Flexibility Regarding Earned Income and Insurance Fees

The financial position of the business may be taken into account when determining the amount of the YEL fees. An employer may in circumstances of financial hardship apply for a reduction of the fees. When the finances of the business improve, the employer may, on the other hand, pay an additional fee.The adjustment is applicable for one calendar year at a time and may be done only once year. The adjustment must be applied for in writing.

Adjustment may not be used if the insurance has ended, if the insurance is in not in force for the entire year in the same pension insurance company, if there are unpaid YEL fees, if the self-employed person receives a discount based on a new business in the same year, if the self-employed person receives employment pension in Finland or if the self-employed person has turned 62 years before the year for which the adjustment would be made. In addition, adjustment is not possible if the Finnish Centre for Pensions has taken a mandatory insurance on behalf of the self-employed person.

The payment flexibility changes the overall income and effects therefore to the pension.

The due date for YEL-fees is always the 20th day of the month during which the installment becomes due.