Kela to end loan guarantees under the adult education allowance scheme for new studies starting in August 2024 or later
Parliament has approved the discontinuation of the adult education allowance. Following the changes in legislation, Kela will no longer grant loan guarantees under the adult education allowance scheme for studies starting in August or later.
Parliament has approved the changes to the act governing adult education benefits proposed by the Government. Previously, employees and self-employed persons have been able to apply for adult education allowance from the Employment Fund. Students receiving adult education allowance have also had a right to government guarantees for their student loans. The loan guarantees have been granted by Kela.
Following the changes in legislation, adult education allowance will no longer be granted for new studies as of 1 August 2024. The allowance can still be granted for studies that start no later than 31 July 2024. Payment of the allowance must begin before August 2024 and can continue until the end of 2025. These time limits also apply to the loan guarantee for adult education allowance recipients.
In 2023, the Employment Fund paid adult education allowance to 32,518 persons. A total of 9,074 persons received a loan guarantee from Kela.
What Kela benefits can adult students get from now on?
Following the changes in legislation, adult students can still apply for and receive financial aid for students granted by Kela. Financial aid is available in the form of a study grant and as a government guarantee for student loans.
Financial aid for higher education studies is available if the student has not used all of their financial aid months during their previous higher education studies.
Upper secondary studies, such as studies at a vocational institution, do not have a limit on the number of financial aid months. Students may therefore receive financial aid even if they have previously completed upper secondary education. In addition, upper secondary-level students with a long commute to school can get a school transport subsidy from Kela. The age and income of the student do not affect the availability of school transport subsidy.
However, adult students who receive financial aid for students must take into account the annual income limits for financial aid. Income for the whole year is taken into account, which means that financial aid may not be available for students who work and study at the same time. When enforcing the annual income limits, Kela takes into account the total income for the entire study period on a calendar-year basis. However, the income received before the month in which the studies begin and after the month of graduation can be of any amount.
Students can still apply for a study grant and a government guarantee for a student loan. Students whose income is too high can cancel or return the study grant after withdrawing the student loan.
Adult students can also receive general housing allowance during their study leave. When enforcing the income limits for housing allowance, the income of other members of the same household is also taken into account.
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Ilpo LahtinenSenior CoordinatorKela
Tel:040 576 4479firstname.lastname@kela.fiKelan viestintäKelan viestinnän mediapuhelin palvelee arkisin klo 9–16. Numerossa ohjaamme haastattelupyyntöjä asiantuntijoillemme. Voit jättää haastattelupyynnön myös sähköpostitse.
Tel:020 634 7745viestinta@kela.fiKela has a responsibility to provide basic support in life’s ups and downs to everyone covered by the Finnish social security system.
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