Does compensation include the personal part of social security

I. Economic compensation pension insurance personal part of the social security included? Economic compensation includes the personal part of the social security contributions (usually by the unit withholding part) but does not include the part of the company's contributions. Article 27 of the Regulations on the Enforcement of the Labor Contract Law clearly stipulates that the economic compensation shall be calculated according to the worker's entitled wages, not according to his/her actual wages. Earned wages include basic wages, postal wages, performance bonuses, car allowance, meal allowance, room allowance and other subsidies, overtime pay, commission, and social security personal contributions and individual income tax are deducted from these wages, which should of course be calculated into the base of the economic compensation. Regulations on the Implementation of the Labor Contract Law: Article 27 The monthly wages for the economic compensation stipulated in Article 47 of the Labor Contract Law shall be calculated according to the wages to which the worker is entitled, including hourly wages or piece-rate wages, as well as monetary incomes such as bonuses, allowances and subsidies. If a worker's average wage for the 12 months prior to the termination of the labor contract is less than the local minimum wage standard, it shall be calculated in accordance with the local minimum wage standard. If the worker has worked for less than 12 months, the average wage is calculated according to the number of months actually worked. The significance of pension insurance 1. Vigorously developing enterprise supplementary pension insurance is conducive to dispersing insurance liability and adapting to the needs of the rapid development of China's aging society. The rapid aging of China's population has become an irreversible historical trend, with the aging of the population, the contradiction between the supply and demand of China's pension insurance premiums will become more and more acute. It is not feasible to adopt the method of increasing the proportion of enterprise contributions to solve the heavy financial burden brought about by the rapid aging of the population. The feasible way is to implement a multi-level pension insurance system, decentralize the responsibility for pension insurance, and lower the uniform wage replacement rate in the light of the actual possibilities of China's economic development. The state will only provide retirees with basic livelihood protection, while further raising the level of pension benefits will have to be resolved through the supplementary insurance system. Supplementary pension insurance is precisely in the search for new countermeasures for pension insurance situation came into being, as an important part of the pension insurance plays an important role in dispersing the responsibility of pension insurance. 2, vigorously develop enterprise supplemental pension insurance, is conducive to reducing the government's basic pension insurance payment pressure, to protect the smooth implementation of the social pension insurance system. Due to the late establishment of China's pension insurance system, the basic pension insurance accumulated funds are insufficient, in recent years the gap between revenue and expenditure has been expanding year by year, the diversion of personal account funds to pay pensions caused by the personal account running on empty accounts. Coupled with the high replacement rate for pensions, the State is still struggling to cope with the heavy pressure to pay pensions. Therefore, the State will continue to adhere to the basic principle of "low level, wide coverage, multi-level" since the basic principles of social security, and gradually reduce the replacement rate of basic pensions to reduce the financial burden. At the same time, vigorously develop enterprise annuity, can improve the social security system, make up for the basic replacement rate reduced defects, improve the overall level of social pension replacement rate, realize the effective supplement to the basic pension insurance. 3, vigorously develop enterprise supplementary pension insurance, is conducive to improve the enterprise staff welfare protection system, enhance the cohesion and competitiveness of enterprises. With China's accession to the WTO after a large number of foreign enterprises to enter the Chinese market, the competition for talent is more intense, how to enhance the cohesion of enterprises, attracting talent, retaining talent and for our use, has become the biggest challenge and the reality of the problem faced by domestic enterprises. In the face of the low level of social security policy, the establishment of a perfect employee welfare protection system has become an important issue in front of enterprises. Supplementary pension insurance is an effective tool for human resource management, which helps to attract talents and improve the enthusiasm of employees, and to a certain extent can encourage and restrain employees to work for the company for a long time, enhance the stability of the enterprise, and establish a good corporate image. So in the accident or labor contract dispute cases, involving economic compensation should be calculated into the social security, and not only including the personal part of the pension insurance premiums, each month, the salary to be deducted from the social security of this part are to be calculated into. In addition, the accidental injury in the economic compensation should be paid in accordance with the standard before the deduction of personal income tax.