What does the social security contribution index mean?

This indicator refers to the ratio of the social insurance payment base to the average social wage.

This index is obtained by dividing the annual contribution base of the insured by the average salary of the local employees in the previous year. Calculated once a year. When you retire, add up the annual payment wage index and divide it by the actual payment period.

Social security contribution index is an index to measure the level of social insurance premiums paid by individuals or units for employees. A high social security payment index means that a country or region has a relatively perfect social security system.