Cybernetica wins contract to modernise Estonia's social benefits platform

A crowd of people

Cybernetica has been engaged to develop and deliver a critical modernisation project within STAR (Social Services and Benefits Data Register) – the core electronic work environment used by social workers across Estonia for case management, benefit administration, adoption and guardianship procedures, and social welfare reporting.

The project is commissioned by TEHIK (Health and Welfare Information Systems Centre) and the Social Insurance Board (Sotsiaalkindlustusamet) under a framework agreement. The specific subsistence benefit project runs until April 2027.

Tackling Estonia's most widely used social benefit

Subsistence benefit (toimetulekutoetus) is the state's primary financial safety net for people in need, administered by local municipalities. It is granted only once all other means of poverty relief have proven insufficient. Currently, it is the most frequently processed benefit within STAR.

In 2024, the benefit was paid out 93 663 times to 15 554 families, totalling more than €38 Million. In 2025, payments were made 81 130 times to 12 844 families, amounting to €33 Million. The scale and social importance of this benefit makes its reliable and efficient processing a matter of national priority.

"By the end of this project, social workers will have a modern, efficient tool for processing subsistence benefits. Our solution is designed to support social workers in spending less time on documentation and more time helping those who need it most – the most vulnerable members of our society," noted Anu Pedosk, Head of Tax and Customs Systems.

From legacy to modern: The STAR2 migration

The project's primary goal is to migrate subsistence benefit processing from STAR1 – an ageing monolithic application – to STAR2, a contemporary system built on a microservices architecture. Cybernetica's scope includes analysis, design and implementation of the benefit processing capability in STAR2, as well as enhancements to existing benefit workflows to reduce reliance on STAR1 to the lowest possible extent.

The new system will significantly reduce administrative burden for social workers. Data already held in other national registries – such as income information, including earnings via business accounts, and social status details needed for statistical purposes – will be fetched automatically, removing the need for applicants to re-submit information already known to the state.
A notable new feature will allow subsistence benefit to be calculated more flexibly for families where a child lives alternately with both parents. Both households will be able to include the child as a family member when applying, enabling each parent to receive support for the child's needs. This is a meaningful improvement for shared custody arrangements.