Why did my earnings-related daily allowance decrease?
News
Topics
- Income security
- Lay-off
- Part-time job
- Unemployment
The amount of earnings-related daily allowance is staggered. This means that the amount of earnings-related daily allowance will decrease if unemployment is prolonged. The staggering applies to all recipients of earnings-related daily allowance, regardless of whether you are unemployed, laid off or working part-time.
The level of earnings-related daily allowance changes due to the staggered period in two stages. For the first time, the level decreases when you have been paid earnings-related daily allowance for 40 days, i.e. for about two months. The next time the level decreases is at 170 payment days, i.e. when you have received earnings-related daily allowance for about eight months.
How does staggering work?
- The first 40 days: you will receive a full earnings-related daily allowance
- Next days (41–170): earnings-related daily allowance falls to 80% of the original
- After 170 days: earnings-related daily allowance falls to 75% of the original
When earnings-related daily allowance has been staggered for the second time after 170 payment days, the amount of earnings-related daily allowance no longer changes due to the staggering.
Despite the staggering, the earnings-related daily allowance you receive as a member of an unemployment fund is higher than the basic daily allowance (basic allowance) paid by Kela. Membership of an unemployment fund is therefore worthwhile.
What does the staggering mean in euros?
For example, if the amount of your earnings-related daily allowance is 80 euros, the effect of the staggering is calculated as follows:
- First 40 days of payment: 80 €/day
- The following 130 payment days: 64 €/day
- After this: 60 €/day
The adjusted earnings-related daily allowance also decreases
The staggering also applies to you when you work part-time and receive adjusted earnings-related daily allowance. However, the decrease is not calculated directly from the adjusted earnings-related daily allowance, but from the full earnings-related daily allowance, from which the amount of the adjusted earnings-related daily allowance is calculated.
Check the effect with our calculator
Our daily allowance calculator will help you assess how the staggering will affect the earnings-related daily allowance you are paid.