TyEL in 2025

In 2025, the basic TyEL contribution for contract employers is 25.28% of the employees' wages, and an administrative cost contribution, specific to earnings-related pension insurance companies, is added to it.

Part of the TyEL contribution is paid by the employee. The employee's share of the pension contribution is deducted from their wages. The employee's contribution depends on their age.

The employee's share of the TyEL contribution in 2025 is:

• 7.15% of the wages for people aged 17–52
• 8.65% of the wages for people aged 53–62
• 7.15% of the wages for people who have turned 63

Client bonuses lower your insurance contributions. Client bonuses are paid out once a year in the spring. The more solvent the pension insurance company, the better the client bonuses it can distribute. Varma has a long history as the most solvent earnings-related pension company. That means we also pay our customers the highest client bonuses.

Client bonuses will be used towards future invoices or returned to your bank account. Let us know how you want to use them in Varma Online Service by going to Insurance policies > Insurance policy information and making the necessary changes under Use of client bonus and extra payments > Edit.

Read more about client bonuses

We have compiled for you a handy table of TyEL contributions and limits for 2025! In the table, you can also see the contribution rates and limits for 2025 for other social insurances, such as unemployment insurance and accident insurance.

Open the Social security contributions and limits 2025 table

Since 2023, each earnings-related pension insurance company has set its own administrative cost contribution. The administrative cost contribution is a part of the TyEL contribution that is used to cover the costs arising from the administration and implementation of insurance. The level of the administrative cost contribution depends on the efficiency of the earnings-related pension company's activities.

From the beginning of 2025, the administrative cost contributions of Varma’s customers will decrease even further, by as much as 20%, depending on the size of the company.

Read more in our news article: Varma’s administrative cost contribution will decrease again next year, by as much as 20% – as the most solvent earnings-related pension company, we also pay the highest client bonuses

Due to the COVID-19 pandemic, a temporary reduction in the TyEL contribution was granted in 2020 to ease the payment burden for employers in a difficult situation. The repayment of the temporary reduction is divided between 2022 and 2025. The reduction will be repaid for the last time in 2025.

The impact on the 2025 TyEL contribution is 0.45 percentage points. The increase will be applied to the employers' contribution, while the employees' contributions will remain unchanged.

With our digital services, you can make estimates and reports on your TyEL contributions for 2025. In Varma Online Service, you can track realised contributions for accounting purposes. You can also make estimates for the rest of 2024. The simple and user-friendly Varma Online Service is always open!

Log in to Varma Online Service

The Estimates and reports section helps you monitor your budget and make an estimate for your financial statements. You can see the current 2024 TyEL salaries and contributions. You can also estimate the TyEL contribution and contribution rate for the entire year of 2024. In addition, you can make an estimate of the TyEL contribution for 2025. All you need is an estimate of the 2025 payroll. The service also shows you the client bonus for 2024.

The Data for financial statement tab provides you with information on TyEL insurance contributions and invoicing for accounting purposes. Use the service, for example, for monthly reconciliations or interim accounts. You can see TyEL contribution data for the previous and current year. You can also view the total of invoiced TyEL invoices and payments made. When the year changes, the year 2025 will be available for reporting and monitoring.