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Expenditure

Social expenditure mainly comprises

  • pensions
  • health insurance and
  • unemployment security spending, as well as
  • social and healthcare costs covered by tax reserves.
Private insurance, social and health care patient and client fees or personal liability in health insurance are not calculated in social expenditure.

Social spending in Finland was

  • 63.2 billion euros in 2013
  • 66.1 billion euros in 2014 (estimate).

In 2013, social expenditure constituted 31.3 per cent of GDP. The GDP share of social protection expenditure in Finland is slightly above the EU average. The per capita social protection expenditure adjusted by purchasing power parity is also higher than the EU average.

Financing expenditure 

Social protection in Finland is financed as follows (2013):

  • employers pay 35%
  • insured pay 13%
  • the state pays nearly 28%
  • municipalities pay 19%

The remaining 6% is covered by return of social protection funds.

In Finland, statistics on social expenditure are produced by the National Institute for Health and Welfare(THL).

Finland's social expenditure for the years 2012-2014

 

YEAR

 2012  2013 2014*

GDP, million €

 199 793  201 995 204 015

 

     

Social expenditure as a percentage of GDP

 30,1  31,3 32,4

 

     

Social expenditure, million €

     

Illness and health

 14 836  15 223 15 711

Disability

 6 761 6 910 6 983

Old age

 22 055  23 661 25 021

Widow and other relatives

 1 744 1 802 1 838

Family and children

 6 388 6 529 6 573

Unemployment

 4 057 4 597 5 257

Housing

 1 048 1 138 1 240

Other social security

 1 593 1 719 1 751

Administration

 1 536 1 645 1 688

Total

 60 017 63 223 66 062

 

     

Distribution of social expenditure by target group, %

     

Illness and health

 24,7  24,1 23,8

Disability

 11,3  10,9 10,6

Old age

 36,7  37,5 37,9

Widow and other relatives

 2,9  2,8 2,8

Family and children

 10,6  10,3 9,9

Unemployment

 6,8  7,4 8,0
Housing  1,7  1,8 1,9

Other social security

 2,7  2,6 2,7

Administration

 2,6  2,5 2,6

Total

 100  100 100

 

     

Financing of social expenditure, %

     

State

 27,6  27,6 27,8

Municipalities

 19,2  19,1 19,6

Employers

 34,8  35,2 34,9

Total insured

 12,5  12,6 12,6

Income

 5,8  5,5 5,1

Total

 100  100 100

* Estimate. Source: Ministry of Social Affairs and Health & National Institute for Health and Welfare

Further information