What do you mean by deemed payment?

The meaning of deemed payment is as follows:

The deemed payment refers to the continuous length of service or working years recognized by the state before the implementation of the social security system, which is calculated as the payment period at retirement. Although there is no actual payment behavior, this kind of deemed payment is counted as the actual payment period when calculating the basic pension. When calculating the basic pension, the basic pension part will consider this deemed payment period and calculate it according to the formula; Because there is no personal account deposit within the payment period, transitional pension will be issued to ensure fairness. However, not everyone can enjoy the same treatment as payment, and the conditions are very strict, and the specific regulations implemented in different places may be different.

Social security is regarded as payment period:

1. Definition of deemed payment period: It means that under certain circumstances, although the individual has not actually paid the social insurance premium, according to the law, this period of time can be regarded as paid and included in the individual's social security payment period;

2. Applicability: usually applicable to legal free or paid social service periods, such as joining the army and going to school;

3. Calculation method: the deemed payment period is usually calculated according to the actual length of service or the length of time in a specific state, and converted into the social security payment period according to relevant policies and regulations;

4. Policy basis: the determination and calculation of the deemed payment period are based on national and local social insurance laws and regulations, and the specific policies may vary from region to region;

5. Influencing factors: Social security benefits such as personal pension and medical insurance reimbursement ratio may be affected by the deemed payment period.

To sum up, deemed payment is a special social security policy, which allows people with continuous service before the implementation of the social security system to regard this service as the payment period when they retire, so as to be included in the calculation of basic pension. Although there is no actual payment, they can get a transitional pension to ensure fair treatment. However, the qualifications for this kind of treatment are strict, and the implementation rules may be different in different regions, so it is necessary to carefully check the qualifications of the people involved.

Legal basis:

Notice of Ministry of Human Resources and Social Security on Several Issues Concerning the Transfer and Continuation of the Basic Old-age Insurance for Employees in Urban Enterprises No.5 [2016].

I. Calculation of deemed payment period.

The place where the insured person receives treatment shall be implemented in accordance with Article 6 and Article 12 of the Interim Measures, that is, if the basic old-age insurance relationship is located at the domicile, the domicile shall be responsible for handling the formalities for receiving treatment; If the basic old-age insurance relationship is not located in the domicile, but the accumulated payment period in the domicile of the basic old-age insurance relationship exceeds 10 years, the treatment collection procedures shall be handled there; If the basic old-age insurance relationship is not located at the domicile, and the accumulated payment period in the locality of the basic old-age insurance relationship is less than 10 year, if the payment period of the basic old-age insurance relationship is 10 year, the treatment shall be handled; If the basic old-age insurance relationship is not located at the domicile, and the accumulated payment period in each insured place is less than 10 years, the basic old-age insurance relationship and corresponding funds will be collected at the domicile, and the domicile will go through the formalities for receiving benefits according to regulations. Unless otherwise specified, the payment period includes deemed payment period.

The cumulative payment period of a place (province, autonomous region or municipality directly under the Central Government) includes the actual payment period in that place and the deemed payment period calculated in that place. Among them, the deemed payment period of working in organs, institutions and enterprises is calculated as the deemed payment period of the working place at that time; Where there are deemed payment periods in many places, they shall be calculated as deemed payment periods in various places respectively.