Next year, the earnings-related pension index will be 3104, which means that the earnings-related pension index will increase paid pensions by approximately 0.9 per cent when compared to 2025. The wage coefficient was confirmed to be 1,712, which means that it will increase by approximately 2.3 per cent compared to 2025. In other words, in 2026, the wage coefficient will be higher than the earnings-related pension index.
An increase for pension recipients and rehabilitees in January
The earnings-related pension index is used to adjust any earnings-related pensions to be paid that have started no later than on 1 December 2025. The increase will be made automatically and there is no need for any separate applications.
The earnings-related pension types to be increased are old-age pension, partial old-age pension, disability pension, partial disability pension, cash rehabilitation benefit and partial cash rehabilitation benefit, rehabilitation allowance, years-of-service pension and survivors’ pensions (surviving spouse’s pension and orphan’s pension).
You can use our index calculator to estimate how the index increment influences your pension amount.
Are you considering retirement? Make a pension estimate about your future pension in Varma Online Service
You can estimate your future pension in Varma Online Service if you have not applied for pension yet. You can calculate an estimate based on the new indices in Varma Online Service.
The longer you work, the larger your pension will be. If you are considering retiring at the turn of the year, you can receive a higher pension by postponing your retirement from December to January. The amount of your pension is more affected by earnings that accrue pension, and by the increment for deferred retirement after the minimum pensionable age than by the indexes.
If you plan to retire on old-age pension, please note that a prerequisite for receiving old-age pension is that your employment ends. For this reason, please consider your notice period when you decide on retirement. Entrepreneurs are not required to end their entrepreneurial activities.
Earnings-related pensions are calculated by using two indices
Earnings-related pensions are calculated by using two indices: the wage coefficient and earnings-related pension index.
The wage coefficient is used for calculating the pension for a retiring person. Wages and confirmed income for your working career are adjusted to the level of the year when the pension starts by using the wage coefficient. In the wage coefficient, changes in wage-earners’ income level are given a weighting of 80 per cent, whereas changes in consumer prices are given a weighting of 20 per cent.
During retirement, the amount of your pension is adjusted on an annual basis in January in accordance with the earnings-related pension index. In the earnings-related pension index, the weight of changes in consumer prices is 80 per cent, whereas the weight of changes in the income level is 20 per cent.
The percentage increases are the same for everyone regardless of the amount of earned income and pension, but the euro amount depends on the amount of earned income and pension.
The index increase will be automatically applied to any paid pension and no separate application is required.
Read the press release of the Ministry of Social Affairs and Health on the confirmation of the indices (in Finnish)
Information about the accrual of pension