When did the enterprise annuity come into effect?

Enterprise annuity was implemented in 2004.

Enterprise annuity refers to the supplementary old-age insurance system voluntarily established by enterprises and their employees on the basis of participating in the basic old-age insurance according to law, which consists of basic old-age insurance, enterprise annuity and personal savings old-age insurance. Enterprise annuity is an important supplement to the national basic old-age insurance and the second pillar to improve the old-age insurance system for urban workers in China.

The main differences between individual social security and unit social security are as follows:

1, different in nature: companies are forced to pay social security. If there is a legal labor relationship, but the company fails to pay social security for urban workers as required, it is illegal. However, if flexible employees pay social security by themselves, it is not mandatory, and the insured can voluntarily choose whether to pay social security;

2. Different types of insurance: the social security for urban employees paid by the unit includes five types of insurance: endowment insurance, medical insurance, work injury insurance, maternity insurance and unemployment insurance; However, as flexible employees to pay social security for urban workers, they can usually only pay two types of insurance: employee pension insurance and employee medical insurance, and a few areas can also pay unemployment insurance;

3. The payment base is different: the unit pays social security, and the payment base is calculated according to the average salary of employees in the previous year. However, if you pay social security as a flexible employee, you can choose the payment base that suits you according to your actual situation. The payment base usually ranges from 60% to 300% of the local average salary in the previous year;

4. The individual contribution ratio is different: whether it is employee pension insurance or medical insurance, the individual contribution ratio of flexible employees is relatively high. Take the employee pension insurance as an example, the unit pays social security, and the contribution ratio of the employee pension insurance unit is 16% of the payment base, and the individual contribution ratio of the employee is 8%, which means that the unit will bear most of the expenses, and the individual employee only needs to bear a small part; Flexible employees pay their own social security and need to bear all the expenses themselves. The contribution rate of employee pension insurance is usually 20%, and the contribution rate will be slightly higher in some areas, of which 12% will enter the pension insurance pooling account and 8% will enter the personal account;

5. The retirement age of old-age insurance may be different: according to the current regulations, units pay social security, men retire at 60, female workers retire at 50, and female cadres retire at 55; Self-paid social security, flexible employment men retire at the age of 60, flexible employment women retire at the age of 55, some cases allow flexible employment women to retire at the age of 50, and a few regions uniformly stipulate that flexible employment women retire at the age of 50, which is subject to local policies. Pay the employee's old-age insurance by yourself, and the calculation method of pension is the same as that of enterprise employees, so pay social security as long as possible if conditions permit.

To sum up, individual industrial and commercial households without employees, part-time employees who have not participated in the basic medical insurance for employees and other flexible employees can participate in the basic medical insurance for employees, and individuals pay the basic medical insurance premium in accordance with state regulations.

Legal basis:

Article 2 of the Measures for Enterprise Annuities

The term "enterprise annuity" as mentioned in these Measures refers to the supplementary endowment insurance system independently established by enterprises and their employees on the basis of participating in the basic endowment insurance according to law. The state encourages enterprises to establish enterprise annuities. The establishment of enterprise annuity shall be implemented with reference to these measures.

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The expenses required for enterprise annuity shall be paid jointly by the enterprise and individual employees. The enterprise annuity fund shall be fully accumulated, and a personal account shall be established for each employee who participates in the enterprise annuity, and investment and operation shall be carried out in accordance with relevant state regulations. Income from investment and operation of enterprise annuity fund is merged into enterprise annuity fund.