Changes in entrepreneurial activities
What should I do in the following situations?
The YEL insurance can be terminated if your work as an entrepreneur ends completely or when your work input falls below the minimum limit 8,575.45 euro in 2023 (8,261.71 euro in 2022).
YEL insurance can also be terminated due to a maternity leave if the obligation to insure is not met during the period of the maternity leave.
The insurance may also terminate during extended sick leaves that last several months.
If necessary, the insurance can also be terminated retroactively.
After a change of company or company form, if you still fall within the sphere of YEL insurance, your current YEL insurance policy will continue and the changes will be recorded in the policy. Notify Elo as soon as possible of the official name, business ID and address of the new or changed company, and include the date of the change. Also notify whether you want the invoicing for your YEL insurance to be addressed to your company or to you personally. When the situation changes, your work input may also change, so please remember to check that your YEL income amount is up-to-date.
YEL insurance cannot be interrupted temporarily. It can, however, be terminated due to an extended sick leave. In this case, you will need to take a new YEL insurance policy when you return to work after your sick leave.
Sickness allowance shall be applied from Kela within 2 months of the onset of work incapacity. Kela uses the confirmed YEL income as your annual income which serves as the basis for the amount of the sickness allowance. The annual income is calculated from the reference period of 12 calendar months prior to the calendar month that precedes the initiation of your work disability. For self-employed persons, the basis for the calculation of the annual income is the YEL income. If the amount of the YEL income has changed during the 12-month period in question, the average income will be used.
If you are not working during your family leave, your YEL insurance can be terminated. In this case, you will need to take a new insurance policy when you return to work. If you are working during your family leave, your YEL insurance cannot be terminated. It might be a good idea, however, to ensure that your YEL income is adjusted to accurately reflect your work input during the leave.
The parental allowance shall be applied for from Kela. Kela uses the confirmed income on which your YEL insurance is based for the purpose of determining the amount of the parental allowance.
A self-employed person who is a member of an unemployment fund may receive an earnings-related allowance after 15 months of membership and if the entrepreneurial activities are considered to be substantial in the manner intended by the Unemployment Security Act. In other words, the YEL income has been at least the minimum required for unemployment security i.e. 14,088 euro in 2023 and the condition regarding previous employment is met.
If you are not a member of an unemployment fund, but your income has been at least the minimum required for unemployment security and the condition regarding previous employment is met, you may be entitled to the basic unemployment allowance provided by Kela.
If your income falls below the set minimum, you can apply for a labour market subsidy from Kela.
If you are receiving old-age pension in accordance with the employment pension legislation, the insuring of entrepreneurial activities with YEL insurance is voluntary. Voluntary pension insurance must be applied for separately after pension has been granted, since the YEL insurance is terminated automatically on the day preceding the date on which the pension is granted.
Any entrepreneurial activities carried out alongside partial early old-age pension, disability pension or partial disability pension must be insured under YEL if the conditions for insuring are otherwise fulfilled.