What is the distribution method of pension?

What is the distribution method of pension?

The issuance of pensions involves many aspects, including the management of individual accounts and the overall arrangement at the national level. The following is the answer to the pension payment method, which also contains the relevant legal basis.

I. Personal account management

1. Personalization of accounts: the issuance of pensions is usually linked to personal accounts and belongs to the personal account system. Each insured person has an exclusive personal account to record his personal contributions and related income.

2. Payment ratio: the distribution of pension is related to individual contributions. Under normal circumstances, individuals will pay a certain proportion of their wages as pensions.

3. Investment and operation: invest and operate the funds in the pension account to realize the steady appreciation of the account.

Second, the overall arrangement at the national level.

1. Overall arrangement: The state has certain overall arrangements for pensions to ensure the sustainability and fairness of pensions.

2. Social pooling: Pension not only depends on individual contributions, but also includes social pooling funds to protect the basic pension rights and interests of all insured persons.

To sum up:

Pension is a personal account system, and each insured person has an exclusive account, and the proportion of individual contributions is related to the appreciation of funds in the account. At the same time, the state makes overall arrangements for pensions to ensure the fair distribution of basic pension rights and interests. The relevant legal basis mainly includes "People's Republic of China (PRC) Social Insurance Law" and "People's Republic of China (PRC) Social Insurance Law Implementation Regulations". This system aims to protect the individual's demand for old-age care, while maintaining the sustainability of the whole social old-age security system.

Legal basis:

1. Social Insurance Law of People's Republic of China (PRC) (China): This law stipulates the social insurance system of China, including endowment insurance. Among them, individual accounts and national overall management measures have detailed provisions.

-Article 36: Provisions shall be made on the management of individual accounts of endowment insurance.

2. Regulations on the Implementation of the Social Insurance Law of People's Republic of China (PRC): The relevant provisions of the Social Insurance Law are further refined.

-Article 46: Provides measures for the management of pension investment and operation.