What is the impact of low social security contributions on yourself?

What is the impact of paying five insurances and one gold according to the minimum standard? In fact, if five insurances and one gold are paid according to the minimum standard, it will definitely have a great impact on ourselves. In the process of calculating the pension, we rely on an important condition, namely the average contribution index. For example, if you pay five insurances and one gold according to the minimum standard, the average payment index is actually a minimum standard, about 60%, then your future pension level is actually not very high, at least your 60% is relative to 65438.

In addition to the basic old-age insurance, the rest are mainly reflected in the housing provident fund with five insurances and one gold. If the standard of your housing provident fund is relatively high, it's like you need to deduct 2000 yuan or more from your salary every month, but if you only choose the minimum standard today, you may only deduct one or two hundred yuan, because the housing provident fund is paid into our personal account in full, so you will pay less money into your personal account every month, which will have an impact on yourself, that is to say, your net income will be reduced.

So what kind of standard should five insurances and one gold be paid? This is a key issue. In fact, after the social security tax reform of 20 19, the tax authorities explicitly required enterprises to establish a social security base in strict accordance with their own salary standards, including the treatment of five insurances and one gold. Therefore, if you pay according to the minimum standard, it depends on whether your salary is lower than the minimum standard. If so, there is no problem, but if your salary is higher than the minimum standard, you should not choose the minimum standard, but choose the technology that matches your salary to establish social security contributions.

What is the impact of paying five insurances and one gold according to the minimum standard? Five insurances and one gold are paid according to the minimum standard, but it is not a very high level. Then the impact on yourself is mainly reflected in two aspects, on the one hand, the treatment of basic old-age insurance, on the other hand, the treatment of housing provident fund, so the impact on medical insurance, maternity insurance, unemployment insurance and industrial injury insurance is actually not great. Because this kind of treatment has little effect. It's not about your payment base, but you can enjoy the corresponding treatment as long as you participate in the insurance normally.

For example, if we participate in employee medical insurance, no matter what your payment base is, as long as you participate in medical insurance normally, nothing will affect the balance of your personal medical insurance account, but the normal reimbursement of medical insurance will be treated equally, for example, starting from 70%, which will have little impact on yourself. Therefore, industrial injury insurance, unemployment insurance and maternity insurance are actually the same. As long as you are insured normally, you can enjoy relevant treatment. Then the standard of treatment is not to look at your foundation, but to see whether you have participated in the insurance normally and whether you have reached such a condition of enjoying the treatment.

However, housing provident fund and endowment insurance have an impact, because the lower the contribution base of endowment insurance, the lower your final average contribution index will be, so the pension level you finally enjoy will generally be affected. Housing provident fund is actually influential, because the payment index is low, so the expenses borne by units and individuals will be lower, so the cost and level of entering our personal accounts will be relatively lower, so this will have an impact on us personally.

Five insurances and one gold refer to several kinds of security benefits granted to workers by employers. Including endowment insurance, medical insurance, unemployment insurance, work injury insurance, maternity insurance and housing accumulation fund. If it is paid according to the minimum standard, it will affect the personal interests of employees. Specific types of insurance will be analyzed in detail.

unemployment insurance

Five insurances mainly protect some rights and interests, and the amount of payment often needs enterprises. Some types of insurance are not very important to personal influence, such as unemployment benefits, which only work when you are unemployed. Being unemployed for life, without any treatment, is equivalent to having nothing.

The amount of unemployment insurance money paid by enterprises for individuals does not affect the amount of unemployment benefits. Total amount of unemployment insurance benefits received = local unemployment insurance benefits standard * number of months received. As long as the unit pays. If the enterprise pays less, it may affect some of its own benefits, such as whether the enterprise can obtain stable post subsidies.

employment injury insurance

Work-related injury insurance is the medical expenses, rehabilitation subsidies and living allowances given by the state when workers are accidentally injured at work or suffer from occupational diseases. This is a preventive insurance. If there is no work-related injury in one's life, paying fees to contribute to the country belongs to the accident insurance that thousands of people help one person.

When a work-related injury occurs, the amount of compensation will have a great impact on the amount of compensation when calculating the treatment of work-related injury.

maternity insurance

As the name implies, it is only used for maternity insurance, maternity medical expenses and maternity allowance, not for infertility. Maternity insurance needs to be paid for one year to enjoy the treatment, and the amount of payment directly affects the maternity leave salary.

The above three kinds of insurance will only be dealt with if it happens. If it doesn't happen, the payment amount has no effect on employees. These three risks cannot be renewed by individuals after the employee terminates the relationship with the unit.

medical insurance

Medical insurance, as long as you pay medical insurance, you can enjoy medical reimbursement. When you retire, you can apply for medical insurance retirement after the cumulative payment period is 30 years for men and 25 years for women. The payment base is high or low, and the standard and scope of medical reimbursement are still the same. It's just that the payment base is high, and there is more money on the medical insurance card, which can be used for daily medicine or as money.

endowment insurance

The principle of endowment insurance is: "Pay more, get more, pay more", that is, the higher the payment, the longer the length of service and the higher the retirement salary. It is the most obvious insurance among the five risks.

Endowment insurance and medical insurance are insurances that allow individuals to pay their own expenses after the termination of their relationship with the unit.

The minimum payment amount of each insurance type = the payment base of each insurance type × the payment ratio of this insurance type.

Five insurances are paid according to the basic salary of enterprise employees, and only when the salary of employees is lower than the payment base, it is paid according to the minimum payment base.

For example, the monthly salary of employees is 2,800 yuan, and the local social security payment base in July 2020 is 2,593 yuan, so the social security in July will be paid according to the actual salary of 2,800 yuan; The unemployment payment base is 2986 yuan; You pay according to the minimum base of 2986; The base of medical insurance payment is 3726 yuan, and you should pay medical insurance according to the minimum payment standard of 3726 yuan; Other insurance and so on, these bases are multiplied by the payment ratio of the last insurance type to get the payment number.

housing accumulation fund

The provident fund is used to buy a house loan. If you don't use it, you can withdraw it at one time after retirement. The higher the payment, the more money in your account, the greater the amount of housing loan, and the more money you can withdraw, which is related to personal interests.

The payment base of all kinds of insurance is calculated according to the local average salary in the previous year, and the payment base and payment ratio are different in different regions.

Legal basis:

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

Article 4

Employers and individuals in People's Republic of China (PRC) pay social insurance premiums according to law, and have the right to inquire about payment records and personal rights records, and require social insurance agencies to provide social insurance consultation and other related services. Individuals enjoy social insurance benefits according to law and have the right to supervise the payment of their own units.

Article 58

The employing unit shall, within 30 days from the date of employment, apply to the social insurance agency for social insurance registration for its employees. If the social insurance has not been registered, the social insurance agency shall verify the social insurance premium it should pay. Employees-free individual industrial and commercial households who voluntarily participate in social insurance, part-time employees who do not participate in social insurance in the employing unit and other flexible employees shall apply to the social insurance agency for social insurance registration. The state establishes a national unified personal social security number. Personal social security number is a citizen's identity number.

Article 86

If the employer fails to pay the social insurance premium in full and on time, the social insurance premium collection agency shall order it to pay it within a time limit or make up for it, and from the date of default, an overdue fine of 5/10000 shall be added daily; Failing to pay within the time limit, the relevant administrative departments shall impose a fine of more than one time and less than three times the amount owed.