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Tax-year changes, Finland

Finland tax changes for 2026

2026 rebuilt the state scale with five brackets, made the work income credit plateau instead of vanishing, and set one pension rate for every age. Here is each rule side by side, and what it does to your pay.

Reviewed by CentExactRules effective 2 sources

A new state scale with five brackets

The 2026 state scale is not the 2025 scale indexed: it was redrawn. The first two brackets were widened, to 22 000 € and 32 600 €, the 30.25% bracket now stops at 40 100 €, and above 52 100 € a single top rate of 37,5 % replaces the 2025 rates of 34%, 41.75% and 44.25%, of which the highest applied above 150,000 euro. Because the table below compares the brackets by position, the third and fourth rows show limits that moved down: the scale has fewer, differently placed brackets, and the sixth is gone.

For most salaries the effect is modest, because more income falls in the lower brackets but the 33.25% bracket now begins lower down. For high earners it is large: the top state rate falls by almost seven percentage points, which is why the impact table jumps from about 400 euro a year of extra take-home pay at 90,000 to about 2,000 at 120,000 and over 3,000 at 150,000.

The work income credit no longer disappears

The work income credit (työtulovähennys) is now at most 3 430 €, up from 3 225 €. More importantly, its reduction changed shape. In 2025 it started to shrink above 24 250 € of earned income and, after a steeper reduction from 42,550 euro, was gone completely at about 124,490 euro. In 2026 it shrinks by 2 % of income only between 35 000 € and 50 550 €, then stops, so everyone above that keeps a credit of about 3,119 euro. The extra for each child under 17 rose to 105 €, and the basic deduction to 4 265 €.

Contributions went up, and the age band went

The employee pension contribution is now 7,3 % at every age. In 2025 it was 7,15 %, or 8.65% for employees aged 53 to 62, so older workers gain most: compare the two impact tables at any salary. Unemployment insurance rose from 0,59 % to 0,89 %, the daily allowance contribution to 0,88 % and the medical care contribution to 1,1 %.

Those higher contributions take back part of what the tax changes give, which is why the gain at lower salaries is a few hundred euro a year rather than more. The weighted average municipal rate edged up to 7,57 %, and the Yle tax is unchanged at 2,5 % above 15 150 €, at most 160 €. To see your own figure, try your salary in the take-home pay calculator.

Every rule, 2025 and 2026

25 of the 56 rules below changed. Each value is read from the 2025 and 2026 datasets, so a rule appears as changed only if the published figure changed.

State income tax

State income tax: 2025 and 2026
Rule20252026Change
First bracket: ends at21 200 €22 000 €+800 €
Second bracket: ends at31 500 €32 600 €+1 100 €
Third bracket: ends at52 100 €40 100 €−12 000 €
Fourth bracket: ends at88 200 €52 100 €−36 100 €
Fourth bracket: rate34 %33,25 %−0.75 pp
Fifth bracket: ends at150 000 €No upper limitChanged
Fifth bracket: rate41,75 %37,5 %−4.25 pp
Sixth bracketModelledNot in forceRemoved
First bracket: rate12,64 %12,64 %No change
Second bracket: rate19 %19 %No change
Third bracket: rate30,25 %30,25 %No change

Municipal tax

Municipal tax: 2025 and 2026
Rule20252026Change
National weighted average7,54 %7,57 %+0.03 pp
Helsinki5,3 %5,3 %No change
Espoo5,3 %5,3 %No change
Vantaa6,4 %6,4 %No change
Turku7,1 %7,1 %No change
Tampere7,6 %7,6 %No change
Oulu8,1 %8,1 %No change
Kauniainen4,7 %4,7 %No change
Pomarkku10,9 %10,9 %No change
Calculator opens onAVGAVGNo change

Deductions

Deductions: 2025 and 2026
Rule20252026Change
Basic deduction (perusvähennys), at most4 115 €4 265 €+150 €
Deduction for the cost of earning income750 €750 €No change
Basic deduction withdrawn per euro above it18 %18 %No change

Work income credit (työtulovähennys)

