Statutory Earnings-Related Pension Scheme for Public Sector Employees | Max-Planck-Institut für Sozialrecht und Sozialpolitik - MPISOC

Statutory Earnings-Related Pension Scheme for Public Sector Employees

Julkisten alojen eläkelaki, JuEL

1 The maximum age depends on the year of birth. Insurance obligation ends at age 68 for persons born before 1958, at age 69 for persons born between 1958 and 1961, and at age 70 for persons born after 1961.

2 Persons aged 53-62 pay higher contribution shares (8.65%) than younger cohorts due to higher accrual rates (1.7% compared to 1.5% for younger cohorts). Age-specific accrual rates were implemented by the 2005 reform, but abolished by the pension reform of 2017. Transitional rules still apply until the end of 2025 after which accrual rates and contributions will be the same for all.

3 An extra expenditure-based contribution applies for some local government employers (due to higher pensions in payment according to old pension rights, corresponding to about 3.95% of local government wage sum; the total contribution revenue is about 28.35% for local government wage sum) and for the Evangelical-Lutheran Church (with higher contribution payments, about 29%).

Legal Basis: Public Sector Pensions Act 81/2016 (Julkisten alojen eläkelaki).