The report recommends extending parental leave benefits instead.File photo. Image: Marja Väänänen / YleYle News13:38A government-commissioned review has recommended abolishing Finland's home care allowance and replacing it with an expanded parental leave.The working-group's report, commissioned by the Ministry of Social Affairs and Health, proposed to extend the parental leave period by granting each parent an additional entitlement of several months. It recommended a flat-rate payment set at a higher level than the current homecare allowance.The ministry commissioned the review last autumn to examine possible reforms to Finland's parental benefit and homecare support systems.The report was prepared by a working group that included the Finnish Institute for Health and Welfare (THL), the University of Turku, and social insurance agency Kela.Less than €400 a monthThe homecare allowance, paid out by Kela, currently amounts to €377.68 a month for one child under school age. Families receive an additional €72.66 a month for each additional child aged three or over who has not yet started school.The number of families receiving Finland's home care allowance has almost halved over the past decade.According to the benefits agency, fewer than 60,000 people received the benefit in 2025, down from just over 110,000 in 2015.Total payments amounted to 137 million euros in 2025, which is around 159 million euros less than a decade earlier.