palkka

Palkka is the Finnish word for remuneration for work, commonly referred to as salary or wage. It can be paid monthly or hourly and may consist of base pay and variable components such as overtime, bonuses, or allowances. In payroll language, gross pay is brutto palkka and net pay is netto palkka.

Wages in Finland are typically determined through collective agreements (työehtosopimukset, TES) within sectors, or through company-level agreements. There is no general statutory minimum wage; pay levels are influenced by occupation, education, experience, and bargaining outcomes. Salaries are commonly paid monthly, with payslips detailing gross pay, deductions, and net pay.

Deductions from gross palkka include statutory social security contributions (pension and unemployment insurance) and income tax. Employee health and social benefits are financed through these deductions, while some costs may be borne by the employer. The tax withheld is based on the employee's tax card and is sent to the tax administration.

The concept also covers various forms of remuneration beyond base pay, such as shift allowances and bonuses, and is central to Finnish wage policy, labour market discussions, and individual employment contracts.