|
Agreement and Administrative Arrangement, both
signed at Helsinki June 3, 1991, entered into force November 1, 1992.
Finnish Version
|
|
Contents |
|
|
|
AGREEMENT
BETWEEN THE UNITED STATES OF AMERICA
AND THE REPUBLIC OF FINLAND
ON SOCIAL SECURITY
|
|
|
The Government of the United States of America
and
the Government of the Republic of Finland,
Being desirous of regulating the relationship between their two countries
in the field of Social Security, have agreed as follows:
|
|
|
GENERAL PROVISIONS
Article 1
For the purpose of this Agreement:
- "National" means,
as regards the United States, a national of the United States as
defined in Section 101, Immigration and Nationality Act, as amended,
and
as regards Finland, a national of the Republic of Finland;
- "Laws" means the laws and regulations specified in Article 2;
- "Competent Authority" means,
as regards the United States, the Secretary of Health and Human Services,
and
as regards Finland, the Ministry of Social Affairs and Health;
- "Agency" means,
as regards the United States, the Social Security Administration,
and
as regards Finland, the institution or authority responsible for administering
the laws specified in Article 2;
- "Period of coverage" means a period of payment of contributions or
a period of earnings from employment or self-employment, as defined
or recognized as a period of coverage by the laws under which such period
has been completed, or any similar period insofar as it is recognized
by such laws as equivalent to a period of coverage; and
- "Benefit" means any benefit provided for in the laws specified in
Article 2 of this Agreement.
Article 2
- For the purpose of this Agreement, the applicable laws are:
- As regards the United States, the laws governing the Federal old-age,
survivors and disability insurance program:
-- Title II of the Social Security Act and regulations pertaining
thereto, except sections 226, 226A and 228 of that title and regulations
pertaining to those sections,
--Chapters 2 and 21 of the Internal Revenue Code of 1986 and regulations
pertaining to those chapters;
- As regards Finland, the laws and regulations governing
old-age, disability and survivors pensions insurance under
--the National Pension Scheme and the general Survivors' Pension
Scheme;
--the Employment Pension Scheme, including also the pension schemes
for the self-employed and for persons in the employ of the State,
the Church and the communes, as well as the Seamen's Pension Scheme;
-- the Employer's Social Security Contributions Act;
and with respect to paragraphs 3 through 11 of Article 4 only,
-- sickness and maternity insurance;
-- child allowances.
- Unless otherwise provided in this Agreement, the laws referred
to in paragraph 1 shall not include treaties or other international
agreements concluded between one Contracting State and a third State,
or laws or regulations promulgated for their specific implementation.
- This Agreement shall also apply to future laws amending the laws specified
in paragraph 1 of this Article.
- This Agreement shall also apply to legislation which extends the existing
laws to other categories of beneficiaries unless the Contracting State
in which the new legislation has been introduced notifies the other
Contracting State in writing within 3 months of the date of the official
publication of the new legislation that it is not to be included in
the scope of the Agreement.
Article 3
- Unless otherwise provided in this Agreement, this Agreement shall
apply to any person who is or who has been subject to the laws of the
United States or Finland, and to the dependents and survivors of such
a person within the meaning of the applicable laws of either Contracting
State.
- Unless otherwise provided in this Agreement, the following persons
who are resident in the territory of a Contracting State shall be equated
with nationals of that State in the implementation of the laws of that
State regarding entitlement to or payment of benefits:
- nationals of the other Contracting State;
- refugees and stateless persons, as referred to in the Convention
relating to the Status of Refugees dated July 28, 1951, and the Protocol
to that Convention dated January 31, 1967, as well as the Convention
relating to the Status of Stateless Persons dated September 28, 1954;
- other persons with regard to rights which they derive from a national
of a Contracting State or from a refugee or stateless person referred
to in this Article.
- Unless otherwise provided in this Agreement, any provision
of the laws of a Contracting State which restricts
entitlement to or payment of cash benefits solely because
the person resides outside or is absent from the territory
of that Contracting State shall not be applicable to the
persons who reside in the territory of the other Contracting
State.
|
|
|
Provisions on Coverage
Article 4
- Except as otherwise provided in this Article, a person employed within
the territory of one of the Contracting States shall, with respect to
that employment, be subject to the laws of only that Contracting State.
- A person shall be subject to the Finnish National and general Survivors'
Pension Schemes only if he is resident in Finland.
