Retiring is for most people a significant decision and it is affected by several factors.
Finnish pensioners receive security and benefits not only if they are approaching retirement age, but also in the case of disability or a will to change to a part-time pensioner status before the actual old-age limit.
Pensions are always to be applied for – the payments do not start automatically.
It pays off to continue working
The longer you work, the larger your pension amount.
Pension will continue to accrue
- at age 53-62 pension at an annual rate of 1.7 per cent
- at ages 63 and above at an annual rate of 1.5 per cent until you reach your highest retirement age.
The highest retirement age is determined on the basis of a your year of birth:
- 1957 or earlier > 68 years
- 1958-1961 > 69 years
- 1962 or later > 70 years
Also, if you defer your retirement beyond the pensionable age, the amount of your pension will increase by 0.4 per cent for each month the retirement is deferred. For example, if you retire one year late, your pension will be 4.8 per cent higher.
If you are personally interested in discovering more about your pension amount, you can view details here.