Simple algorithm for calculating social security pension formula

The simple algorithm for calculating the social security pension formula is to calculate the pension amount through the formula with the personal social security payment time and payment base as the core.

The simple algorithm for calculating the social security pension formula is to calculate the pension amount through the formula with the personal social security payment time and payment base as the core. There are differences in different regions, which are generally divided into two ways: one is to calculate the pension according to the time of individual social security payment, and the other is to calculate according to the base and time of individual payment. The following is a brief introduction to the calculation formulas of these two methods: Method 1: Calculate the pension according to the time of individual social security payment = individual payment months × individual average monthly salary × monthly payment ratio ÷, where "individual payment months" refers to the number of individual payment months in the social security system; "Average monthly salary of an individual" refers to the average monthly salary of an individual during all working periods; "Monthly payment ratio" refers to the total social security payment ratio (both employees and employers pay * * *), which can be inquired according to local regulations; "÷2" means that the monthly payment amount is calculated here, and the annual payment amount needs to be divided by 24. Method 2: Calculate the pension according to the individual payment base and payment time = individual payment months × (individual monthly payment base ÷ monthly average payment base )× monthly average adoption of the old insurance fund, where the definitions of "individual payment months" and "individual monthly average salary" are the same as above; "Personal monthly deposit base" refers to the monthly deposit paid by individuals in the social security system; "Monthly average deposit base" refers to the average of all individual deposit bases in a certain period; "Monthly average pension insurance" refers to the average monthly pension of each pensioner in a certain period of time.

What are the shortcomings of the social security pension formula? There are some shortcomings in the calculation formula of social security pension, such as 1. The calculation formula is too simplified, which does not take into account the differences of individual actual conditions, resulting in relatively inaccurate calculation results; 2. The calculation method is limited to the payment time and base of personal social security, without considering personal professional characteristics, salary level and other factors; 3. The calculation result of the formula is vague, so it is difficult for individuals to predict how much pension they will eventually get. How to improve the accuracy of pension calculation formula? In order to improve the accuracy and fairness of the pension calculation formula, the following measures can be considered: 1. The verification of personal salary and payment base should be true and reliable, and the phenomenon of "small ox" and "small Maotai" should be reduced; 2. According to personal professional characteristics and work experience, formulate a more refined pension calculation formula; 3. Establish relevant policies to encourage enterprises and individuals to improve the level of old-age security through commercial old-age insurance.

The simple algorithm for calculating the social security pension formula is to calculate the pension amount through the formula with the personal social security payment time and payment base as the core. Its shortcomings include too simplified calculation formula, limited to the time and base of individual social security payment. Further improvement and perfection are needed to improve the accuracy and fairness of the formula and better protect the people's pension rights and interests.

Legal basis:

Article 16 of the Social Insurance Law of People's Republic of China (PRC) * * * Individuals who participate in the basic old-age insurance will receive the basic old-age pension on a monthly basis if they have paid for fifteen years at the statutory retirement age. Individuals who participate in the basic old-age insurance and pay less than fifteen years when they reach the statutory retirement age can pay for fifteen years and receive the basic pension on a monthly basis; Can also be transferred to the new rural social endowment insurance or urban residents' social endowment insurance, enjoy the corresponding pension insurance benefits in accordance with the provisions of the State Council.