- Where a person in the service of an employer having a place of business
in the territory of one Contracting State is sent by that employer to
the territory of the other Contracting State for a period that is not
expected to exceed 5 years, or such longer period as may be agreed to
by the Competent Authorities of the two Contracting States in a particular
case, the person shall be subject to the laws of only the first Contracting
State as if he were employed in the territory of the first Contracting
State. For purposes of applying this paragraph, an employer and an affiliated
or subsidiary company of the employer, as defined under the laws of
the Contracting State from whose territory the person was sent, shall
be considered one and the same. The preceding sentence shall apply in
the case of an employee who is sent from the territory of the United
States to the territory of Finland, provided that the employment would
have been covered under United States laws absent this Agreement.
- Paragraph 3 shall apply where a person who has been sent by his employer
from the territory of a Contracting State to the territory of a third
State is subsequently sent by that employer from the territory of the
third State to the territory of the other Contracting State.
- A person who would otherwise be compulsorily covered under the laws
of both Contracting States with respect to self-employment shall be
subject only to the laws of the Contracting State of which he is a resident.
- (a) This Agreement shall not affect the provisions of the Vienna Convention
on Diplomatic Relations of April 18, 1961, or of the Vienna Convention
on Consular Relations of April 24, 1963.
(b) Nationals of one of the
Contracting States who are employed by the Government of that Contracting
State in the territory of the other Contracting State but who are not
exempt from the laws of the other Contracting State by virtue of the
Conventions mentioned in subparagraph (a) shall be subject to the laws
of only the first Contracting State. For the purpose of this paragraph,
employment by the United States Government includes employment by an
instrumentality thereof.
- A person who, but for this Agreement, would be subject to the laws
of both Contracting States with respect to employment as an officer
or member of a crew on a ship shall, with respect to that employment,
be subject only to Finnish laws if the ship flies the flag of Finland
and only to United States laws in any other case.
- Where the same activity is considered to be self-employment under
the laws of one Contracting State and employment under the laws of the
other Contracting State, that activity shall be treated according to
the provisions of this Article concerning self-employment if the person
is a resident of the first Contracting State and according to the provisions
of this Article concerning employment in any other case.
- The Competent Authorities of the two Contracting States may agree
to grant an exception to the provisions of this Article with respect
to particular persons or categories of persons, provided that any affected
person shall be subject to the laws of one of the Contracting States.
- An employed person who is covered under the laws of a Contracting
State under the provisions of paragraphs 3, 4 and 9 of this Article,
together with the members of his family accompanying him, shall be considered
resident only in that State for purposes of Finnish laws.
- Where a person engaged in employment or self-employment, while subject
to the laws of the United States pursuant to this Agreement, is nevertheless
deemed to be resident in the territory of Finland in accordance with
Finnish laws, no contribution shall be payable under Finnish laws with
respect to income from that employment or self-employment.
|
|
|
Provisions On Benefits
Chapter 1
Provisions Applicable to the United States
Article 5
- Where a person has completed at least six quarters of coverage under
United States laws, but does not have sufficient periods of coverage
to satisfy the requirements for entitlement to benefits under United
States laws, the agency of the United States shall take into account,
for the purpose of establishing entitlement to benefits under this Article,
periods of coverage which are credited under Finnish laws and which
do not coincide with periods of coverage already credited under United
States laws.
- In determining eligibility for benefits under paragraph 1 of this
Article, the agency of the United States shall credit one quarter of
coverage for every 3 months of coverage certified by the agency of Finland;
however, no quarter of coverage shall be credited for any calendar quarter
already credited as a quarter of coverage under United States laws.
The total number of quarters of coverage to be credited for a year shall
not exceed four.
- Where entitlement to a benefit under United States laws is established
according to the provisions of paragraph 1, the agency of the United
States shall compute a pro rata Primary Insurance Amount in accordance
with United States laws based on (a) the person's average earnings credited
exclusively under United States laws and (b) the ratio of the duration
of the person's periods of coverage completed under United States laws
to the duration of a coverage lifetime as determined in accordance with
United States laws. Benefits payable under United States laws shall
be based on the pro rata Primary Insurance Amount.
