Earnings-related allowance
Eligibility for earnings-related allowance
Qualifying for earnings-related allowance requires that you are seeking full-time work and have registered as an unemployed jobseeker with the employment official. In addition, you are required to be a member of an unemployment fund and to have fulfilled the 12-month employment condition during your fund membership.
If you become unemployed or your working hours are reduced, register as an unemployed jobseeker immediately. The earnings-related allowance can only be paid for the period during which the registration is valid.
If you are not a member of an unemployment fund or have not been employed long enough, you can apply for general social security benefit from Kela.
You can fulfil the employment condition in one year
Payment of the earnings-related allowance requires fulfilling the employment condition. The length of the employment condition is 12 months.
- One month of the employment condition is accrued when you receive a salary of at least €930 during a calendar month.
- Half a month of the employment condition is accrued when you receive a salary of at least €465, but less than €930, during a calendar month.
Therefore, you can become entitled to the earnings-related allowance through, for example, a period of 10 full months and 4 half months of employment. To accrue entitlement to the earnings-related allowance, you must be a member of an unemployment fund during your employment.
The salary paid for the work must also comply with the collective agreement. If there is no collective agreement for the industry, the salary for full-time work must be at least €1,463 per month. For example, a month with a salary of €1,000 counts towards the employment condition if this is the salary stipulated in the industry’s collective agreement or if it is part-time work.
The work does not have to be continuous. Salary payment months from the preceding 2 years and 4 months can be included. If you have been studying, ill, performing military service or non-military service, on job alternation leave, on a grant period, or caring for a child under 3 years of age, for example, working months can be taken into account from a longer period. At most, months from a period of 9 years and 4 months can be included.
When accruing entitlement to the allowance, the time when the salary was paid is usually decisive. The earning period (the time when the work corresponding to the salary was performed) matters in the case of bonuses, for example.
Obligations
You may lose your right to the earnings-related allowance (temporarily or indefinitely) if you do not keep your job search valid with the employment official or handle your matters with the employment official in accordance with their instructions. This means, for example, maintaining an employment plan, attending meetings, and participating in various services. More information on the obligations of the employment official are available on Job Market Finland.
If you are away from the labour market (i.e., not employed or registered as a jobseeker with the employment official) for more than six months without an acceptable reason, the 12-month employment condition for the earnings-related allowance expires. This means that you can receive the allowance only when you have been employed for a new 12-month period. Acceptable reasons include studies, military service, non-military service, illness, or caring for a child under 3 years of age.