How to pay your own pension insurance is the most cost-effective?

Generally speaking, the longer you pay endowment insurance, the more money you will get when you retire. Details are as follows:

1. Although the accumulated payment period exceeds 10 or 15 and reaches the legal retirement age, you can enjoy pension benefits, but the longer the payment period, the more the payment amount, and the more future pensions, and vice versa.

2 employees shall participate in the basic old-age insurance, and the employer and employees shall jointly pay the basic old-age insurance premium. Generally speaking, the endowment insurance is 20% for the unit and 8% for the individual.

Old-age insurance, the full name of social basic old-age insurance, is a social insurance system established by the state and society according to certain laws and regulations for workers to reach the working age limit stipulated by the state to terminate their labor obligations or to retire from their jobs because of old age.

Endowment insurance is an important part of social security system and one of the four most important social insurances. The purpose of endowment insurance is to protect the basic needs of the elderly and provide them with a stable and reliable source of life.

Individual endowment insurance requires the following procedures:

1. Individuals need their urban household registration book, valid ID card and a copy to pay endowment insurance;

2. Freelancers can only participate in endowment insurance and medical insurance. The payment of endowment insurance and medical insurance has specific provisions: endowment insurance: bring my ID card and two 1 inch photos to the business window of the local social security center.

3. Medical insurance: After completing the old-age insurance procedures, take the above materials and the well-run old-age insurance manual to the business window of the local medical insurance center. Just pay the fee normally according to the regulations.

4 freelancers, urban individual industrial and commercial households and flexible employees to participate in the basic old-age insurance. The payment base is the average salary of local employees in the previous year, and the payment ratio is 20%, of which 8% is credited to personal accounts. After retirement, the basic pension is calculated and paid according to the basic pension plan for enterprise employees. In terms of medical insurance, freelancers and self-employed individuals can choose to set up a pool fund instead of a personal account, and pay the basic medical insurance premium at 4.2% of the local average monthly salary in the previous year. You can also choose to pay 8% of the local average monthly salary in the previous year and establish a personal account.

To sum up, in order to unfortunately cause extra financial burden to one's life and children due to illness, on the one hand, buying commercial old-age insurance in advance can obtain economic security for the elderly, on the other hand, it can also avoid unexpected risks in life and give oneself a sense of security.

Legal basis:

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

Article 10

Employees shall participate in the basic old-age insurance, and the employer and employees shall jointly pay the basic old-age insurance premium. Individual industrial and commercial households without employees, part-time employees who have not participated in the basic old-age insurance in the employer and other flexible employees can participate in the basic old-age insurance, and individuals pay the basic old-age insurance premium. The measures for the endowment insurance of civil servants and staff managed by reference to the Civil Service Law shall be formulated by the State Council.