When do you need TyEL insurance?

As an employer, you are responsible for ensuring the pension security for your employees by taking a statutory earnings-related insurance known as TyEL insurance. 

Take the TyEL insurance without delay when you are hiring an employee. You need to take the insurance no later than in connection with the first salary payment and before reporting of earnings information to the Incomes Register.

You need to take the TyEL insurance when an employee

• is employed within a contractual employment relationship
• is at least 17 years old and
• earns a minimum of 70.08 € per month in 2025 (68.57 € per month in 2024).

The upper age limit of the obligation to insure depends on the employee’s year of birth:

• 68 years for those born in 1957 or earlier
• 69 years for those born in 1958–1961 and
• 70 years for those born in 1962 or later.

Any paid work done alongside pension must also be insured, if the employee has not reached the upper age limit for the obligation to insure.

You can ensure the pension security for your employee(s) either by taking the TyEL insurance for contract employers or by making notifications as an occasional employer.

Take the TyEL insurance for contract employers if

• the employment relationship of at least one employee is permanent,
• you pay salaries/wages regularly, or
• the estimated total 6-month payroll for your employees is a minimum of 10,038 € in 2025 (9,822 € in 2024).

A household can also be a contract employer. A contract employer shall also include any temporary employments in the TyEL insurance policy.

You are an occasional employer if

• you only hire an employee temporarily or occasionally,
• the total 6-month payroll for your employees is less than 10,038 € in 2025 (9,822 € in 2024) and
• you or your company do not have a valid TyEL insurance policy.

An occasional employer can be a company, an organisation or a household. 

Please note that you cannot simultaneously be both a contract employer and an occasional employer. If you are a contract employer, you must also include any temporary employees in the TyEL insurance policy. Occasional employers must report any paid wages immediately upon payment.

Positions of trust are not statutorily required to be insured under TyEL, but the employer can voluntarily take a TyEL policy for those in positions of trust.

Positions of trust include, for example

• positions of trust in labour market organisations and ideological organisations
• memberships on supervisory boards, consultative committees and executive boards.