The subsidy is paid to the employer retroactively on the basis of an account on spending, in accordance with the paid gross salary. The installment period is agreed upon in the contract, and it must be complied with throughout the subsidy period.
Salary costs are defined in Section 85 of the Act on the Organization of Employment Services as pay subject to withholding taxes that is paid to the employee on the basis of working time or the performance of a contract.
The account on spending must be delivered to the payer of the subsidy within 30 calendar days of the end of the agreed installment period of three (3) or six (6) months. If an application for the subsidy is not submitted by the agreed deadline, the account on spending will be considered late and the subsidy installment in question cannot be paid.
For example, the youth recruitment subsidy has been granted for the period of June 1, 2026, to November 30, 2026, and the installment period is 3 months. The first three (3) months of the young person’s employment relationship end on August 31, 2026, which marks the beginning of the 30-calendar-day time limit. This means that the account on spending for the first installment must be submitted no later than September 30, 2026. The next three-month period ends on November 30, 2026, which means that the account on spending for the second installment must be submitted to the payer of the subsidy by December 30, 2026. If the deadline for the account on spending is a Saturday, Sunday or other holiday, the City of Vantaa must receive the account by 16:00 on the following weekday.
If the agreed installment period is three (3) months and the employment relationship begins in the middle of the calendar month, the first account on spending shall report the actual working days of the first partial month and two (2) full calendar months. For the second installment, the account on spending shall cover the remaining part of the subsidy period.
Any subsidy granted and paid on the basis of erroneous information or subsidy that was used for a purpose other than what it was meant for will be collected from the applicant.
The youth recruitment subsidy will not be paid during any period when the subsidy applicant receives or is entitled to receive daily allowance pursuant to Chapter 7, Section 4 of the Health Insurance Act for the duration of the hired person’s absence due to illness, maternity, paternity or parental leave, or partial parental leave, or daily allowance or compensation due to the hired person’s disability pursuant to Section 139 of the Workers’ Compensation Act.
Attachments:
- A copy of the employment contract of the person hired with the subsidy shall be submitted in connection with the account on spending for the first installment.
- In connection with each account on spending, copies of the salary statements of the person hired with the subsidy shall be submitted, covering all of the months of work during the installment period.
