Finland offers a highly educated, English-fluent workforce with collective-agreement pay floors and a strong pension system. All-in employer cost runs around 1.2x the gross salary. Here is what to know before your first Finnish hire.
Employment runs under the Employment Contracts Act and, for most sectors, a collective agreement that sets pay and conditions. There is no statutory minimum wage; the employer earnings-related pension (TyEL) is the largest single cost.
Employer costs sit around 20%, dominated by the earnings-related pension contribution plus health, unemployment, and accident insurance.
The TyEL pension contribution is by far the largest employer cost and is administered through a pension insurer.
Employees pay their pension and unemployment share plus municipal and state income tax, withheld at source. Withholding is the employer's responsibility, which under EOR means ours.
*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.
Compliant Finnish employment contract, payroll, pension, and benefits, handled. One invoice, flat $399 per month.