Sosiaalivähennys

Sosiaalivähennys is a term used in Finland to describe a reduction in certain social welfare benefits. This reduction is typically applied when a recipient's income or financial situation improves beyond a certain threshold. The primary purpose of sosiaalivähennys is to ensure that social assistance is targeted towards those who genuinely need it and to incentivize individuals to seek employment or increase their earnings.

The specific rules and the amount of reduction vary depending on the type of social benefit and the legislation governing it. For example, in unemployment benefits, earnings from work can lead to a partial reduction of the daily allowance. Similarly, income from employment or other sources can affect the amount of basic social assistance received from Kela (the Social Insurance Institution of Finland).

The implementation of sosiaalivähennys aims to create a balanced system where financial support is available for those in need, but it does not disincentivize work. The concept is often debated, with discussions focusing on finding the optimal balance between supporting individuals and encouraging self-sufficiency. The intention is not to punish individuals for earning more, but rather to adjust the level of public support in proportion to their ability to support themselves. This mechanism is a key component of Finland's social security system, designed to adapt to changing personal circumstances.