The Government proposes changes to the rehabilitation allowance for young persons and the rehabilitation allowance paid during vocational rehabilitation 

The minimum rate of the rehabilitation allowance for young persons and the allowance paid during vocational rehabilitation will change. The Government is proposing to determine all rehabilitation allowances on the basis of the same criteria irrespective of the type of rehabilitation. The change would take effect on 1 January 2024.

The Government is proposing to apply the same minimum rate to all rehabilitation allowances, including those paid to young persons and those payable during vocational rehabilitation. Additionally, the Government proposes to calculate the earnings-related rehabilitation allowance in the same way regardless of the type of rehabilitation.

Currently, the minimum rates of the rehabilitation allowance for young persons and the allowance paid during vocational rehabilitation are higher than the minimum allowance payable during participation in other rehabilitation. According to the Government's proposal, the minimum rates of rehabilitation allowances would be unified starting 1 January 2024. The minimum allowance rate applies to individuals who have little or no income. 

The minimum rate would be reduced by about 5 euros per day under the Government's proposal

The minimum rate of the rehabilitation allowance for young persons and the allowance paid during vocational rehabilitation is currently 36.91 euros per working day. The minimum rate payable during other types of rehabilitation is 31.99 euros per working day. 

Approval of the Government’s proposal would mean that the minimum rates of the rehabilitation allowance for young persons and the allowance paid during vocational rehabilitation would be reduced, effective 1 January 2024, to the level of the regular rehabilitation allowance, i.e., 31.99 euros per working day. This would be a reduction of about 13 percent.

The Government is also proposing to eliminate the special formula used to calculate the rehabilitation allowance paid during vocational rehabilitation. This would introduce a uniform rate across all types of rehabilitation also for the earnings-related rehabilitation allowances.

“With the rehabilitation allowance determined identically in all types of rehabilitation, the proposed change will simplify the rehabilitation allowance scheme”, says benefits manager Milla Kaitola of Kela. “At the same time, it will ensure the uniform treatment of all rehabilitation clients regardless of the type of rehabilitation”. 

In 2022, a total of 51,900 persons received rehabilitation allowances. About 15,100 of them received rehabilitation allowance for young persons, while about 21,500 received rehabilitation allowance during vocational rehabilitation. Kela’s paid a total of 243 million euros in regular rehabilitation allowances and 125 million euros in rehabilitation allowances for young persons. According to the Government's calculations, the proposed changes would reduce Kela’s benefit expenditure by 27 million euros.

Additional information for customers:

• Rehabilitation allowance (kela.fi)
• Rehabilitation allowance for young persons (kela.fi)
• All press releases about the changes to the social security benefits are available at www.kela.fi/changes.