Government has outlined plans to stop paying national pensions to recipients outside Finland – Kela will continue payments for the time being
As part of its discussions on spending limits, the Government on 16 April 2024 outlined cuts that, if implemented, will impact the payment of national pensions to recipients outside Finland. Kela does not currently have detailed information on when the plan to stop national pension payments outside Finland will be implemented or the specific benefits available under the National Pensions Act that will be affected.
Under the existing legislation, benefits available under the National Pensions Act are paid to Finns residing abroad. This practice is based on an EU regulation and on bilateral social security agreements. Benefits available under the National Pensions Act are currently paid to around 25,000 persons residing outside Finland, about 18,000 of whom live in Sweden.
As part of its general government fiscal plan for 2025–2028, the Government has outlined plans to stop the payment of benefits available under the National Pensions Act to persons living outside Finland. This would produce annual savings of around EUR 38 million.
In 2017, the EU Court of Justice issued a preliminary ruling concerning the Swedish guarantee pension (garantipension), based on which Sweden stopped paying the guarantee pension to recipients outside Sweden effective 1 January 2023.
Details on the timing of the planned changes are not yet known
Kela does not yet know when the plan to stop payments of the national pension to recipients outside Finland will be implemented. For the time being, Kela will continue paying benefits available under the National Pensions Act to recipients outside Finland. The recipients need not take any action yet.
It is also unclear which specific benefits available under the National Pensions Act will be affected. The five benefits available under the Act are the old-age pension, the disability pension, the spouse’s pension, the orphan’s pension and the child increases.
Preparations for the change are under way at the Ministry of Social Affairs and Health, and the matter will move forward in accordance with the normal legislative process. The first step is to draw up a Government proposal, which will be submitted to Parliament for consideration. Kela will provide more information to the public once the proposal and its implementation schedule have been finalised.
Phone numbers for customers
Pensions: +358 20 634 2650, Monday to Friday 9–16
International situations: +358 20 634 0200, Monday to Friday 10–15
More information
Government decides on General Government Fiscal Plan for 2025–2028 (valtioneuvosto.fi)
Government proposal to amend the National Pensions Act (stm.fi, in Finnish)