Safeguarding the livelihoods of older people on the lowest incomes

Older people on the lowest incomes must be guaranteed an adequate income. In political decision-making and the preparation of legislation, greater attention should be paid to assessing how proposed changes would affect the livelihoods of the oldest age groups, older people living alone, and older women. When several reforms concerning social security and livelihoods are introduced simultaneously, it is particularly important to assess their combined impact on older people in vulnerable positions.

The livelihoods of older people on the lowest incomes

Low income particularly affects the oldest age groups, those living alone and older women. In 2024, nearly 163,000 people aged 65 and over were on low incomes, representing 12 per cent of this age group. The financial circumstances of older people are affected by a range of factors, including their employment history, health conditions, level of education and social support.

Reduced income following retirement, healthcare and medication costs rising due to declining health and functional capacity, increasing housing and living expenses, and cuts to social security can all increase and deepen financial hardship among older people.

Why do the livelihoods of older people on the lowest incomes require particular attention?

Safeguarding the livelihood of older people on the lowest incomes requires particular attention because they often have limited opportunities to improve their financial situation themselves. Financial hardships, loneliness and poor health frequently affect the same people. Persistent financial difficulties make it harder for people to look after themselves and create insecurity.

Increases in client fees for social welfare and healthcare services introduced by wellbeing services counties have affected the livelihoods of older people on the lowest incomes, those with long-term illnesses and those who require extensive services. Some older people forgo services because of high client fees. Social welfare and health care fees account for a significant share of debts subject to enforcement among older people.

Older people are not always aware of their rights to social security benefits. Many manage for a long time on very limited incomes. Applying for benefits has become increasingly difficult for many because they do not have sufficient access to digital support and assistance when dealing with public authorities.

Recommendations of the Ombudsman for Older People

The Ombudsman for Older People recommends the following measures to safeguard the livelihoods of older people on the lowest incomes:

  1. Ensure that client fees remain reasonable so that people on the lowest incomes can access the social welfare and healthcare services they need. Responsibility for monitoring the annual maximum on healthcare fees should be transferred to wellbeing services counties.
  1. Ensure that the housing allowance for pensioners remains at a level that meets the needs of people on the lowest incomes, particularly as housing costs have risen substantially.
  2. Provide government funding to ensure the renovation and construction of affordable, accessible rental housing that meets the housing needs of older people on the lowest incomes and older people with reduced functional capacity.
  3. Through national guidance, ensure the availability of gerontological social work and social counselling in all wellbeing services counties to support older people facing complex or challenging life situations. 

Read more about the topic

Lehto-Niskala, V., Virkola, E. & Topo, P. (2025). How can older people on low incomes be helped? Solutions from responses collected for the webinar of the Ombudsman for Older People. Gerontologia, 39(4), 342–350. 

Ombudsman for Older People (2026). The right to a safe old age. Report to the Government by the Ombudsman for Older People 2025.