How many business owners saw YEL contributions rise in 2025 review

Earnings-related pension insurers reviewed the YEL income of around 58,000 business owners last year.

For almost half of those reviewed (49%), or just over 28,000 business owners, the confirmed YEL income level rose in 2025. For 48%, YEL income remained unchanged. For less than 1%, the YEL income decreased. In the remaining cases, the review was still ongoing when the data was collected, or the YEL insurance ended during the process.

The figures come from preliminary data collected in December by Tela, the Finnish Pension Alliance.

Last year, the review focused on confirmed YEL income levels above €25,000. Also under review are YEL incomes of business owners who have held a YEL policy for at least three years and have not made any significant changes to their YEL incomes in that time.

Under current legislation, the YEL income must match the annual salary that would be paid for the same work with the same professional skills.

At most, confirmed YEL income can rise by €4,000 in a review. This means an increase of around €85 per month in YEL contributions.

For 42% of business owners subject to review, YEL income rose by the maximum €4,000. Tela notes that some of these business owners may face another increase in the next review round three years from now. The maximum increase limit applies to all YEL-insured business owners until the end of the transition period defined in the 2023 legislative amendment, i.e., until the end of 2028.

For a small share of reviewed business owners, a smaller increase was sufficient to bring YEL income in line with their work input, or the business owner chose an increase exceeding the maximum amount.

7% rejected suggested YEL income

Around 58,000 YEL insurance policies were reviewed last year. In its press release, Tela said pension insurers primarily base YEL income assessments on the estimate produced by the YEL income calculator.

Tela reports that around 35% of business owners who received a suggested new YEL income did not respond at all. Around 7% rejected the suggestion and wished to provide additional information to correct the proposed YEL income level. Such additional information concerned things like the scale of business activity and the value of the business owner’s work input. In the material submitted by business owners, the main themes included errors in turnover background data, the business owner’s ability to pay, changes in the company’s situation, low working hours, and health-related reasons.

Calculator refined

Business owners under review who gave feedback criticized the fact that YEL income is assessed on the basis of turnover, Tela notes in its press release. They considered the proposed YEL incomes high in relation to their actual work input or earnings. Their feedback also emphasized how turnover does not take account of business expenses.

“The Finnish Centre for Pensions has updated the YEL income calculator since the beginning of 2026, limiting the recommendation to a maximum of 60% of the business owner’s turnover,” comments Janne Pelkonen, Senior Specialist at Tela, in the release.

YEL reform

Petteri Orpo’s government is reforming the Entrepreneur’s Pension Act. In this context, the YEL report by rapporteur Jukka Rantala was published shortly before Independence Day. Suomen Yrittäjät, the Finnish SME association, stated as soon as the report was released that it cannot serve as the basis for further legislative drafting of the YEL reform.

Suomen Yrittäjät would reform the pension legislation as follows:

Business owners’ freedom to determine the level of their pension cover and contributions must be increased.
The minimum threshold for mandatory insurance must be raised from its current level to the minimum threshold for earnings-related unemployment security.
Legislation must be amended to treat the business owner’s own declaration of their work input as the starting point for YEL income.
The current YEL income calculator must be scrapped.
Running a business must not be made more difficult through blanket contribution increases.
The pension system must be made more efficient and its flexibility increased.
Read more YEL-related news here.

Business owners’ freedom to determine the level of their pension cover and contributions must be increased.
The minimum threshold for mandatory insurance must be raised from its current level to the minimum threshold for earnings-related unemployment security.
Legislation must be amended to treat the business owner’s own declaration of their work input as the starting point for YEL income.
The current YEL income calculator must be scrapped.
Running a business must not be made more difficult through blanket contribution increases.
The pension system must be made more efficient and its flexibility increased.
Read more YEL-related news here.

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Toimitus

toimitus@yrittajat.fi