- Entitlement to a benefit from the United States which results from
paragraph 1 shall terminate with the acquisition of sufficient periods
of coverage under United States laws to establish entitlement to an
equal or higher benefit without the need to invoke the provision of
paragraph 1 of this Article.
|
|
|
Chapter
2
Provisions Applicable to Finland
Article 6
The entitlement to and payment of an old-age pension under the National
Pensions Act or survivor's pension under the Survivors' Pensions Act for
nationals of a Contracting State residing in the territory of a Contracting
State shall be determined according to the provisions of this Article.
- A national of a Contracting State residing in the territory of a Contracting
State shall be entitled to an old-age pension under the National Pensions
Act if he has been resident in Finland for an unbroken period of at
least five years after having reached the age of 16 years. .
- A national of a Contracting State residing in the territory of a Contracting
State shall be entitled to a widow's or widower's pension under the
Survivors' Pensions Act, if she or he and the deceased had been resident
in Finland for an unbroken period of at least five years after having
reached the age of 16 years and the deceased was a national of a Contracting
State.
- A national of a Contracting State residing in the territory of a Contracting
State shall be entitled to an orphan's pension under the Survivors'
Pensions Act, if the deceased was a national of a Contracting State
who had been resident in Finland for an unbroken period of at least
five years after having reached the age of 16 years.
- If an old-age, disability or survivor's pension is granted to a national
of a Contracting State while residing in Finland, she or he shall be
entitled to receive this pension when moving to the United States if
she or he has been resident in Finland for an unbroken period of at
least five years after having reached the age of 16 years.
Article 7
Unless otherwise provided in Article 8 or 13 of this Agreement, the competent
agency in Finland shall apply Finnish laws for the purposes of determining
entitlement to a Finnish employment pension and the amount of the pension.
Article 8
- If a person who becomes disabled or dies does not fulfill the condition
relating to residence under Finnish laws concerning the Employment Pension
Scheme or the condition of being subject to the above-mentioned laws
within 360 days before the occurrence of the contingency, periods of
coverage under United States laws based on the person's own work shall
be taken into account for these purposes as periods completed in Finland,
provided that they do not overlap.
- Where the conditions relating to periods of coverage are satisfied
only by applying paragraph 1, the pension shall be calculated as follows:
The amount of pension based on the actual periods of coverage shall be
calculated according to the provisions of the Finnish laws concerning
the Employment Pension Scheme. The amount of pension based on the period
between the contingency and the pensionable age shall be prorated based
on the ratio between the actual period of coverage under the Finnish Employment
Pension Scheme and 480 months.
|
|
|
MISCELLANEOUS PROVISIONS
Article 9
The Competent Authorities of the two Contracting States shall:
- Make all necessary administrative arrangements for the implementation
of this Agreement and designate liaison agencies;
- Communicate to each other information concerning the measures taken
for the application of this Agreement; and
- Communicate to each other, as soon as possible, information concerning
all changes in their respective laws which may affect the application
of this Agreement.
Article 10
The Competent Authorities and the agencies of the Contracting States,
within the scope of their respective authorities, shall assist each other
in implementing this Agreement. This assistance shall be free of charge,
subject to exceptions to be agreed upon in an administrative arrangement.
Article 11
- Where the laws of a Contracting State provide that any document which
is submitted to the Competent Authority or an agency of that Contracting
State shall be exempted, wholly or partly, from fees or charges, including
consular and administrative fees, the exemption shall also apply to
corresponding documents which are submitted to the Competent Authority
or an agency of the other Contracting State in the application of this
Agreement.
- Documents and certificates which are presented for purposes of this
Agreement shall be exempted from requirements for authentication by
diplomatic or consular authorities.
- Copies of documents which are certified as true and exact copies by
the agency of one Contracting State shall be accepted as true and exact
copies by the agency of the other Contracting State, without further
certification. The agency of each Contracting State shall be the final
judge of the probative value of the evidence submitted to it from whatever
source.
Article 12
- The Competent Authorities and agencies of the Contracting States
may correspond directly with each other and with any person wherever
the person may reside whenever it is necessary for the administration
of this Agreement. The correspondence may be in the official languages
of either Contracting State.
- An application or document may not be rejected by a Competent Authority
or agency of a Contracting State because it is in the official language
of the other Contracting State.
Article 13
- A claim for a benefit payable under the laws of the United States
shall be deemed to be a claim for the corresponding benefit payable
under the laws of Finland provided that the person concerned, within
six months of submitting a national application form under the laws
of the United States, submits a claim for a corresponding benefit under
the laws of Finland.
