Finland established its modern system of secular municipalities, separate from church parishes.

The municipalities represent the local level of administration in Finland and act as the fundamental, self-governing administrative units of the country. The entire country is incorporated into municipalities and legally, all municipalities are equal, although certain municipalities are called cities or towns. Municipalities have the right to levy a flat percentual income tax, which is between 16 and 22 percent, and they provide two thirds of public services. Municipalities control many community services, such as schools, health care and the water supply, and local streets. They do not maintain highways, set laws or keep police forces, which are responsibilities of the central government.

A parish is a territorial entity in many Christian denominations, constituting a division within a diocese. A parish is under the pastoral care and clerical jurisdiction of a priest, often termed a parish priest, who might be assisted by one or more curates, and who operates from a parish church. In England, a parish historically often covered the same geographical area as a manor. Its association with the parish church remains paramount.