Finland Proposes Major Child Benefit Reform With Flat €100 Monthly Payment Until Age 18

A government-commissioned report in Finland has proposed a sweeping reform of the country’s child benefit system, including a flat monthly payment of €100 for every child until the age of 18.

The proposal was published on Monday and prepared for Social Security Minister Sanni Grahn-Laasonen by senior Health Ministry official Liisa Siika-aho and Kari-Pekka Mäki-Lohiluoma, director at Kela.

Under the proposed model, every child would receive the same tax-free monthly benefit regardless of birth order. The reform would replace the current system, where payments increase depending on the number of children in a family.

The report also recommends extending child benefit payments by one additional year. Currently, benefits end when a child turns 17, but under the proposal support would continue until the age of 18.

At present, families receive €94.88 per month for a first child, €104.84 for a second child and progressively larger amounts for additional children.

Families with five or more children currently receive more than €190 per child each month. Single parents are also entitled to an additional payment of €73.30 per child.

However, the proposed reform would eliminate all supplementary increases, including higher payments for large families, single parents and children under the age of three.

According to the report, the flat-rate system would make social security simpler, more transparent and easier to understand.

The authors also argued that the new model would better reflect modern family structures by allowing child benefits to be shared between parents living at different addresses.

“Social security should be simple and understandable,” Siika-aho said while presenting the report. “Child benefit should return to its original purpose as a transfer from households without children to families with children.”

The proposal is expected to spark political debate, particularly over its potential impact on large families and single-parent households, which currently receive additional support under the existing system.

The Finnish government has not yet announced whether it will move forward with the recommendations, but the report is likely to play a key role in upcoming discussions on social welfare reform in the country.