- A written application for benefits filed with the agency of Finland
shall protect the rights of the claimants under United States laws if
the applicant requests that it be considered an application under United
States laws. If the applicant has not explicitly requested that the
application be restricted to benefits under the laws of Finland, the
application shall also protect the rights of the claimants under the
laws of the United States if the applicant provides information at the
time of filing indicating that the person on whose record benefits are
claimed has completed periods of coverage under the laws of the United
States.
- When, under the laws of Finland, an additional amount is payable by
an agency in Finland because of delay in processing a claim for a pension
or other benefit, a claim submitted to the agency of the United States
shall, for purposes of applying the provisions of those laws relating
to such an additional amount, be deemed to have been presented on the
date when that claim, along with all necessary enclosures, is delivered
to the competent agency of Finland.
- The provisions of this Agreement shall apply only to an application
for benefits which is filed on or after the date this Agreement enters
into force
Article 14
- A written appeal of a determination made by the agency of one Contracting
State may be validly filed with an agency of either Contracting State.
The appeal shall be dealt with according to the procedure of the Contracting
State whose decision is being appealed.
- Any claim, notice or written appeal which, under the laws of one Contracting
State, must have been filed within a prescribed period with the agency
of that Contracting State, but which is instead filed within the same
period with the agency of the other Contracting State, shall be considered
to have been filed on time.
Article 15
In any case to which the provisions of Article 13 or Article 14 apply,
the agency to which the claim, notice or written appeal has been submitted
shall indicate the date of receipt on the document and transmit it without
delay to the agency of the other Contracting State.
Article 16
- Payments under this Agreement may be made in the currency of the Contracting
State making the payments.
- In case provisions designed to restrict the exchange or exportation
of currencies are introduced by either Contracting State, the Governments
of both Contracting States shall immediately take measures necessary
to insure the transfer of sums owed by either Contracting State under
this Agreement.
Article 17
Disagreements between the two Contracting States regarding the interpretation
or application of this Agreement shall, as far as possible, be settled
by the Competent Authorities.
Article 18
This Agreement may be amended in the future by supplementary agreements
which from their entry into force shall be considered an integral part
of this Agreement. Such agreements may be given retroactive effect if
they so specify.
|
|
|
TRANSITIONAL AND FINAL PROVISIONS
Article 19
- This Agreement shall not establish any claim to payment of a benefit
for any period before the date of the entry into force of the Agreement,
or to a lump-sum death benefit if the person died before the entry into
force of the Agreement.
- In determining the right to benefits under this Agreement, consideration
shall be given to periods of coverage and other events which occurred
before the entry into force of this Agreement, except that neither Contracting
State shall take into account periods of coverage which occurred prior
to the earliest date for which periods of coverage may be credited under
its laws.
- Determinations concerning entitlement to benefits which were made
before the entry into force of this Agreement shall not affect rights
arising under it.
- The application of this Agreement shall not result in any reduction
in the amount of a benefit to which entitlement was established prior
to its entry into force.
- In applying Article 4, paragraph 3, in the case of persons who were
sent to the territory of a Contracting State prior to the date of entry
into force of this Agreement, the period of employment referred to in
that paragraph shall be considered to begin on that date.
Article 20
Nothing in this Agreement shall supersede the exchange
of notes between the Ambassador of the United States of America in Helsinki
and the Finnish Minister for Foreign Affairs on May 7 and 17, 1968, concerning
old-age and survivors benefits.
Article 21
- This Agreement shall remain in force and effect until the expiration
of one calendar year following the year in which written notice of its
termination is given by one of the Contracting States to the other Contracting
State.
- If this Agreement is terminated, rights regarding entitlement to
or payment of benefits acquired under it shall be retained. The Contracting
States shall make arrangements dealing with rights in the process of
being acquired.
Article 22
This Agreement shall enter into force on the first day of the third
month following the month in which each Government shall have received
from the other Government written notification that it has complied with
all statutory and constitutional requirements for the entry into force
of this Agreement.
|
|
|
IN WITNESS WHEREOF, the undersigned, being duly
authorized thereto, have signed the present Agreement.
DONE at Helsinki on June 3, 1991 in duplicate in the English and Finnish
languages, the two texts being equally authentic.
