How is the annual increase of pension calculated?

The annual increase of pension is calculated as follows:

1. Adjust the pension calculation formula: personal pension amount = old-age pension+labor pension+personal savings.

2. Monthly pension = average monthly salary of local employees in the previous year * age subsidy rate * (individual age -65 years old)+labor subsidy rate * individual cumulative payment period.

3. Monthly labor pension = average monthly salary of local employees in the previous year * percentage of labor pension * accumulated payment period of individuals.

Monthly personal pension = 1 10% personal account when an individual retires /(76- actual retirement age of an individual)/12.

4. Workers' pension: every year of work 100 yuan according to the length of service. By analogy, the pension for 10 service is 1000 yuan. The pension for 20 years of work is 2000 yuan, the pension for 30 years of work is 3000 yuan, and the pension for 40 years of service is 4000 yuan. Whether senior workers, intermediate workers or ordinary workers. Pensions are equal. Civil servants should also be equal regardless of their positions. It's the same as workers' pension. It will be completed in three years.

The process of receiving a pension:

1, go directly to the social security service center to make an appointment, and go through the retirement audit procedures at the designated window according to the appointment time.

2. Then go to the special window set up by the Human Resources and Social Security Bureau to go through the relevant formalities for retirement approval.

3. With the approval of the Human Resources and Social Security Bureau, those who fully meet the retirement conditions will pay directly at the individual payment window with the retirement approval form and their ID cards.

4. Go to the designated bank to apply for the pension card and provide the account number to the Social Security Bureau.

To sum up, the calculation of pension increase depends not only on the age of retirees, but also on the payment period, pension level, identity (retirees from enterprises or institutions) and other conditions.

Legal basis:

Article 13 of the Social Insurance Law

Before employees of state-owned enterprises and institutions participate in the basic old-age insurance, the basic old-age insurance premiums payable during the payment period shall be borne by the government. When the basic old-age insurance fund is insufficient to pay, the government gives subsidies.

Article 15

The basic pension consists of overall pension and individual account pension. The basic pension is determined according to factors such as individual cumulative payment years, payment wages, average salary of local employees, personal account amount, average life expectancy of urban population, etc.

Article 18

The state establishes a normal adjustment mechanism for basic pensions. According to the average wage increase and price increase of employees, the basic old-age insurance treatment level will be improved in a timely manner.