Is it legal for affiliated companies to pay pension insurance for retirement?

It is illegal for affiliated companies to pay endowment insurance for retirement.

According to the relevant laws and regulations, the insured unit of workers should be consistent with the employer, and there must be a labor relationship that pays social insurance premiums through the unit. If there is no labor contract relationship, it is illegal to pay social security fees and enjoy social security benefits only through affiliated companies. If the insured unit takes fictitious labor relations as unqualified personnel and is suspected of forging materials, fictitious labor relations and other illegal operations, this kind of social security fraud will be severely punished by law, including ordering to return the defrauded social insurance money and imposing a fine of more than 2 times and less than 5 times the defrauded amount. Therefore, it is not only illegal to pay endowment insurance through affiliated companies, but also will adversely affect the insured's application for endowment insurance, unemployment insurance, work injury insurance and other benefits.

Legitimacy of pension insurance payment:

1. Legitimacy of the payer: the payment of endowment insurance should be made by legally registered enterprises or institutions, and individuals cannot rely on illegal entities to pay;

2. Legitimacy of payment procedures: the payment of endowment insurance should follow the procedures prescribed by the state, including registration, declaration, payment and other steps;

3. Legitimacy of payment amount: the payment amount of endowment insurance should be carried out in accordance with the proportion and base set by the state to avoid evading payment;

4. Legitimacy of eligibility for payment: Only qualified employees can participate in endowment insurance, and employees who do not meet the requirements may not be recognized for paying endowment insurance;

5. Legitimacy of payment behavior: Avoid paying pension insurance through illegal means such as fraud and counterfeiting, which may lead to the loss of pension eligibility.

To sum up, it is illegal to pay pension insurance for retirees through affiliated companies, and the alleged social security fraud will be severely punished by law, which will adversely affect the insured's application for treatment.

Legal basis:

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

Article 64

The social insurance fund is earmarked for special purposes, and no organization or individual may occupy or misappropriate it. The basic old-age insurance fund will gradually implement national overall planning, and other social insurance funds will gradually implement provincial overall planning. The specific time and steps shall be stipulated by the State Council.