Employer’s pension insurance (TyEL)

Employers are required to take out TyEL insurance for their employees.

Employer's pension insurance, or TyEL insurance, is a statutory insurance.
It is the employer's responsibility to take out TyEL insurance and report employees' wages to the Incomes Register.
Varma's TyEL insurance is among the most affordable ones in the industry, as we are the most solvent and highly efficient earnings-related pension company.

Take out or transfer TyEL insurance

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When do I need TyEL insurance?

An employer needs TyEL insurance when

they have at least one employee working under an employment contract,
the employee is at least 17 years old, and
the monthly salary paid for the work is at least EUR 70.08 in 2025.

You also need TyEL insurance if you are a private person who employs, for example, a childminder, renovator, cleaner or gardener.

The lower age limit for TyEL insurance is 17 years. The TyEL insurance upper age limit 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

Take out TyEL insurance

Different rules apply to the different company forms as to which pension law a self-employed person or a self-employed person's family member is insured under. Sometimes, for example, a family member working for the company needs his or her own YEL insurance. This depends on the company form and the family member's work and position in the company.

Learn about the impact of company form

If you or your company do not have permanent employees and you pay less than EUR 10,038 in wages over a period of six months (in 2025), you qualify as a temporary employer. In this case, you do not have to sign a TyEL insurance contract with an earnings-related pension company. You must, however, report the payroll information to the Incomes Register and pay the TyEL insurance contributions normally.

The TyEL insurance contribution is based on the wages you pay to your employees. In 2025, the TyEL basic contribution for contract employers is 25.28% of the employees' wages and an administrative cost contribution, specific to each earnings-related pension insurance company, is added to it.

You can find out the amount of the TyEL contribution by using our TyEL calculator.

Each employee also participates in the costs of the TyEL insurance. As an employer, you withhold the employee’s contribution from their wages. The employee's share of TyEL insurance 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

Varma receives the necessary earnings data from the Incomes Register. We calculate the TyEL insurance contribution according to the earnings data reported to the Incomes Register and send you an invoice.

View TyEL insurance invoices and wages in Varma Online Service

The TyEL insurance contribution payment methods are the immediate invoice and the consolidated invoice. We recommend selecting the payment method according how often the wages are paid.

We will send the immediate invoice right away when we receive the earnings data from the Incomes Register. The due date of the invoice is 21 days from the date that the invoice was sent.

On the other hand, we send the consolidated invoice once a month for earnings data reported during a one-month period.

You do not have to take out TyEL insurance or pay TyEL contributions if

your employee is younger than 17 years,
your employee is older than 67 years, or
you pay your employee less than EUR 70.08 per month in 2025.

The TyEL contributions are always based on the wages declared in the Incomes Register. Even if you have TyEL insurance but you are not currently paying wages, you won’t have to pay TyEL contributions.

Varma gives you methods for improving work ability

We help you in your busy daily life to take care of your and your employees’ work ability.

We offer our customers the Varma Academy learning environment, which gives you tools for coping at work. Our digital services will help you, for example, to identify the most common work ability risks in your sector.

In addition, our work ability experts are at your disposal.

Five reasons to choose Varma’s TyEL insurance

Affordable TyEL insurance

Varma offers you affordable TyEL insurance as we are the most solvent earnings-related pension insurance company. This is why we are able to offer excellent discounts on TyEL contributions.

Easy-to-use online service

As Varma's customer, you will have access to the user-friendly Varma Online Service, which is always open. In one service, you can easily take care of matters related to TyEL insurance and payments as well as work ability management. You can manage your TyEL insurance matters on your smartphone, for example, when it suits you best. If you also have Varma's YEL insurance, you can take care of your YEL insurance matters in the same service.

Professional service

Our experts, awarded by our customers, will support you through the changing and unexpected twists and turns of your business. Our friendly customer service can be easily reached by phone, via chat, and in Varma Online Service.

See Varma's contact information

Flexible payment arrangements

If you ever find yourself in need of flexible payment arrangements we will find a solution for your situation together. Varma has its own knowledgeable collection advisors, so please don't hesitate to contact us!

Responsible operator

In Varma, your earnings-related pension contributions are under excellent management as our investment activities are profitable and secure. Varma is a pioneer in sustainability. You can rest assured that while we look after your and your employees' pension cover, we also take the environment, our employees, and future generations into consideration.

Help with using our services

Take care of your TyEL matters online

In our online service, you can, for instance

view your TyEL insurance invoices and invoice specifications
view earnings by employee
send us messages and attachments through a secure connection
calculate estimates of TyEL contributions

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