Reporting the insurance information of a YEL or MYEL insured self-employed person

No earnings-related pension, unemployment, or accident and occupational disease insurance contributions need to be collected from the wages paid to a self-employed person insured under the self-employed persons' pensions act (YEL) (yrittäjän eläkelaki 1272/2006) or the farmers' pensions act (MYEL) (maatalousyrittäjän eläkelaki 1280/2006). However, the employer's health insurance contribution is collected from the wages.

When reporting wages paid to a person insured as a self-employed person, it is important to report the earnings-related pension insurance information (YEL or MYEL) and the following Type of exception to insurance: No obligation to provide insurance (earnings-related pension, unemployment, and accident and occupational disease insurance).

If you do not specify the type of exception to insurance, the earnings-related pension insurance contributions and employer's health insurance contributions may be levied twice. Additionally, unemployment insurance contributions and accident and occupational disease insurance contributions may be incorrectly collected.

The insurance provider confirms the YEL or MYEL earnings from work for the self-employed person. The YEL or MYEL earnings from work are used as the basis of the earnings-related pension insurance contribution and the self-employed person's health insurance contribution instead of the wages paid to the self-employed person.

How to report the insurance information of a YEL or MYEL insured self-employed person

Report the wages paid to the self-employed person using the Incomes Register's income types.

Specify the earnings-related pension insurance information:

  • Pension insurance for the self-employed (YEL)
  • Pension insurance for farmers (MYEL).

If the payment is made to a self-employed person who is not obligated to take out a YEL or MYEL insurance under the self-employed persons' pensions act or the farmers' pensions act, due to, for example, low business income or the self-employed person's age, leave the section Earnings-related pension insurance information blank. Report Self-employed person, no obligation to take out YEL or MYEL insurance in the Additional income earner information section.

If the income earner is insured under the self-employed persons' pensions act (YEL) or the farmers' pensions act (MYEL), do not report the earnings-related pension provider or the pension policy number. 

Also specify the type of exception to insurance:

  • No obligation to provide insurance (earnings-related pension insurance)
  • No obligation to provide insurance (unemployment insurance)
  • No obligation to provide insurance (accident and occupational disease insurance)
  • In the Incomes Register's e-service, you can find this entry under 'Show detailed insurance data'.

Remember! Do not report the type of exception to insurance for the health insurance. The employer's health insurance contribution is collected from the wages paid to a self-employed person, and the information on the amount of health insurance contributions is reported once per month on an employer's separate report.

The occupational class is not reported

The occupational class in accordance with Statistics Finland's classification of occupations must be reported only if the employee is covered by an occupational accident insurance. Because YEL or MYEL insured self-employed persons are not under obligation to take out an accident and occupational disease insurance, the occupational class does not need to be reported.

A YEL-insured self-employed person is not deemed to be a partial owner

'Partial owner' is reported as additional income earner information if the employee is a partial owner as specified in the unemployment security act (työttömyysturvalaki 1290/2002). If the income earner is a YEL-insured shareholder-entrepreneur, the Partial owner entry is not made, because the self-employed person is not under obligation to take out unemployment insurance.

Reporting the wages paid to a retired self-employed person

If you pay wages to a self-employed person who continues working while on old age pension, and the YEL or MYEL insurance is no longer in effect, leave the section Earnings-related pension insurance information blank.

Also specify the type of exception to insurance:

  • No obligation to provide insurance (earnings-related pension insurance)
  • No obligation to provide insurance (accident and occupational disease insurance)
  • No obligation to provide insurance (unemployment insurance)

Note! If the self-employed person has turned 68 years of age, also specify:

  • No obligation to provide insurance (health insurance)

The employer's health insurance contribution is paid for wages paid to employees who are 17–67 years of age. If wages are paid to a self-employed person who has turned 68 and is on old age pension, the employer's health insurance contribution does not need to be paid on the basis of the wages.

If the self-employed person is not under obligation to take out a YEL or MYEL insurance, report the additional income earner information Self-employed person, no obligation to take out YEL or MYEL insurance. If the self-employed person has taken out a voluntary YEL insurance for working while retired, report the Earnings-related pension insurance information in the normal manner. In such a case, the additional income earner information 'Self-employed person, no obligation to take out YEL or MYEL insurance' is not reported.

Did you forget to report the No obligation to provide insurance information?

If you submitted an earnings payment report for wages paid to a self-employed person, but forgot to report the type of exception to insurance, i.e., the No obligation to provide insurance information, correct the data in the Incomes Register without delay.

Correct the insurance exception details by cancelling the original report and submitting a new report.

Also remember to submit an employer's separate report

You must also report the employer's health insurance contributions paid on the basis of the wages paid to the self-employed person on an employer's separate report. Read more about the employer's separate report.