Taxes on salary in Finland: what new employees need to know
Tax card in Finland (verokortti) is a document that shows the employer how much tax to withhold from your salary. You can obtain it from the Vero tax administration if you have a Finnish personal identity code and an estimate of your annual income.
Without a card, the employer may withhold tax at a higher rate. According to unofficial sources, this is about 60%, but the exact figure should be checked on the Vero website. That is why it is better to obtain the card before the first salary payment.
Our experience at International Law Firm "Zahist" shows that most people overpay tax only because they incorrectly estimated their annual income or did not update the card. Below we explain how to obtain the card, what to pay attention to, and when it is better to have a lawyer nearby.
What verokortti is and why it is needed
Verokortti, or the tax card, contains the withholding tax rate and information on estimated annual income. The employer uses this data to calculate the tax correctly on each payment.
The card is needed by everyone who receives a salary or other income in Finland. It neither increases nor decreases your taxes for the year, but it helps withhold them evenly throughout the year.
| Item | What you need to know |
| Who needs the card | Everyone who receives a salary or other income in Finland |
| What it contains | The withholding rate and estimated annual income |
| Who issues it | The Vero tax administration |
| To whom it is provided | To the employer before the salary is paid |
| What happens without a card | Tax may be withheld at a higher rate |
In other words, the card is not an additional tax, but a tool for accurate calculation. Errors in it are usually corrected when the annual tax return is filed.
Tax card in Finland (verokortti): how to obtain it step by step
The procedure for obtaining the card depends on your status, but the basic scheme is similar for most employees. Below is the sequence we recommend following.
- Obtain a Finnish personal identity code if you do not yet have one
- Estimate how much you will earn over the entire year
- Contact Vero through the electronic service or a tax office
- Indicate your estimated annual income and employer details
- Receive the card and check the withholding rate
- Provide the details to your employer before the first salary payment
New arrivals can obtain the card at a tax office. For this, you will need a personal identity code and an estimate of income for the entire year, not only for the first months.
The exact steps in the electronic service may change, so before you start, check the current instructions on vero.fi.
Personal identity code and documents for obtaining a tax card
A personal identity code is needed for almost all actions with Vero. It is assigned by the DVV agency during registration in the population information system, and in certain circumstances it can also be obtained at a tax office.
- A passport or other identity document
- A document confirming the right to stay in Finland
- A Finnish personal identity code or documents for obtaining one
- Employer details: name, identifier, contact
- An estimate of your annual income
If the code has not yet been issued, the first step is to register in the population information system. Our article on the personal identity code for Ukrainians explains this in more detail.
How to estimate annual income for the card
The income estimate is the key to the correct rate. If you indicate too low an amount, you may underpay tax and have to pay the difference after the end of the year.
An estimate that is too high will lead to overpayment during the year, and the money will be returned only after the tax return is filed. Therefore, try to estimate realistically.
| Situation | How to handle the estimate |
| Permanent full-time work | Multiply monthly income by the number of months in the year |
| Work for only part of the year | Count only the period during which you will work |
| Several employers | Take into account total income from all sources |
| Unstable income | Use a cautious estimate and review it during the year |
| Additional income | Add bonuses, allowances, and other receipts |
If your income has changed significantly, update the card. This will help you avoid large additional payments or excessive withholdings.
What happens if you work without a tax card
You can work without a card, but it is not advantageous. If the employer has neither a card nor electronic withholding data, a higher rate is applied.
- Withholding from salary may be significantly higher than the actual tax
- The difference is refunded only after the tax return is filed
- The funds may remain with the state longer than necessary
- Other rates may apply to short-term contracts
- Errors in the data make later correction more difficult
Therefore, even if you are working only temporarily, it is better to obtain the card in advance. This will save money and stress.
How to check the withholding rate on the card
Before providing the card to your employer, it is worth making sure that the rate matches your actual situation. To do this, pay attention to two parameters.
- The estimated annual income stated on the card
- The withholding rate applied to the salary
- The validity period of the card and the start date
- Employer details and the employee identifier
If the calculations do not match your expectations, contact Vero. The sooner you do this, the less you will have to correct later.
Annual card update and change of income
For persons who permanently reside in the country, the tax administration usually sends a new card at the end of the year. It takes effect at the beginning of the new period, often from 1 February.
