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Finland Payroll Services & Solutions

Outsource your Finland payroll to Horizons, even if you don't have a Finnish entity

Setting up and running Finland payroll

The Northern European country of Finland is famous for its high quality of life and rich culture. Combined with its modern economy, it can be an excellent place for foreign businesses to expand into.

If you are planning a Finland expansion one of the first steps is likely to be setting up a Finnish entity and hiring a local workforce. While this is possible to do independently, it can be difficult to understand and follow the country’s unique employment laws and overcome language barriers, which can cause unexpected delays to expansion.

At Horizons, we specialize in providing Finland payroll outsourcing to foreign businesses aiming to build a presence in the region. We will handle the setup, running, and any associated administration for your Finland payroll outsourcing, simplifying the whole process and empowering you to focus on the important job of a successful expansion, even if you don’t have an established entity in Finland.

Why choose the Horizons payroll solution?

If you have an entity

For organizations that have already established an official entity in Finland, we offer a comprehensive and tailored Finland payroll outsourcing service. Our expert team will set up and manage your payroll, also handling all of your associated administration, HR, and compliance with local regulations.

This service is ideally suited to larger organizations and those expanding into Finland in the long-term.

If you don’t have an entity

For organizations that have not already registered an entity in Finland, we offer our standard Finland payroll outsourcing service with the additional use of our Finland subsidiary. We will act as employer of record for your new employees, so you won’t have to go through the long process of registering an entity in Finland yourself.

This service is a low-risk, flexible, and scalable option for businesses looking to expanding into Finland.

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Finland payroll guide

Taxes and withholdings in Finland

Finland’s income tax system is progressive, so higher earners pay a higher percentage of their income. The personal income tax rate is between 0% and 31.25%, and there is an additional municipal tax which varies between 16.5% and 23.5%, depending on location.

Corporate taxes in Finland are set at 20%.

Finland entitlements and terminations

Whenever hiring in Finland, it’s important to produce a formal employment contract for every employee. This contact should be agreed upon by both parties, and detail the specific entitlements and termination terms to keep things as simple as possible. It should also be written in Finnish, using the Euro as currency.

For terminations, the required notice period varies depending on the length of employment, as well as whether or not the employer has proper cause for dismissal.

How to establish Finland payroll outsourcing

If you want to hire and set up your Finland payroll outsourcing, we recommend establishing a Finnish entity first. However, tackling this independently can be complicated, possibly leading to delays and impacting your profits.

Alternatively, you can choose to outsource your Finland payroll to Horizons. We provide the use of our Finland subsidiary to act as employer of record for your Finland workforce, so you won’t have to go through the complex process yourself and can benefit from our outsourcing services even without a registered entity in Finland. Additionally, we can build your payroll and manage your HR, compliance, and any other associated administration, enabling you to work on successfully expanding your businesses in Finland.

Manage payroll in Finland

Whether it’s EOR service or just payroll management, Horizons’ employment experts can help you get started in 24h.