The decrease in the value of the interest rate stems from a decline in market rates. The next time the TyEL insurance contribution interest rate will be adjusted is on 1 July 2025. The YEL insurance interest rate will remain the same for the whole of 2025.
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 TyEL insurance contribution is not subject to insurance contribution interest if it is due by the end of the month following the month in which salaries are paid. 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.
More on the topic in the Finnish Centre for Pensions’ article Insurance contribution interest rate 2.65 per cent in 2025 (in Finnish)