1. How does payroll work?
Holvi offers a payroll service in cooperation with Palkkaus.fi. The payroll service is available for Holvi Lite, Pro, Zen+ and Holvi Association customers.
Palkkaus.fi is provided by Suomen Palkanlaskenta Oy (FI25543933), an independent Finnish company established in Helsinki in 2013. The company is subject to supervision by the Finnish Financial Supervisory Authority and is registered in the register of payment service providers kept by the Financial Supervisory Authority. When you enable salaries in Holvi, you will be asked to authorise with your online banking credentials so that salary payments can be processed securely.
Palkkaus.fi acts as a case manager between the employer and the employee, taking care of payroll accounting, sending payslips, creating payroll statements and submitting notifications to the authorities.
The employee's pay slip is prepared in Holvi using the Palkkaus.fi pay calculator, after which the pay slip is paid in Holvi, including incidental expenses. The payments consist of the net salary plus withholding tax and employer contributions. They are paid to the right parties at the right time.
The employee will automatically receive a payroll notification if their email address has been added to the employee's details in Palkkaus.fi. The employee can use their online banking credentials to view the pay slips and update their data.
You can get monthly accounting reports on the wages paid by your company from the Reports tab. You can set your accountant's email address in the settings, so the report is automatically sent to them as well.
You will be charged the service fees according to the Holvi pricing list on a payroll basis, any additional fees won’t be charged for using the service. Service charges for payroll are billed as part of the monthly invoice from the Holvi.
If you have any questions about payroll or how the service works, please contact Payroll Customer Service on 09 425 50603 (weekdays 9-12) by email to aspa@palkkaus.fi. You can find the Palkkaus.fi support website here.
2. Introduction of payroll
You can pay your employees or yourself as an entrepreneur from your Holvi account. We offer Palkkaus.fi payroll service to users as a direct part of the Holvi online banking service. By using Palkkaus.fi in Holvi, you accept the service-specific terms and conditions. The terms of use for the service can be found here
The payroll service is activated from the Payroll section. Only the creator of the Holvi account can enable the payroll service, i.e. the administrator or assistant cannot enable the payroll service for the company. If you have not used Payroll in the service before, click on the Enable Payroll button. You will then be redirected to the deployment. If you wish, you can familiarise yourself with the payroll service even if you have not yet implemented payroll.
When you click on the Enable Payroll button, you will be taken through a 4-step wizard that asks for information about your company as an employer. Most of the information should already be in place, as you have provided your company details in the Holvi rollout. Finally, you will be authorised to allow the service to handle payroll transactions on your behalf.
Please take these things into account when deploying:
-Check that your company contact details are correct
- Payroll can also be paid without the company's own occupational pension contract, which can be taken out later when payroll is continuous. You do not need a TyEL contract for your company if you only pay self-employed wages.
- Palkkaus.fi requires authorisation on behalf of your company to handle payroll-related matters. It is digitally signed using the founder's personal online banking IDs. Please note that the signatory must have company signatory rights.
A guided deployment involves four steps through which you will be guided:
1. Company information.
- Please check your company details. You can change them in the Holvi settings if they have changed.
2. Information required for salary payment (earnings-related pension, TyEL)
- If your company already has an occupational pension agreement (TyEL), please enter it here. If your company is a quarterly filer in the Tax Administration's register, please contact Customer Service.
- The TyEL service automatically treats you correctly as a so-called temporary declarant, even if you do not have a TyEL contract.
- If you only pay self-employed wages, you do not need a TyEL contract.
3. Authorisation to handle payroll matters
- Finally, you will be authorised to handle payroll matters on behalf of the company. This is done by electronically signing the power of attorney using the online banking credentials of the Holvi account creator. This enables the service to securely handle payroll payments and related notifications to the authorities, as well as payroll settlements. The authorisation only needs to be done once.
