Don't underinsure yourself!

Your confirmed income is the annual income you estimate to earn from your self-employment. Do not underinsure yourself but set your confirmed income at as correct a level as possible already from the start of your self-employment.

Your confirmed income will determine your:

  • pension contribution,
  • future monthly pension,
  • sickness allowance based on  your health insurance,
  • benefits based on your voluntary accident insurance,
  • unemployment allowance, and
  • income during parental leaves.

Earnings limits in 2018 

  • You have to earn at least €7,656.26  per year from your self-employment.
  • You can insure earnings to an amount of no more €173,875 euros per year.
  • To get insurance for unemployment, you have to earn at least €12,576 euros per year from your self-employment.

When you take out insurance, you will set your confirmed income from self-employment together with your pension provider. Your income from self-employment must correspond to your work input, the nature and extent of your self-employment.  A good rule of thumb is that your income should correspond to the wage you would pay to a person if you hired them to do your work.

Example: Physiotherapist

The income of a physiotherapist is determined based on their experience, special skills, form and scope of business.

The average income for a physiotherapist is based on the wage set in the collective agreement for physiotherapists, plus a four-year length-of-service bonus.

As a result, the minimum annual income of a full-time physiotherapist with a private practice is estimated at 28.000 euros.

Example: Property cleaners

The members in Real Estate Employers (Kiinteistötyönantajat ry) offer versatile facility and cleaning services throughout Finland.

The income of a cleaning entrepreneur is determined based on the size of the staff in the company as shown in the table below:

Persons employed in the company, including the entrepreneur Entrepreneur’s income, euros/year
1–2 25,500–
3–7 29,000–
8–12 32,000–
13–19 43,000–
20– 54,500–
Example: Blogger

Writing a blog can be your hobby, part of your work as an employee or  your profession. If you are a professional blogger, you earn a living from writing the blog. That makes you self-employed.

As an independent, professional blogger, you probably own the site and receive an income through advertisements and sponsoring campaigns. Perhaps you have a link to a web store on your site and you receive a share of the profit the web store makes (affiliate marketing). As a professional blogger, your monthly income may vary from a few hundred to thousands of euros per month.

Your income as a professional blogger will be estimated based on your work input, that is, on the amount of work you are estimated to do. If you are a full-time blogger, your work input may be compared to that of a journalist and your income to that in the collective agreement for journalists.

As self-employed, your pension will be based on the average confirmed income that you have had throughout your period of elf-employment. You can adjust your income, but not in retrospect. The earlier you adjust your confirmed income, the larger its effect will be on your pension. Contact your pension provider when you want to talk about raising your confirmed income.

Your income is flexible temporarily in both directions: it can be raised or reduced. Go to the site ‘Pesion amounts or contributions’ for more information on how your income is flexible.