How many times a year does social security go up?

Once a year, basically in July, an adjustment is made. 1, every year in July, the social security contribution base will be adjusted once, and based on the previous year's social average wage to determine the upper and lower limits of the new contribution base.

2, social security contribution base annual adjustment at the same time, the social security bureau will also require institutions according to the employee's average salary of the previous year for the declaration of the base of the contribution adjustment, the principle of adjustment is based on the employee's previous year all the income earned from wages, take the monthly average of the current year's new social security contribution base.

3. After the social security contribution base is determined in July of the current year, it will be implemented from July of the current year and continue until June of the following year.

Method of collecting social insurance premiums

Social insurance must be based on the probability of occurrence of various risky accidents, and the total amount of payment expenses estimated in advance according to the standard of payment, to find out a certain rate of the insured's burden as a criterion for determining the rate of insurance premiums. Moreover, unlike commercial insurance, the calculation of social insurance premium rates, in addition to risk factors, but also need to take into account more social economic factors, to find a fair and reasonable rates.

Methods of collection include:

1. Proportional premium system

This method is based on the insured's salary income, the regulation of the tour bird digging to set a certain percentage, so as to collect insurance premiums. Proportionate system, the original social insurance, the main purpose is to compensate the insured for the loss of income during the risk of accidents in order to maintain their minimum livelihood, so it must be referred to the income on which they usually live, on the one hand, as a measure of the standard of payment, on the other hand, as the basis for the calculation of premiums.

The greatest defect of the proportional premium system based on work is that the burden of social insurance is directly linked to wages. Whether both employers and employees bear the burden of social insurance premiums or one of them does, the burden of social insurance is manifested in an increase in the cost of labor, and the result will be the crowding out of labor by capital, which will lead to an increase in unemployment.

2. Equalization of premiums

This means that the same amount of premiums is charged regardless of the income of the insured or the employer. The advantage of this system is that the calculation is simple, easy to implement; and the use of this method of collecting insurance premiums in the country, in its payment, generally also adopts the equalization system, has the meaning of income and expenditure are equal. However, its defect is that low-income people and high-income people pay the same premiums, in terms of affordability is obviously unfair.

Legal basis:

Regulations on the Administration of Declaration and Payment of Social Insurance Premiums

Article 10: Employers shall pay social insurance premiums in one of the following ways within the stipulated period of time with the notification of premium payment issued by the social insurance administration organization:

(1) Payment of premiums in the bank of its account or in another financial institutions;

(ii) other ways agreed with the social insurance agency.

The social insurance agency and the employer may conclude an agreement with the bank or other financial institution to entrust the bank or other financial institution to transfer and pay the social insurance premiums withheld by the employer and for its employees on the basis of the collection vouchers issued by the social insurance agency.

Article 11: The social insurance premiums payable by employees shall be withheld and paid by the employing organization. No unit or individual may interfere with or refuse the employer's fulfillment of its obligation to withhold and pay the contributions in accordance with the law.

The employer fails to pay the contributions in full and on time, the social insurance agency shall order the payment of the deadline, and from the date of non-payment of 0.5 per cent of the late payment charges per day. The employer shall not require the employee to bear the late payment fee.

Article 12 of the collected social insurance premiums shall be deposited into the social insurance fund income account opened by the social insurance agency in accordance with the provisions. The social insurance agency shall, in accordance with the relevant provisions, regularly deposit the funds received into the financial account of the social insurance fund opened in accordance with the law.

Article 13: The social insurance agencies shall keep accounts of the collected social insurance premiums in accordance with the relevant provisions of the State on the basis of the actual amount paid by the employers (including the amount withheld) and the details of the withholdings and contributions.

Article 14 The employer shall inform the employee of the details of the payment of social insurance premiums on a monthly basis.

The employer shall annually inform the employee representative assembly of the unit or quietly publicize the annual payment of social insurance premiums in a conspicuous place at the residence of the unit, and accept the supervision of the employees.

Article 15 of the social insurance agency shall timely, complete and accurate records of the employer and its employees' contributions, and will regularly inform the employer and employees of the status of contributions. Employers and employees shall have the right to inquire about the status of contributions in accordance with the Measures for the Administration of Records of the Rights and Interests of Social Insurance Individuals and other provisions.

Social insurance agencies shall at least once a year publicize the collection of social insurance premiums to the public and accept social supervision.

Social security contribution standards vary from place to place, and even if the standard of social security contribution has risen, the insured can only pay social security in accordance with the standard of contribution stipulated by the government departments. The rate of increase should be announced in advance by the local social insurance administrative department.

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