Note! To provide this service, the external user salaxy@salaxy.com is automatically added to your account. This user has been created exclusively to provide and secure a secure connection to SUOMEN PALKANLASKENTA OY, the provider of the Palkkaus.fi software. The user can be removed from the account at any time. Please note that in this case the payroll service will be removed from the company.
For any questions, you can contact Payroll Customer Support at aspa@palkkaus.fi.
3. Service desk
When you go to Payroll from the Holvi menu, you will be taken to the Payroll desktop where you will see an overview of your company's payroll.
On the left hand side you will see a submenu from which you can select the payroll functions. You can always return to the desktop by clicking on the "General View" menu. On the desktop, you can see your employees as a list, add a new employee or pay an employee.
The Payroll menu contains the following functions:
Calculations: here you will find all the pay slips. You can also find drafts of the payroll in the same place.
Payrolls: when you want to pay several salaries at the same time, use a payroll. You can quickly fill in payroll rows for several employees at once. The salaries will form individual net payroll e-invoices to Holvi, which need to be approved separately.
Employees: information on employees, including tax cards, can be changed here. You can search for an employee using the search function and you can also add a new employee.
Reports: here you can find payroll reports and notifications to the authorities.
Payroll settings: your company's payroll settings are here: occupational pension, occupational accident insurance and accountant contact details. You can take out TyEL, YEL and accident insurance directly from the settings if you don't already have them. You can also transfer your existing contracts to Varma or LähiTapiola.
4. Editing employee data
From the desktop, click on the "Employees" button to go to the employee list. You can also click on an employee directly from the list of employees on the desktop.
To edit the employee's details, select "Edit details". You can change the employee's details, such as email, update tax card details or bank account number.
If you have not yet paid this employee, you can also delete the employee's details for your company. If you have already paid them a salary, you can no longer delete the employee, as the employer is required by law to keep the salary information.
Once your employee has created an account with the service, you will no longer be able to change their details from the company side. Your employee can change their details themselves by logging into Palkkaus.fi or you can ask Palkkaus.fi customer service (aspa@palkkaus.fi) to change their details.
5. How do I pay my salary?
Once you have found an employee and signed an employment contract, payroll and payroll payments, as well as the necessary insurance, are all handled by the service.
1. Before you start work, you should take out work accident insurance for your company. If you pay more than €1,500 in wages to your employees in a calendar year (in 2024), statutory occupational accident insurance is compulsory.
NOTE: Please remember that you must have work accident insurance before starting work, it cannot be purchased afterwards! You can purchase statutory occupational accident insurance through the accident insurance section in the service settings, which means that it is valid immediately.
2. You can add your employee's details to the service even before the first payment is made. To do this, you will need
- Social security number and name
- Bank account number (IBAN number)
- Tax card details (the service automatically retrieves the tax card)
- Contact details: phone, email and address
You can edit your employee's data until they log in and identify themself in Palkkaus.fi when applying for pay slips electronically. After that, they manage their own data and can update their tax card or change their account number on Palkkaus.fi.
3. Agree with the employee on the work to be done and the terms and conditions. It is always a good idea to have a written contract. Here you will find a template and guidelines for drawing up an employment contract.
4. Here's how to pay your salary:
- Select an employee from the desktop and press New calculation.
- Add the job description, job dates and number of working days.
- Enter the employee's hourly/monthly wage or the agreed lump sum.
- Enter any allowances, allowances or deductions from your salary, such as an advance payment.
- Check the pay slip details and submit your salary for payment. A net salary payment is now sent to Holvi. Later on the tax payments related to the salary payment will arrive as well for your approval.
- In Holvi, go to the Incoming e-invoices section of the Transaction section and accept the payment. This can only be done by the main users of your Holvic account, the assistant cannot accept payments. The online invoice for the payroll payment will appear in Payments within about a minute after you have approved the invoice on Palkkaus.fi.
Note: The payroll payment date is the date you have specified in Palkkaus.fi for the payroll, in Holvi the e-invoice is transferred to either the Scheduled or Paid status upon approval. The net salary will be in the employee's account in the SEPA area within 1 banking day of the payment. For more information on outgoing payment schedules and regulations, click here.
