Who Covers the Salary During Parental Leave in Finland?

Parental leave in Finland allows both parents to take time off to care for their child, with financial support provided through a combination of social insurance benefits and, in some cases, employer contributions. 


Kela’s Role in Salary Coverage

The Social Insurance Institution of Finland (Kela) is responsible for providing financial compensation during parental leave. The following benefits are available:

  • Parental Allowance: Kela pays a parental allowance to each parent for 97 days, calculated based on their annual income.

  • Transferable Parental Allowance: Each parent has 63 additional days of parental allowance, which can be transferred to the other parent or a designated caregiver.

  • Payment Amount: The amount of the parental allowance is determined by the employee’s taxable earnings before leave. Employees with no prior earnings receive the minimum allowance set by Kela.

How to Apply for Parental Allowance

To receive parental allowance, employees must:

  1. Notify Horizons about their planned parental leave at least two months in advance.

  2. Apply for Parental Allowance through Kela’s online service, OmaKela (kela.fi), submitting necessary income and employment documentation.

Alternatively, applications can be submitted using the paper form SV 15e, which is available for download on Kela's website (kela.fi). Completed forms, along with any necessary supporting documents, should be mailed to Kela at the address provided on the form.

Other Considerations

  • Annual Leave Accrual: Paid parental leave counts towards annual leave accrual, ensuring employees maintain their holiday entitlements.

  • Part-Time Work Options: Employees can combine part-time work with partial parental allowance if agreed upon with the employer.

  • Application Timing: It's important to apply for parental allowance well in advance to ensure timely processing and payment of benefits.

By understanding how parental leave is financed, employees can better plan their time off and ensure they receive the appropriate financial support. Employees should check their employment contract and consult Kela for the most up-to-date information on parental leave benefits.

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