eläkekorotus

Eläkekorotus refers to an increase in pension payments in Finland. These adjustments are typically made annually to ensure that pensions keep pace with the cost of living and wage development. The primary aim of eläkekorotus is to maintain the purchasing power of pensioners and to reflect changes in the general economic situation.

The calculation of the eläkekorotus is based on a specific index that takes into account both inflation and the average wage development. The Finnish Centre for Pensions (Eläketurvakeskus) plays a key role in determining the index and informing about the annual adjustment. The exact percentage of the eläkekorotus can vary from year to year, depending on the economic indicators used in the calculation.

There are different types of pensions in Finland, including earnings-related pensions and national pensions. The eläkekorotus mechanism generally applies to both, although the specific indexation methods might have some nuances. It's important for pensioners to be aware that these adjustments are automatic and do not require a separate application. The changes are usually reflected in pension payments at the beginning of the year. This system is designed to provide a degree of financial security for individuals in their retirement years.