Does pension accrue without YEL insurance?

The short answer is: no, it doesn't. This is one of the biggest differences between salaried employment and light entrepreneurship.

In salaried employment, the employer automatically pays pension contributions (TyEL) even on a small salary. As a light entrepreneur or entrepreneur, pension accrual is tied to YEL insurance.

• If you have YEL insurance: Pension accrues according to the confirmed income you've set on your policy.
• If you don't have YEL insurance: No pension accrues at all, even if you work and invoice clients.

That's why it's important to keep track of the YEL threshold (9 423,09 € in 2026). Once the threshold is exceeded, the insurance becomes mandatory — but it's also your only way to secure your future pension as an entrepreneur.