The insurance contribution interest rate is based on the 12-month TyEL benchmark rate quoted daily by Garantia, but it is always at least 2 per cent. The TyEL 12-month benchmark rate is based on the Euribor rates and the returns on eurozone countries’ benchmark bonds.
The interest rate calculated on TyEL insurance contributions depends on the date when the contribution falls due. Insurance contributions falling due by the end of the month following the month in which salaries are paid are not subject to insurance contribution interest. If the customer has arranged an extended payment term with interest, the insurance contribution interest on the payment is calculated from the end of the month following the salary payment month until the contribution’s due date. The TyEL insurance contribution must always fall due at the latest at the end of the second month after the month in which salary is paid.