For the Government of the United States of America:
John Giffen Weinmann
For the Government of the Republic of Finland:
Eeva Kuuskoski
|
|
|
ADMINISTRATIVE ARRANGEMENT
FOR THE IMPLEMENTATION OF THE AGREEMENT
BETWEEN THE UNITED STATES OF AMERICA
AND THE REPUBLIC OF FINLAND
ON SOCIAL SECURITY
| |
|
In conformity with Article 9, paragraph (a), of the Agreement between
the United States of America and the Republic of Finland on Social Security
of this date, hereinafter referred to as the "Agreement", the Competent
Authorities of the two Contracting States have agreed as follows:
|
|
|
Chapter I
General Provisions
Article 1
The terms used in this Administrative Arrangement shall have the same
meaning as in the Agreement.
Article 2
- The liaison agencies referred to in Article 9, paragraph (a),
of the Agreement shall be:
- for the United States, the Social Security Administration,
- for Finland, the Social Insurance Institution and the Central Pension
Security Institute.
- The liaison agencies designated in paragraph 1 shall agree upon the
joint procedures and forms necessary for the implementation of the Agreement
and this Administrative Arrangement.
Chapter II
Provisions on Coverage
Article 3
- Where the laws of a Contracting State are applicable in accordance
with any of the provisions of Article 4 of the Agreement, the agency
of that Contracting State, upon request of the employer or self-employed
person, shall issue a certificate stating that the employee or self-employed
person is subject to those laws. This certificate shall be proof that
the named worker is exempt from the laws on compulsory coverage of the
other Contracting State.
- The certificate referred to in paragraph 1 shall be issued
- in the United States: by the Social Security Administration;
- in Finland: by the Central Pension Security Institute.
- The agency of a Contracting State which issues a certificate referred
to in paragraph 1 shall furnish a copy of the certificate to the liaison
agency of the other Contracting State as needed by the latter agency.
|
|
|
Chapter III
Provisions on Benefits
Article 4
- The liaison agency of the Contracting State with which an application
for benefits is first filed in accordance with Article 13 of the Agreement
shall inform the liaison agency of the other Contracting State of this
fact without delay and shall provide such evidence and other information
as may be required to complete action on the claim.
- The liaison agency of a Contracting State which receives an application
that was first filed with an agency of the other Contracting State shall
without delay provide the liaison agency of that Contracting State with
such evidence and other available information as may be required for
it to complete action on the claim.
- The liaison agency of the Contracting State with which an application
for benefits has been filed shall verify the information pertaining
to the applicant and his family members. The types of information to
be verified shall be agreed upon by the liaison agencies.
|
|
|
Chapter IV
Miscellaneous Provisions
Article 5
In accordance with measures to be agreed upon pursuant to Article 2 of
this Administrative Arrangement, the liaison agency of one Contracting
State shall, upon request of an agency of the other Contracting State,
furnish available information relating to the claim of any specified individual
for the purpose of administering the Agreement.
Article 6
The liaison agencies of the two Contracting States shall exchange statistics
on the number of certificates issued under Article 3 of this Administrative
Arrangement and on the payments made to beneficiaries under the Agreement.
These statistics shall be furnished annually in a form to be agreed upon.
Article 7
- Upon request, a liaison agency of either Contracting State shall furnish
to a liaison agency of the other Contracting State any medical information
and documentation in its possession relevant to the disability of the
claimant or beneficiary.
- Where the agency of a Contracting State requires that a person in
the territory of the other Contracting State who is receiving or applying
for benefits under the Agreement submit to a medical examination, such
examination, if requested by that agency, shall be arranged by a liaison
agency of the other Contracting State in accordance with the rules of
the agency making the arrangements and at the expense of the agency
which requests the examination.
- The liaison agency of one Contracting State shall reimburse amounts
owed under paragraph 2 of this Article upon presentation of a detailed
statement of expenses by the liaison agency of the other Contracting
State.
Article 8
Unless otherwise required by the national statutes of a Contracting State,
information about an individual which is transmitted in accordance with
the Agreement to that Contracting State by the other Contracting State
shall be used exclusively for purposes of implementing the Agreement.
Such information received by a Contracting State shall be governed by
the national statutes of that Contracting State for the protection of
privacy and confidentiality of personal data.
Article 9
This Administrative Arrangement shall enter into force on the date of
entry into force of the Agreement and shall have the same period of validity.
|
|
|
DONE at Helsinki on June 3, 1991 in duplicate
in the English and Finnish languages, the two texts being equally authentic.
For the Competent Authority of the United States of America:
Max N. Robinson
For the Competent Authority of the Republic of Finland:
Jukka Rantala
|
|