How do I pay myself a salary from my limited liability company in the UKKO Entrepreneur service? – UKKO Sole Trader

In the UKKO Entrepreneur service, you can calculate the salary of an entrepreneur covered by YEL insurance through your limited liability company. You can also calculate salaries for other shareholders covered by YEL insurance. Salaries subject to TyEL insurance cannot be calculated through our service.

Once you have approved the salary, the service creates the necessary expense vouchers for the salary and employer contributions. You only need to pay the salary to yourself and the employer contributions to the Tax Administration, and assign the payments to the vouchers created by the system.

Before you start

Make sure that you have:

the employee’s personal details
valid tax card details
the salary payment date
the pay period, meaning the period for which the salary is paid
the gross salary amount
details of any fringe benefits and reimbursable expenses, if applicable
a completed travel expense report, if applicable.

Please note that the service does not allow you to report a salary with a retrospective payment date. You must first create the salary in your customer account and only then pay the full salary amount on the payment date stated in the payroll report. Salary advances cannot be processed through our service.

How to calculate an entrepreneur’s salary

The entrepreneur must be covered by YEL insurance.

Select Salaries from the menu on the left.
Select Add a salary.
Select the employee or add a new employee’s details.
Enter the salary payment date. The payment date can be the current date or a later date. Retrospective payment dates cannot be reported through our service.
Enter the pay period for which you are paying the salary. The pay period cannot cross a calendar year.
Enter the tax card details or check and, if necessary, correct the details shown in the service.
Enter the gross salary amount.
Add any fringe benefits and tax-exempt reimbursements, if applicable.
Attach a travel expense report (excel-file) if you are claiming a daily allowance, mileage allowance or meal allowance.
Check the salary summary.
Select Create salary statement and approve the salary.

If you leave the salary calculation unfinished, a draft will be saved. You can continue editing the draft later or delete it on the Salaries page.

Pay attention to the salary payment date

Pay the net salary to yourself in full as a single payment on the stated salary payment date. Do not pay the same net salary in several instalments.

A separate salary statement must always be created for every salary payment, including salary advances.

If your company’s cash flow does not allow you to pay the desired salary amount in one payment, create several separate, smaller salary statements instead of one salary statement. This allows you to pay the salary specified on each salary statement in full as a single payment.

UKKO.fi reports the salary information processed in the service directly to the Incomes Register according to the salary payment date stated in the payroll report.

Paying the salary and assigning the payments

Once you have approved the salary and it is shown with the status Salary calculated, payment pending):

Pay the net salary to the employee on the stated salary payment date. The amount can be found under Maksetaan (Amount to be paid) in the payroll report.
Pay the employer contributions to the Tax Administration. The amount and due date are shown on the expense voucher. The due date is always the 12th day of the month following the salary payment month.
Wait until the payments appear in the service’s Account transactions list.
Assign the payments to the salary and employer contribution expense vouchers created by the system.

If you use the UKKO Business Account or the UKKO Payments add-on service and have made the payment directly from the expense voucher, the transaction will be assigned automatically.

You can assign transactions related to salary payments and payments to the Tax Administration on the Expenses page by marking the completed voucher as paid. Alternatively, you can assign them on the Account transactions page by selecting Add to expense and then selecting the completed voucher from the list.

When assigning transactions related to salary payments and employer contributions, do not create new expense vouchers for them. Always use the vouchers automatically created by the service so that the status of the salary calculation remains correct.

How do I know that the salary has been processed?

The salary status is updated when:

the salary has been calculated and is awaiting payment and assigning of the account transaction
the payment, meaning the transaction, has been assigned to the salary expense voucher

The salary is complete on your part once the salary has been paid to the employee and the payment has been assigned to the correct salary payment voucher.

Correcting a salary afterwards

If you notice an error in the salary:

Open the Salaries page.
Select the salary you want to correct.
Select the option for voiding the salary from the three-dot menu (void salary).
Check the voided salary and expense vouchers that have been created.
Calculate a new salary with the correct information to replace the voided salary.

If the salary has not yet been paid, no other action is required after cancelling it.

If the salary has already been paid, the paid amount must be returned to the company’s bank account. Once the refund appears on the Account transactions page, create a new income voucher for assigning the account transaction. Attach the voided payroll report to the income voucher.

You can save the voided payroll report to your device from the cancellation expense voucher automatically created by the system. In this situation, an account transaction (refund) cannot be assigned directly to the automatically created cancellation expense voucher.

If the salary has already been reported to the Incomes Register, the service will submit the necessary correction report when the salary is cancelled.

Fringe benefits without a cash salary

The service does not allow you to report a taxable fringe benefit without a cash salary. If you have, for example, a phone or car benefit for a month but do not pay yourself a cash salary, the fringe benefit must be reported through another payroll service, such as Palkka.fi.

You can read more about fringe benefits here

Tax-exempt reimbursements without a cash salary

The service also allows you to report only tax-exempt reimbursements to an entrepreneur, such as daily allowances, mileage allowances and meal allowances. Read more about reporting them here.

Please note that tax-exempt reimbursements must also always be reported to the Incomes Register. For UKKO.fi to submit the report, you must create a salary in your customer account and enter the reimbursements there. We will submit the report to the Incomes Register based on the information you provide, and you can then pay the reimbursements to yourself.

Can I pay myself a salary advance?

No. A salary advance is, for accounting purposes, a regular salary payment made before the official salary payment date. For tax purposes, a salary advance is therefore treated as regular salary. The employer must withhold tax and pay the related employer contributions when the salary advance is paid, as well as submit the necessary reports within five days of the salary advance payment date.

You can read more about salary advances and the related procedures in our service here.

Employee salaries

In our service, you can only calculate salaries for entrepreneurs and shareholders covered by YEL insurance.

If an employee of your company is covered by TyEL insurance, their salary must be calculated through another payroll service, such as Palkka.fi.

The obligations related to reporting employee salaries and registering as an employer are described in separate instructions here.

Do you need help?

If the salary calculation does not proceed—for example, if the salary remains in the Salary is being calculated status—or if the payslip report appears to be incorrect, contact UKKO Entrepreneur's customer service for limited liability companies at osakeyhtio@ukko.fi.

If possible, include the following information in your message:

the company’s name
the employee’s name
the salary payment date
the current salary status
a description of the problem
a screenshot of the error without unnecessary personal information.

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