Being a light entrepreneur is a popular form of entrepreneurship. As a light entrepreneur, you carry out work assignments for your customers in your own name but you do not necessarily have a business ID or your own company. You agree on the terms and conditions of the work and the related payment or compensation with your customer and you acquire your own customers. Light entrepreneurship is an easy way of finding out if entrepreneurship suits you.
I am a light entrepreneur. Do I need to take out YEL insurance?
Like other entrepreneurs, light entrepreneurs take care of their own pension security. The usual requirements regarding YEL insurance also apply to light entrepreneurs. You have to take out YEL insurance if:
- you are 18 years of age
- you are self-employed
- your work continues for at least four months and
- your YEL income exceeds, over a period of at least four months, approximately EUR 751 per month, or EUR 9,010.28 per year (2024).
As a starting entrepreneur, you are entitled to a 22% discount on your YEL contributions for the first four years (48 months).
Seasonal or irregular entrepreneurial activities may also require you to take out YEL insurance if the requirements for the insurance are met.
I am a light entrepreneur and paid employee at the same time. Do I need to take out YEL insurance?
Part-time light entrepreneurs also need to take out YEL insurance if the requirements for YEL insurance are met: you are 18 years old, your entrepreneurial activities have been going on for over four months and your YEL income is over EUR 9,101.28 per year.
Part-time entrepreneurs accrue pension from both their paid employment and their entrepreneurial activities.
Why does a light entrepreneur need YEL insurance?
YEL insurance serves as the basis for the social security of light entrepreneur. Light entrepreneurs can take out voluntary accident insurance when they have a valid YEL insurance policy. In addition to pension benefits, the YEL income amount connected with the YEL insurance policy is used to determine sickness and parental allowances as well as unemployment benefits.
Light entrepreneurs can join the Unemployment Fund for Entrepreneurs if their YEL income is a minimum of EUR 14,803 (2024) per year. If you are a part-time light entrepreneur and paid employee at the same time, find out which unemployment fund is the right one for you.
Do you have any questions?
We are happy to help you.
Veritas is a pension insurer for entrepreneurs. We provide you not only with YEL insurance but also with your own insurance contact person. Our insurance advisors know everything there is to know about YEL and TyEL insurances, so you can focus on your entrepreneurial activities.
For us, you are number one. We welcome you to be the first in line.
Give us a call! We will answer your call in less than 20 seconds.
Call us at +358 (0)10 185 612 or send an email at yel@veritas.fi