5. Palkkaus.fi will do the rest!
We account for the employee's net salary and the employer's payments related to the salary to the Tax Administration (including withholding tax).
- We make the required notifications to the authorities for employer contributions in connection with the payment of wages (Tax Administration, TVR, employment pension company).
- The employee will receive an email notification of the payment and a link to Palkkaus.fi, where they can log in securely to retrieve their pay slip.
- In the Reports section of the service, you will find all the monthly payroll reports.
6. What notifications and settlements does the service handle?
The service will automatically process the declarations to the Incomes Register according to the salary payments (2024):
- Payroll declaration to the Incomes Register (made within 5 days of payment).
- A separate declaration to the Incomes Register, including a so-called zero declaration. This is done if your company is in the Employers' Register (monthly).
Subsequent statements and notifications are handled automatically:
- Withholding tax and employer's health insurance contribution to the Tax Administration on a monthly basis in accordance with the salary payments.
- Net salaries to employees' accounts.
- Your TyEL company will send an invoice to your company about a month after your salary has been paid. The company receives information on wages from the Incomes Register.
- The Employment Fund (TVR) sends invoices for TVR payments to the company once a quarter, as notified. The TVR obtains information on wages from the Incomes Register.
7. Hiring your first employee?
When hiring your first employee, it's worth remembering the following:
1. Before you start work, make a written contract agreeing the terms and conditions of the work. By law, the contract can also be verbal, but it is always a good idea to put it in writing so that there are no ambiguities afterwards. You can find out more about the employment contract and a ready-made basis here.
2. if you pay more than €1500 in a calendar year (2024), you must take out statutory employer's occupational accident insurance before starting work. You can do this directly via the Settings -> Insurance menu.
3. Add an employee to the service: contact details, personal identification number, bank account number. For working age people, the tax card information is automatically provided by the Tax Administration in the programme. You can store these in the employee's details in advance, before the actual payment of the salary. The tax card is automatically checked each time before the payment of the salary.
You can then use the payroll calculator to calculate and pay your salary.
Further guidance on hiring your first employee can be found via this link.
8. Employer's incidental expenses
The employer and the employee contribute to the cost of the employee's pension and social security. The employer pays most of these incidental costs.
The employer contributes to the following expenses in addition to the salary (2024):
- Employee's pension (TyEL)
- Unemployment insurance contribution (TVR contribution)
- Health insurance contribution (sava contribution, previously known as social security contribution)
- Any allowances required by collective agreements in the sector (such as tool allowances)
In addition to the items listed above, which are deducted directly from wages, employers are obliged to provide statutory accident insurance and occupational health care for their employees.
Employer's fringe benefits are calculated as a percentage of salary (varying from year to year) and their payment obligation is affected, for example, by the age of the employee.
For a breakdown of the fringe benefits you pay as an employer and the total cost, see the employer's calculation in the pay slip or the wages you already pay.
More details on the employer's side costs can be found here.
https://www.palkkaus.fi/abc/tyonantajan-sivukulut/
9. Reports
You can find all payroll reports under the Reports tab.
- The service stores a monthly accounting report and a breakdown of payroll payments. By default, the accounting report is in accordance with the Business Accountant's chart of accounts.
- Employees' annual summaries can also be found in the reports.
- All reports for the current year are continuously updated in line with payroll payments and are therefore up-to-date.
- You can add your accountant's contact details in your preferences, and the monthly accountant report will also be automatically emailed to your accountant.
10. Employee payslip
By law, the employer must give the employee a pay slip when the salary is paid.
When you pay the salary through Holvi, information is automatically sent to the employee's email from the payslip and they can retrieve it by securely logging into the Palkkaus.fi service with their own online banking credentials in accordance with the instructions in the email.
So you should always ask the employee for an email address, so you don't have to send the pay slip to the employee separately. You can try out different salaries on the calculator and see how the pay slip is formed. Draft pay slips can be deleted if you just experiment with the payroll. Find out more about the payroll via this link.
