What does the employee contribution base mean?

The employee payment base is the benchmark for workers and employers to pay social insurance, specifically, it is the local average monthly salary standard of the previous year. According to this benchmark, workers and employers will determine their own expenses. The social security payment base is 60%-300% of the average social wage.

The social security base is calculated according to the average monthly income of all employees' wages in the previous year, including hourly wages, piece-rate wages, bonuses, allowances and overtime wages. The social security base has an upper limit and a lower limit, depending on the actual situation in different places, because the average monthly wage income varies from place to place, but the calculation method is the same:

The lower limit of the social security base is that the wage income of employees is lower than 60% of the average monthly wage of employees in provinces and cities in the previous year, which is regarded as the payment base.

The payment base is the standard used to determine individuals and pay social security.

The payment base refers to the basic base for the insured to pay social insurance, which is between 60% and 300% of the average social wage. The base of payment multiplied by the proportion of payment is the insurance premium you should pay.

The payment base is the basis for the insured to pay in proportion. For the company, the payment base is the total salary of all employees in the company; For an individual, the payment base is the monthly salary of the individual. Generally, my salary income in the previous year is the base of payment.

Extended data:

Generally, my salary income in the previous year is the base of payment.

(1) If the wage income of employees is higher than 300% of the local average wage of employees in the previous year, 300% of the local average wage of employees in the previous year will be used as the payment base;

(two) the wage income of employees is lower than 60% of the local average wage of employees in the previous year, with 60% of the local average wage of employees in the previous year as the payment base;

(3) If the employee's salary is between 300% and 60%, it shall be declared according to the facts. When it is impossible to determine the wage income of employees, the payment base shall be determined according to the local average wage of employees in the previous year published by the local labor administrative department.

Social security will regularly check the base every year (March or July, in different places), and declare a new base according to the average monthly salary of employees in the previous year. It is necessary to prepare proof of these payroll.

legal ground

People's Republic of China (PRC) social insurance law

Article 62

If the employer fails to declare the amount of social insurance premiums that should be paid according to the regulations, the amount that should be paid shall be determined according to 1 10% of the amount paid by the unit last month; After the payment unit completes the declaration procedures, the social insurance fee collection agency shall make settlement in accordance with the provisions.