Work income credit (työtulovähennys): 2025 and 2026
Rule20252026Change
Largest credit3 225 €3 430 €+205 €
Starts to reduce above24 250 €35 000 €+10 750 €
First reduction ends at42 550 €50 550 €+8 000 €
Reduction per euro of income in the first range2,22 %2 %−0.22 pp
Second, steeper reductionModelledNot in forceRemoved
Extra for each child under 1750 €105 €+55 €
Share of work income18 %18 %No change
Extra from age 651 200 €1 200 €No change
Age the extra applies from6565No change

Employee pension contribution (TyEL)

Employee pension contribution (TyEL): 2025 and 2026
Rule20252026Change
Employee rate7,15 %7,3 %+0.15 pp
Employer rate, average17,38 %17,1 %−0.28 pp
Higher rate for ages 53 to 62ModelledNot in forceRemoved
Paid from age1717No change
Paid up to age6868No change

Unemployment insurance

Unemployment insurance: 2025 and 2026
Rule20252026Change
Employee rate0,59 %0,89 %+0.3 pp
Employer rate (smaller payrolls)0,2 %0,31 %+0.11 pp
Paid from age1818No change
Paid up to age6464No change

Health insurance

Health insurance: 2025 and 2026
Rule20252026Change
Daily allowance contribution0,84 %0,88 %+0.04 pp
Daily allowance contribution charged from pay of16 862 €17 255 €+393 €
Medical care contribution1,06 %1,1 %+0.04 pp
Employer health insurance contribution1,87 %1,91 %+0.04 pp

Church tax

Church tax: 2025 and 2026
Rule20252026Change
National average1,38 %1,38 %No change
Helsinki1 %1 %No change
Espoo1 %1 %No change
Vantaa1 %1 %No change
Turku1,2 %1,2 %No change
Tampere1,25 %1,25 %No change
Oulu1,3 %1,3 %No change

Public broadcasting tax (Yle-vero)

Public broadcasting tax (Yle-vero): 2025 and 2026
Rule20252026Change
Rate2,5 %2,5 %No change
Charged on income above15 150 €15 150 €No change
At most160 €160 €No change

Take-home pay under both years' rules

Annual take-home pay at each salary, worked out by the take-home pay calculator's own engine under the 2025 rules and the 2026 rules, with the calculator's opening assumptions for everything else.

Age 40, national average municipal rate

Take-home pay, Age 40, national average municipal rate, 2025 and 2026
Salary2025 take-home2026 take-homeChange a year
25 000 €21 409,33 €21 547,30 €+137,97 €
35 000 €27 564,15 €27 896,10 €+331,95 €
45 000 €32 940,21 €33 434,56 €+494,35 €
55 000 €38 186,53 €38 589,77 €+403,24 €
70 000 €45 638,13 €46 052,55 €+414,42 €
90 000 €55 445,15 €55 842,07 €+396,92 €
120 000 €68 547,24 €70 526,36 €+1 979,12 €
150 000 €81 983,99 €85 210,64 €+3 226,65 €

Age 55, national average municipal rate

Take-home pay, Age 55, national average municipal rate, 2025 and 2026
Salary2025 take-home2026 take-homeChange a year
25 000 €21 130,12 €21 547,30 €+417,18 €
35 000 €27 184,05 €27 896,10 €+712,05 €
45 000 €32 527,43 €33 434,56 €+907,13 €
55 000 €37 682,05 €38 589,77 €+907,72 €
70 000 €45 035,43 €46 052,55 €+1 017,12 €
90 000 €54 670,25 €55 842,07 €+1 171,82 €
120 000 €67 653,54 €70 526,36 €+2 872,82 €
150 000 €80 866,86 €85 210,64 €+4 343,78 €

Work out your own figure: take-home pay on 2026 rules or on 2025 rules.

Data sources

Both years' rules are read from datasets that record where each figure came from and when it applies. 2026 took effect on 1 January 2026.

