The government of Petteri Orpo (NCP) is reforming Finland's basic social assistance, a last-resort form of support for households struggling to cover daily essentials.
In 2025, Kela's basic social assistance for a single person was 593.55 euros per month.
Social welfare has been substantially reworked over the course of the current administration, with the redesign of basic social assistance on the agenda since the government took office.
The reforms will be implemented in two stages, on 1 February and 1 March, tightening eligibility criteria and increasing the conditionality of benefits. Recipients will now need to demonstrate more rigorously that they genuinely need the support.
The biggest change to social assistance is that Kela will now be able to reduce the basic allowance more frequently than before.
More frequent reductions
From Sunday, the basic component of social assistance can be reduced more frequently and by larger amounts. Kela may cut the allowance by 50 percent if an applicant fails, despite guidance, to apply for so-called primary benefits.
These include student aid, unemployment benefits, housing allowance, parental leave pay, pensions and sickness allowances.
A fifty percent reduction can also apply if an applicant does not register as a full-time job seeker within a month at employment services.
Additional reductions are possible if, for example, immigrants neglect their integration plans, or if unemployment benefit recipients turn down a job, fail to seek employment, or do not apply for enough jobs.
Applicants under 25 receiving social or unemployment benefits must now prioritise education if they have not completed a vocational qualification after ninth grade or upper secondary school.
Slight overall reduction from March
From 1 March, the basic component of social assistance will be cut by two or three percent for all adults. A three-percent reduction applies to 18-year-olds living alone or with their parents, while a two-percent cut affects other adults aged 18 and over.
According to Kela's calculations, the basic allowance for an 18-year-old living on their own will drop by 17.90 euros per month.
All earned income counts
Also from 1 March, earned income will be fully taken into account when calculating social assistance. Previously, recipients could earn up to 150 euros per month without it affecting their benefits.
Cash allowances will also now be counted fully as income. In the past, minor allowances were excluded. For example, a single person could receive 50 euros per month from their parents without it reducing social assistance, while families could receive up to 100 euros.
Kela pays rent portion directly to landlords
As of Sunday, Kela will pay the rent portion of social assistance directly to landlords for recipients who have been granted a Kela rent guarantee.
Recipients will need to monitor their payments carefully, as the amount of social assistance can vary from month to month depending on prior income and expenses.
The rent portion paid by Kela may not cover the full rent, meaning recipients are responsible for paying any remaining balance themselves.
