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When is daily allowance re-calculated?

As a general rule, the daily allowance is calculated whenever you fulfil the working condition. There are exceptions to this rule.

Re-calculation of the daily allowance

When you fulfil the working condition, we will start over the calculation of the maximum period for the daily allowance period. We will also re-calculate your earnings-related daily allowance then.

So as a general rule we will re-calculate your daily allowance whenever you fulfil the working condition.

However, we will not re-calculate your daily allowance if the maximum payment period according to the re-calculated daily allowance would start within one year from the beginning of the previous maximum period, and if the daily allowance was calculated at the beginning of the previous maximum payment period. This means that at most, we will re-calculate your daily allowance once a year. This applies to both the employee's and the entrepreneur’s daily allowance.


Daily allowance will not always decrease or increase

As we re-calculate your daily allowance at most once a year, your daily allowance will not decrease even if you take on a short-term job with less  pay than before.

This also  means that if you take on a short-term job with more pay than before, your daily allowance will not increase.

Protection of the daily allowance

When you fulfil the working condition again, and more than a year has passed since the previous calculation of your daily allowance, we will re-calculate your daily allowance.

However, if you have fulfilled the new working condition before the end of the previous maximum payment period, your new daily allowance will always be at least 80% of the earnings-related daily allowance paid to you previously.

This means that even if you had a job with less pay than before, the new daily allowance will not necessarily decrease in the same proportion.

This protection only applies to the earnings-related daily allowance of employees. It does not provide protection for the earnings-related daily allowance of entrepreneurs.

Re-calculation of daily allowance for those employed by statutory obligation and those over 58

If you fulfilled the working condition  in a job offered by a municipality due to their obligation to employ, we will not re-calculate your daily allowance unless the daily allowance calculated on your new income  is higher than the previously determined daily allowance.

We apply the same procedure when you fulfilled the working condition  after you turned 58. This means that  we will not re-calculate your daily allowance unless the daily allowance calculated on your new income  is higher than the previously determined daily allowance.

The requirement for both protection rules is that we have paid you a daily allowance before.  Otherwise, we have no information to compare the new daily allowance to.

Neither of the protection rules is applied to the daily allowance of entrepreneurs or when you go from being an employee to an  entrepreneur and fulfil the entrepreneur’s working condition  or vice versa. In other words, this rule  only protects employees.

Maximum payment period and re-calculation of daily allowance in employment promoting activities

When you are studying voluntarily or participate in employment promoting training and you are paid an earnings-related daily allowance, you will use up your maximum payment period in the same way as if you were unemployed. This means that we may stop paying you the  earnings-related daily allowance while you are studying if your maximum payment period ends.

If you study independently or participate in employment promoting  training, you may still get paid the earnings-related daily allowance for additional days.

When you study independently or participate in employment promoting training, we will not re-calculate the earnings-related daily allowance , and the maximum payment period will  not start from the beginning even if you fulfil the working condition  whilestudying or training. This exception does not apply to other employment promotion services, only to independent studying and employment promoting  training.

This means that if you fulfil the working  condition during independent studying or employment promoting training, we will not re-calculate the daily allowanceand the maximum payment period will not start from the beginning. We wil lonely recalculate the daily allowance and the maximum payment period will start from the beginning once you finish your studies or training.

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