  1. Finland: state and municipal income tax, contributions and the work income credit, 2026

    Laki vuoden 2026 tuloveroasteikosta 1140/2025; Verohallinto, Veroperusteet 2026; Verohallinto, Kuntien ja seurakuntien tuloveroprosentit vuonna 2026 (VH/6585/00.01.00/2025); Verohallinto, Verotettavan tulon laskeminen henkiloverotuksessa; Elaketurvakeskus, Tyoelakemaksut vuonna 2026; Tyollisyysrahasto, Vuoden 2026 tyottomyysvakuutusmaksut on vahvistettu.

    Effective 1 January 2026 to 31 December 2026. Retrieved 29 August 2026. Within its effective period.

    Tax year 2026. Three things changed on 1 January 2026 and each breaks anything calibrated on 2025: the earnings-related pension contribution became a flat 7.30% for every age, so the higher 8.65% band for ages 53 to 62 is gone; the unemployment contribution rose from 0.59% to 0.89%; and the work income credit now tapers only between 35,000 and 50,550 euro, after which it stops falling and plateaus at 3,119 euro instead of phasing out. The state scale also lost the temporary top bracket, leaving five. The 12.64% first bracket starting at zero is not an error: it is the share the 2023 wellbeing-services-county reform moved off municipal rates onto the state. Trade union fees, the work-room deduction and the bicycle benefit exemption ceased to be deductible in 2026 and are not modelled. Also not modelled: Aland, which has its own municipal rates and no broadcasting tax; commuting costs; the household deduction; capital income; and the increases to the household deduction and the cut to the commuting own-liability that were proposed in June 2026 but had not been enacted when this dataset was retrieved, so the standing law is what is stored.

    How we checked these figures

    Nine municipal rates ship rather than all 309: the national weighted average plus the largest cities and the two extremes. Vero publishes the full list only as a large decision document and the church rates only per parish, so the totals that the calculation needs are stored and choosing the average warns the user. Church rates are the parishes' own published figures; Turku is stored at the 1.20% its parish publishes, since an older secondary report of 1.25% was a proposal rather than the confirmed rate. The engine is pinned to Veronmaksajat's published 2026 net-pay table, which is computed at the 7.57% weighted average municipal rate and the 1.38% membership-weighted church rate; all seven of its salary points reproduce to within one euro.

  2. Finland: state and municipal income tax, contributions and the work income credit, 2025

    Laki vuoden 2025 tuloveroasteikosta 701/2024; Verohallinto, Verotettavan tulon laskeminen henkilöverotuksessa (verovuosi 2025); Verohallinto, Muutokset veroperusteisiin verovuosittain: 2025; Veronmaksajain Keskusliitto, Kuntien verot 2025 (Verotietoa 98); Veronmaksajain Keskusliitto, Palkansaajan veroprosentit 2025; Eläketurvakeskus, Työeläkemaksut vuonna 2025; Työllisyysrahasto, Vuoden 2025 työttömyysvakuutusmaksut on vahvistettu; Verohallinto, Vakuutetun sairausvakuutusmaksu.

    Effective 1 January 2025 to 31 December 2025. Retrieved 19 October 2026. Past its effective period.

    Tax year 2025, the first year of the larger work income credit that replaced the abolished earned income deduction. The credit is 18% of work income, at most 3,225 euro, reduced by 2.22% of earned income between 24,250 and 42,550 euro and by 3.44% of income above 42,550 euro, so it is gone at about 124,490 euro. The employee pension contribution is 7.15%, or 8.65% at ages 53 to 62; unemployment insurance is 0.59%. The state scale has six brackets, the top two at 88,200 and 150,000 euro not indexed. The 12.64% first bracket starting at zero is the share the 2023 wellbeing-services-county reform moved off municipal rates onto the state. Not modelled: Aland, commuting costs, the household deduction, trade union fees, the single parent's doubled child increase and capital income.

    How we checked these figures

    The engine is pinned to Veronmaksajat's 2025 net-pay table, computed at the 7.54% weighted average municipal rate and the 1.38% average church rate for a church member under 65 outside the 53 to 62 pension band. Municipal and parish rates for the listed cities are the 2025 rates published in Veronmaksajat's Kuntien verot 2025; Pomarkku (10.9%) and Kauniainen (4.7%) were again the highest and lowest. The daily allowance contribution is charged from 16,862 euro of annual pay.