for neglect?
Payment of an increased contribution for neglect can be ordered if TyEL insurance has not been taken on time.
Client bonuses
Who will receive client bonuses?
Contract employers can receive a client bonus for their insurance contributions. The best bonuses are accrued on the basis of long-term client relationships. Occasional employers are not entitled to receive client bonuses.
What is meant by the TyEL pension insurance fund?
A fund is accrued from the TyEL contributions paid by the company. The fund affects the size of client bonuses paid to the company and it is intended to cover part of the funding for future pensions. The company has the possibility to lend part of the fund that has accrued to its insurance.
What are client bonuses comprised of?
The size of a client bonus is affected by the return on the employment pension company’s investments and the effectiveness of their operations, the size of the TyEL contribution as well as the fund accrued to the insurance on the basis of earlier contributions. The larger the fund and contribution, the larger the client bonus for that TyEL insurance policy.
Employment and payroll reports
When is payroll information reported?
From the beginning of 2019, payroll information is reported to the Incomes Register within five calendar days of the payment of salaries/wages. If salaries/wages are paid more than once a month, the information is reported separately for each payment.
Do small salaries/wages that fall below the TyEL limit need to be reported to the Incomes Register?
As instructed, these salaries are reported to the Incomes Register normally, but they are marked with the text “no obligation to insure”. Read more, incomesregister.fi.
If salaries for hours worked in December are paid in January, for which period should the payroll information be reported?
The payroll information is reported according to the payment date, in other words, in January.
Do meeting or speakers’ fees need to be reported in TyEL insurance?
Meeting fees are usually paid to persons working in positions of trust. In general, positions of trust are not included in the scope of obligatory employment pension in the private sector and, therefore, meeting fees are not reported under TyEL insurance. If the employee, however, is in an employment relationship with the company for which they are working in a position of trust, the fees paid to the employee for their position of trust shall be insured in a manner similar to the employee’s actual employment relationship. In such a case, the fees paid for positions of trust are earnings that form the basis for pension and are, therefore, reported under TyEL insurance.
Occasional speakers’ and lecture fees are generally not reported under TyEL insurance, whereas speakers’ fees paid by one’s own employer as part of the employment relationship are reported.
What is a pension policy number?
A pension policy number is an 11-character series of numbers that is used to report earnings payments. You get it by adding zeros to your insurance policy number:
- The pension policy number for Veritas customers follows the form 56-0012345A.
- The pension policy number for former Alandia customers follows the form 56-7401234A.
Are earnings paid during the notice period considered TyEL earnings?
In case the duration of the notice period is a maximum of six months, the salaries/wages paid during the notice period shall be included as TyEL earnings. It is of no relevance whether the employee is working during the notice period or not.
If the duration of the notice period is more than six months, the salaries/wages paid for the exceeding time is considered TyEL earnings if the employee is working during the notice period. If the employee is not working during the notice period, the salaries/wages paid for this period are considered compensation and are not included as TyEL earnings. If an employee is made redundant during a period of temporary lay-off, the salaries/wages for the notice period are not considered to be TyEL earnings.
Does a change in the reporting frequency also affect the payment of pension contributions?
Yes, it does. The payment of contributions will also change. The payments that are based on the salaries/wages of a payment month are combined and they are due for payment on the last day of the following month.
If you would like to have a separate invoice for each payment event, please contact your own insurance adviser to change the method of payment.
The invoice for employment pension contributions is still sent by Veritas even though the payroll information is reported to the Incomes Register. An exception to this are any earnings reported via the palkka.fi service. In such a case, the invoice shall be obtained from palkka.fi independently.
We will no longer invoice for advance payments in the future.
Employer’s online service
How do I log in to the online service?
Use your personal online banking codes, a mobile certificate or certification card to identify yourself. The online service requires identification in order for us to confirm your identity.
How do I identify myself if I do not want to use my personal online banking codes for work-related matters?
No problem – if you do not want to use your personal online banking codes to identify yourself when logging in to our online service, you can identify yourself by using a mobile certificate or certification card.
Can I use the online banking codes of my company to register to the online service?
When you start using the online service, you need to register by using either your personal online banking codes or a mobile certification. The online banking codes of your company cannot be used for identification.
How can a person identify themselves in the online service if they have no social security number?
The suomi.fi identification that the online service requires for logging in is not currently possible for foreign users. Our insurance advisers are glad to help you if you do not have a Finnish social security number or the possibility to use personal online banking codes, a mobile certificate or a certification card.
