Edited: 20.03.2020 - 14:24
If you start your own business, you should notify PAM immediately regardless of whether you are also employed in a PAM sector at the same time. You may submit the notification either using this form (in Finnish) or via e-mail to firstname.lastname@example.org.
If you notify us via e-mail, please always include at least the following details: your name, membership number and telephone number, the date from when you’ll become an entrepreneur and whether you wish to continue your membership after becoming an entrepreneur.
PAM recommends that you join the Unemployment Fund for Entrepreneurs and the Self-Employed (AYT) when you start your business.
Members who become entrepreneurs can continue their membership of the PAM Unemployment Fund for a maximum period of 18 months, known as the post-protection period. The purpose of the post-protection period is to facilitate transitions between entrepreneurship and paid employment. Entrepreneurs who become unemployed during the post-protection period are still entitled to receive the earnings-related unemployment allowance for employees during the post-protection period, unless the 500-day maximum payment period for earnings-related allowance has run out. The post-protection period for those who switch from entrepreneurship to paid employment will apply until they meet the qualifying period of employment.
For more information on the unemployment security of entrepreneurs and their family members, please contact the Unemployment Fund for Entrepreneurs and the Self-Employed.
As an entrepreneur, you can continue your membership of the PAM Unemployment Fund for the maximum post-protection period of 18 months. For this period, you will pay membership fees according to your previous earnings from employment. If you continue in business after the post-protection period, your membership of PAM and the Unemployment Fund will end. If you wish, however, you can continue as a PAM member – though not the Unemployment Fund – but you’ll need to inform PAM about this specifically.
Are you unwittingly self-employed?
According to the Unemployment Security Act (1290/2002), even a paid employee may be an entrepreneur. In particular, if you work in a family-owned business, you should check whether you fall within the unemployment insurance scheme for self-employed people or employees. It’s a good idea to check your own status as soon as you start work, because the PAM Unemployment Fund will not pay earnings-related unemployment allowance to self-employed people. There is a separate unemployment fund for entrepreneurs and self-employed people.
Are you self-employed under the Unemployment Security Act?
Anyone who is obliged to take out insurance under the Self-Employed Persons’ Pension Act (YEL, 1272/2006) or the Farmers’ Pension Act (MYEL, 1280/2006) for their main occupation is considered to be an entrepreneur.
A part-owner of a company covered by another statutory pension scheme is also considered to be an entrepreneur, when he/she works in a leading position in the company and owns at least 15% or his/her family members or he/she together with the family members own at least 30% of the company.
Furthermore, a part-owner will also be recognized as an entrepreneur when he/she works in a company where he/she or his/her family members or he/she together with the family members own at least 50%.
Part-time entrepreneurship does not preclude you from belonging to the PAM Unemployment Fund. Your earnings from part-time entrepreneurship will be taken into account as income when determining your adjusted earnings-related unemployment allowance.