Social protection expenditure

Social protection 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 protection expenditure.

Social protection expenditure in Finland was (at 2017 prices)

  • 67.9 billion euros in 2015
  • 69.3 billion euros in 2016
  • 69.1 billion euros in 2017

In 2017, social protection expenditure was 30.9 per cent in relation to GDP. This is one percentage point less than in 2016. The GDP share of social protection expenditure in Finland is 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 (2017):

  • employers pay 32.0 %
  • insured pay 13.8 %
  • the state pays 26.8 %
  • municipalities pay 22.1 %

The remaining 5% is covered by return of social protection funds.

In Finland, statistics on social protection expenditure are produced by The Finnish Institute for Health and Welfare (THL)

Finland's social protection expenditure for the years 2015 - 2017

Social protection expenditure by function and per capita 2015–2017 at 2017 prices, € million 

  2015 2016 2017
Sickness and health 15 785 15 481 15 300
Disability 6 835 6 721 6 484
Old age 26 604 27 753 28 807
Survivors 1 813 1 802 1 833
Family and children 6 762 6 750 6 654
Unemployment 5 622 5 629 4 921
Housing 1 466 1 656 1 842
Other social protection 1 869 2 392 2 072
Administration 1 165 1 155 1 176
Total 67 922 69 341 69 089
Per capita 12 378 12 599 12 532
Social protection expenditure in relation to GDP, % 32,0 31,9 30,9
Source: Finnish Institute for Health and Welfare      

 

Distribution of social expenditure by target group, %

  2015 2016 2017
Sickness and health 28,2% 22,3% 22,1%
Disability 10,1% 9,7% 9,4%
Old age 39,2% 40,0% 41,7%
Survivors 2,7% 2,6% 2,7%
Family and children 10,0% 9,7% 9,6%
Unemployment 8,3% 8,1% 7,1%
Housing 2,2% 2,4% 2,7%
Other social protection 2,8% 3,4% 3,0%
Administration 1,7% 1,7% 1,7%
Total 100,0% 100,0% 100,0%

 

Financing of social protection expenditure, current prices, 2015–2017, %

  2015 2016 2017
State 26,0 26,2 26,8
Munincipalities 21,9 21,7 22,1
Employers 34,0 33,8 32,0
Insured 13,1 13,3 13,8
Other 5,0 5,0 5,2
Total 100,0 100,0 100,0

 

Mer information

Antti Väisänen, konsultativ tjänsteman 
social- och hälsovårdsministeriet, Johdon tuki- yksikkö / JOT, Arviointiryhmä / ARVI 0295163044  

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