How does my accounting firm get access to the Veritas online service?
You can apply for the contact person at your accounting firm to have access rights to the service by filling in an online service agreement or by contacting your insurance adviser.
I would like to print out a payment certificate from the online service but it will not open. What’s the problem?
If you cannot open a payment certificate (pdf file), please check the settings of your internet browser to make sure that pop-up windows are allowed. If pop-up windows are disabled, the payment certificate file cannot open.
I logged in to the online service but it looks strange. What’s the problem?
We recommend that you use the latest browser versions for data security reasons; we suggest you use the Chrome browser by Google. Our online service also supports the following browsers: Edge, Mozilla Firefox. When using other browsers, the appearance of the service, in particular, may be different.
What should be done in a situation when a person with access rights to the online service stops working for the company?
The access right should be terminated in writing. This can be communicated to Veritas, for example, by sending a message through the online service.
Is the online service of Veritas secure? Who has access to my insurance and personal information?
The right to use our online service is personal and policy-specific. The online service requires identification in order for us to confirm your identity.
The data connection and messaging within our online service are protected by SSL encryption. As an indication of the encryption, the top or bottom bar of your browser window shows a lock icon or another similar icon. Veritas has implemented all technical measures required by legislation to protect personal information and ensure data security. Only those Veritas employees, whose job description includes the processing of insurance policies have access and are able to process the employment and earnings information of customers.
I tried to log in to the online service but was denied access. What’s the problem?
Close the browser and log in again after a while. If closing the browser does not help or there is another problem, please contact us by email at tyel@veritas.fi or by calling the number +358 10 195 600 (TyEL customers). We are at your service by telephone and email Mon–Fri from 8 am to 4 pm.
Incomes Register
What is the Incomes Register?
The Incomes Register is a national electronic database that was introduced in 2019. It contains information on salaries, wages, pension and benefits on an individual level. The data producers, in other words, employers, for example, report the information concerning their employees’ earnings to the Incomes Register in real time and in a contribution-specific manner within five days of the payment date, as a general rule.
The information submitted to the Incomes Register is used, for example, for the calculation of benefits and pensions, the determination of client contributions and for the supervision and statistics of various authorities. The Incomes Register does not give the authorities any new rights to receive information but, instead, every information user only has access to information according to their rights as stipulated by law.
Why isn’t it possible for my accountant to provide the payroll reports to the Incomes Register on my behalf?
Your accountant can continue to provide the payroll reports to the Incomes Register on your behalf. For this, they need to be authorised by the suomi.fi service. Read more about authorisations on the suomi.fi website.
How does one report payroll information to the Incomes Register if they do not use a payroll system or the services of an accountancy firm?
The payroll information can be reported to the Incomes Register via an electronic service. Using the service requires identification.
Also, it is still possible to report payroll information by using the Palkka.fi service.
Paper forms can no longer be used to report the information. The Incomes Register receives payroll information on paper only in cases when electronic reporting would be unreasonably difficult.
Are annual notification still used with the Incomes Register?
Annual notifications have no longer been in use since the introduction of the Incomes Register in the beginning of 2019.
The payroll information for 2018 was the last that could be submitted through annual notification.
Do I need to report the payroll sum to the Incomes Register more frequently than once a month if I pay salaries/wages at intervals of two weeks?
The payroll sum needs to be reported to the Incomes Register within five days of the salary payment date. If you pay salaries/wages twice a month, the report needs to be submitted for both payment dates separately.
Can I still use the online service of Veritas to report the payroll sum now that the Incomes Register is in use?
Reporting the payroll sum is no longer possible through our online service now that the Incomes Register has been introduced.
Employee’s pension security
Where do employees find the old-age pension application and when does it need to be submitted?
Employees can fill in the pension application through Veritas’ website . The form can be ordered from us by telephone or can be picked up from, for example, a Kela service point. The pension application should be submitted approximately one month before retiring.
What pension benefits does TyEL insurance cover?
The statutory TyEL insurance provides security in the case of old age, disability and death of the family provider. The employment pension system also supports the vocational rehabilitation of employees. In case of no or minimal earnings, the national pension will ensure subsistence for the duration of retirement. Read more about the pension benefits.
How is pension accrued?
An employee’s pension will accrue from all employments as long as the earnings exceed EUR 65.26 per month in 2023.
The amount of pension accrued is 1.5 percent of the annual earnings, unless the employee is aged 53–62, in which case the accrued percentage is 1.7% of the earnings. Employees earn pension from the age of 17.