However, an automatic update does not mean that the rate is always correct. If your income has changed, you need to submit new data yourself.
| Event | What to do |
| Salary has changed | Update the income estimate and the card |
| You changed employer | Provide the card to the new employer |
| An additional source of income has appeared | Submit a new estimate to Vero |
| The year has ended | Check the new card and verify the rate |
A timely update helps avoid significant additional payments after the tax return is filed. This is especially important for those whose income fluctuates.
Several employers and side work
If you work in several places at the same time, the situation becomes more complicated. Each employer withholds tax on the basis of your data, so it is important to allocate income correctly among the sources.
A typical mistake is to indicate only income from the main job and forget about side work. Then the total amount for the year turns out to be higher, and after the tax return you have to pay the difference.
If the income limit on the tax card is exceeded, a higher rate may be applied to the remainder of the salary. That is why it is worth periodically comparing actual earnings with the figures on the card during the year.
Annual tax return and tax refund
Even a correctly issued tax card does not guarantee that you have paid the exact amount of tax. The final calculation is made after the end of the year on the basis of the tax return and data from employers.
| Result | What it means |
| Too much withheld | The difference is refunded by the tax authority after the tax return is reviewed |
| Too little withheld | You will need to pay the additional tax by the set deadline |
| Withheld exactly | There will be no additional payments or refunds |
That is why it is important to keep payslips and review the preliminary tax return. If the employer’s data are inaccurate, they can be corrected before final confirmation.
Common mistakes when applying for a tax card
Below are the mistakes that occur most often. All of them can be corrected, but it is better not to make them in the first place.
- Not applying for a tax card and working with a higher withholding rate
- Understating annual income in the hope of paying less
- Not updating the tax card after a change in salary or employer
- Giving the employer an outdated tax card
- Not checking the rate before submitting it
- Not keeping documents on the application and payment of tax
Each of these mistakes can lead to additional payments or a loss of time. A calm review of the data helps avoid this.
Why applying for a tax card on your own can be difficult
At first glance, it is enough to submit an application online. But for newcomers who have not yet settled in, the procedure has many pitfalls.
- Instructions are in Finnish or Swedish, and translations are often delayed
- It is difficult to estimate annual income correctly, especially with unstable work
- It is unclear which rate is considered acceptable for your situation
- An error in the data leads to overpayments or additional payments
- Communicating with the tax authority is not easy if you do not yet know the language
That is why Ukrainians are increasingly turning to lawyers. Tax card in Finland (verokortti): how to obtain it without mistakes is a task our specialists handle regularly.
On your own or with International Law Firm "Zahist": a comparison
The difference between the two approaches is best seen in a comparison.
| Parameter | On your own | With International Law Firm "Zahist" |
| Income assessment | Approximate, risk of error | Analysis of your situation and a realistic calculation |
| Submitting data to Vero | In person, often in Finnish | Support and an explanation of each step |
| Rate review | It is not always clear what to check | Assistance in reviewing the tax card |
| Update when income changes | Easy to forget | Reminders and monitoring |
| Dispute with the tax authority | Unclear where to start | Request, explanation, appeal |
| Result | Depends on luck | A clear plan and monitoring through to the result |
We do not guarantee decisions by public authorities, as the final word rests with them. However, proper preparation significantly reduces the risk of errors and overpayments.
How International Law Firm "Zahist" helps with taxes and documents in Finland
We work according to a clear plan so that you always understand what is happening in your case.
- Situation analysis: status, availability of a personal identity code, type of work, and expected income
- Assistance with estimating annual income for the tax card
- Preparation of documents and support with submission to Vero
- Review of the withholding rate and verification of the data on the tax card
- Assistance with updating the tax card when work or income changes
- Preparation of explanations and an appeal in the event of errors or additional payments
- Further support on tax return matters and other documents
At every stage, you know what is happening and are not left alone with the bureaucracy. This is especially valuable when the family budget depends on the salary.
Legal assistance for Ukrainians in Finland
Do not put off applying for a tax card until your first salary. The earlier you prepare everything, the less you risk overpaying tax.
Contact the lawyers of International Law Firm "Zahist", and we will review your situation and advise you on how to obtain a tax card in Finland and avoid common mistakes.
