Filing and paying employer contributions ‒ households
'Employer contributions' consist of payroll withholding and the employer's health insurance contribution. They are self-assessed. They are paid to specific bank accounts using specific reference numbers for transferring the payment. This number is permanent; every employer has their own reference number. Employer contributions are reported to the Tax Administration on Tax Returns for Self-Assessed Taxes. Households must also submit an Employer Payroll Report if the pay is at least €200 a year.
Payment dates and last filing dates of tax returns for employer contributions
You must pay contributions by the 12th day of the calendar month following the month of wage payments. If the due date is a Saturday, Sunday or other holiday, you can pay on the next business day without late penalties. The tax return must be filed by the 12th of the month after wage payments.
You must complete the Self-Assessed Tax Return in order to report the paid wages, the taxes withheld on them, and the employer's health insurance contribution. Households must always file the return after they have paid wages to someone and withheld tax or paid the employer's health insurance contribution.
For 2017, the returns must be filed online. You can file on paper only if there is a special reason (for example, if electronic filing is impossible due to technical difficulties). Returns filed online and on paper have the same due date. The returns must be filed electronically. For example, the Tax Administration's MyTax may be used. Tax Account Online is no longer in use.
If you need to submit information for the year 2016, you can also use the paper form ‒ the self-assessed tax return (formerly the Periodic tax return). Read more about filing and paying self-assessed taxes.
If a household has paid an amount not exceeding €1,500 a year to a worker on its payroll and no withholding has been carried out as the amount is low, there is no need to file the self-assessed tax return. However, an Employer Payroll Report must be submitted.
Log in to My Tax (MyTax replaces Tax Account Online as of 3 January 2017)
If a tax return on employer contributions is filed after the due date, late penalties will be added to the taxes concerned. Read more: Late penalty charges on self-assessed tax returns.
Users of Palkka.fi
If you run your payroll accounting online in the Palkka.fi e-service (works in Finnish and Swedish), it sends the required tax returns and notices to the Tax Administration, to pension insurers and to the Unemployment Insurance Fund. It files the self-assessed tax return, the Employer Payroll Report and the claim for tax credit for domestic costs to the Tax Administration. Similarly, it also performs the calculations of your employer contributions.
Reporting the employer contributions of a household and of a business
Because the new return always replaces the previously filed return, two tax returns on employer contributions can no longer be submitted for one month. For this reason, if a private individual is reporting the tax period's wages, partly paid as a household employer (e.g. for a caregiving service of children) and partly as a self-employed business (T:mi), all the paid wages must be added up and entered on just one tax return for self-assessed taxes.
Payments of employer contributions and the bank reference number
When you pay the contributions you must always use your taxpayer-specific reference number. Being taxpayer-specific, it ensures that the payment goes to the right payer's account. The same reference number is used in all payments relating to self-assessment. Log in to MyTax to check it, or ask the Telephone Service to give it to you on 029 497 060 (standard call rates apply). Employer contributions can also be paid via Palkka.fi using the payment details it generates. They are treated as self-assessed payments in MyTax and can be paid online. Online payments are provided by Osuuspankki, Nordea, Danske Bank, Handelsbanken, Ålandsbanken, S-pankki, Säästöpankki, POP Pankki, Aktia and Oma Säästöpankki.
The bank account number, reference number, recipient name and payment date are prepopulated so that you don't need to fill them in. The pre-populated amount to pay is the current day's balance including interest, but you can change the amount. Payment date is always the present day.
If you are not sending the payment online in MyTax, you must quote your reference number for self-assessed taxes. Use the international format when entering the reference number (the RF format). You must include the entire string of characters and not leave out the leading 'RF' from it (as in RF55 5305 8282 8282 8091 0197). It may be that you cannot feed the entire string - then you can try leaving out the first four characters.
Payments to the Tax Administration, routed through Nordea, OP and Danske Bank normally show in MyTax on the next business day after the date of payment. Payments through other banks show in MyTax in two business days. Sometimes the delay can be longer. If you have paid in money but it is not showing in MyTax, please check it again on the following day. Although the transfer of funds might take longer than usual, our recording system always treats incoming payments as paid on the date when the bank has recorded the amount.
Late penalties are added to the amount
Self-assessed payments that you make after the actual due date must include late-payment interest. For 2018 the interest rate is 7%. The rate is reviewed every year. The unpaid taxes accrue interest from the due date up until the day they are paid.
You must check MyTax for the exact penalty amount, valid on the actual date when you are ready to pay (tax.fi/mytax). The calculation feature of MyTax will not work unless the tax returns relating to the tax you are going to pay are filed.
Read more: Filing and paying self-assessed taxes.
Summary of payments of self-assessed taxes
Once a month, a summary of self-assessed tax transactions is created in MyTax. It replaces the monthly Statements that were used previously in the Tax Account system. If you have filed some taxes and charges that you believe should show on the summary but are not showing, please make sure your self-assessed tax return contained the right tax period, and make sure you used the right reference number when you made a payment. You can view the transactions and the information in MyTax even before the summary is created.
If taxes remain outstanding on the last day of the month, the summary shows a reminder text with instructions for payment. Read more: The Summary and how to check it.
You are expected to pay up the overdue taxes and interest without delay. Late-payment interest continues to accrue until payment. To find out how much late-payment interest you must pay, use the calculator in MyTax.
In case of problems affecting your payments, visit Financial difficulties (individuals) to find more information.