11. Work accident insurance
If you already have occupational accident insurance for your employees, you can add their details in the payroll settings. Your company will receive information on wages through the Incomes Register. The service will automatically make the income register declarations according to the wages you pay.
If you don't have work accident insurance, you can take it out in the service settings under Insurance. You can get the insurance from LähiTapiola and it is valid immediately.
12. Do I need an occupational pension contract (TyEL)?
You can probably make an occupational pension contract directly in the service: go to Settings -> Insurance and mark that you need a contract. Fill in the details in the form and the insurance will be valid immediately.
If you already have an occupational pension contract, you can add its details in the payroll settings.
If you are self-employed, see the article on the self-employed person's pension (YEL) here. TyEL contributions are only paid on the employee's wages, not on the actual entrepreneur's wages.
13. Self-employed person's pension (YEL)
Each entrepreneur is responsible for organising their own pension provision. Under the Self-Employed Persons' Pension Act (YEL), this must be done through YEL insurance.
The law assumes that if you work in a company as an owner in a managerial position and are personally responsible for the company's commitments, you are an entrepreneur. In this case, insurance is compulsory and no employee pension contributions (TyEL) are deducted from wages. A family member or part-owner of an entrepreneur can also be counted as an entrepreneur in certain cases.
Self-employed persons' pension insurance, or YEL insurance, is compulsory if you meet certain conditions. If you suspect that you need a YEL contract, you can check and take out insurance from the service by going to Settings -> Insurance and selecting Take out YEL insurance. The form will ask for your details and your YEL insurance will be in order!
The entrepreneur does not pay pension contributions in connection with the salary payment, but separate payments are made personally from the YEL contract. All entrepreneurial income earned by the entrepreneur during the year is taken into account (may be from more than one company) when calculating the YEL contribution.
As a self-employed person, you declare what your YEL income is for the year and the pension company sends you an invoice for the pension contribution. Your earned income is the value of your contribution. It must correspond to the salary that would be paid to a person as skilled as you are.
14. Power of attorney for payment of wages and salaries
When you start using the service, the person setting up the Holvi account must digitally sign a power of attorney authorising Palkkaus.fi to manage your company's payroll.
The service can handle obligations and payments related to hiring, payment of wages and salaries on behalf of the company in relation to authorities and other entities related to hiring, such as:
- Employees
- Tax Administration
- Occupational pension companies
- Insurance companies
- Employment Fund (TVR)
- Banks and payment intermediaries (in relation to possible settlements and payments)
The credentials can be found at the bottom of this page and will be automatically filled in with the company and founder's details during the setup process.
15. Palkkaus.fi customer service
Palkkaus.fi's customer service will help you with all your payroll questions and will be happy to receive feedback on your use of the service.
If you need more information on payroll issues, you can find the Palkkaus.fi support site here.
You can call Palkkaus.fi customer service on 09 425 50603 (weekdays 9-12) or send an email to aspa@palkkaus.fi.
16. Service fee and terms of use
The service fee is €15 per salary, up to 10 salaries paid per month If you pay more than 10 salaries per month, a service fee of €10 per salary is charged for the excess. VAT 25,5 % will be added to the prices.
For example, if you pay 15 salaries per month, your payroll costs will be 10x 15€ + 5x 10€ = 200€ (VAT0%)
The service fee covers the net salary and the settlement of employer contributions at the right time. We will also make the necessary declarations to the Incomes Register on your behalf, unless you have indicated that you will do this yourself.
The employee will receive an email notification of the payment, after which they can log in to Palkkaus.fi with their online banking credentials and pick up their pay slip.
We will keep your payroll data for you for the period required by law. Your employee's pay slips will be available to the employee on Palkkaus.fi for the period required by law, even if the employee is no longer employed by your company.
The terms and conditions of the service can be found here. To use the payroll service, you must accept the terms of use.