The TyEL contribution of employers with an insurance contract in 2025 will consist of a basic contribution of 25.28% (25.12% in 2024), the possible contribution category impact and contribution loss reduction, as well as the administrative cost contribution and client bonus determined for each earnings-related pension company. The administrative cost contribution raises the contribution, while the client bonus lowers it. For the majority of Varma’s clients, the client bonuses have been larger than the administrative cost contributions, which means the combined impact of these lowers our clients’ TyEL contribution.
For occasional employers, the TyEL contribution in 2025 will be 26.28% of the salary/wages (26.12% in 2024).
Employees’ and self-employed persons’ contributions will remain at this year’s level
Employees’ share of the TyEL contribution will remain at this year’s level. Employees’ share of the pension contribution will be 7.15% of their salary/wages for those under the age of 53 and over the age of 62, and for those between the ages of 53 and 62, it will be 8.65% of their salary/wages. The employee’s contribution lowers the employer’s share of the TyEL contribution.
The YEL contribution for the self-employed will remain at the 2024 level: 24.1% of the YEL income for those under 53 and over 62, and 25.6% of the YEL income for those between 53 and 62.
Changes to the disability pension contribution
The disability pension contribution included in the TyEL contribution will decrease in 2025, and will be on average 0.7% of the salary/wages (0.8% in 2024). If your company’s payroll is at least around EUR 2.3 million, your company’s contribution category affects the disability pension contribution. The impact of the contribution category shows in the amount of your company’s TyEL contribution.
The changes to the contribution category model that entered into force at the start of 2024 will be concretely visible in the disability pension contribution for the first time in 2025, when companies’ deductible on the disability pension contribution based on the contribution category will be reduced to 90% from the previous level.
Read more about Varma’s administrative cost component in 2025
Estimate of the 2025 TyEL contribution in the Varma Online Service
In our online service, you can easily calculate an estimate of next year’s TyEL contribution on the ‘Forecasts and reports’ page. All you need is an estimate of your company’s payroll for 2025. The service can provide you with a more detailed estimate of your company’s TyEL contribution, e.g. for next year’s budget. You can use the same service to keep track of the current year’s budget and to estimate the TyEL contributions for the rest of the year.