Eläkesanasto Ordlista Pension Glossary

life expectancy coefficient

A coefficient with which your starting pension is adjusted to life expectancy. The life expectancy coefficient is applied to your old-age pension and the already earned pension component (not the projected pension component) of your disability pension.

The aim of the life expectancy coefficient is to keep in check the rising pension costs (caused by the fact that people live longer) and to encourage people to work longer.

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