What are the advantages and disadvantages of individual paying social security at his own expense?

The biggest advantage of paying social security at one's own expense is that you decide the amount, term and type of insurance, while the biggest disadvantage is that the personal financial burden is heavy. Once you stop paying, the economic loss will be relatively large. Under normal circumstances, few people decide to pay social security at their own expense, unless they are self-employed, flexible employees and unemployed people. These people want to get basic social security, so they can only pay social security out of their own pockets. Although some insured people with relatively good economic conditions have increased their insurance coverage, which has brought great protection to their old age, it is more worry-free, labor-saving and cost-effective for ordinary workers to pay insurance by enterprises.

Paying social security at one's own expense is a last resort, which has both advantages and disadvantages. Generally speaking, as long as it is a formal enterprise, it will buy employees basic social insurance such as endowment insurance, medical insurance, unemployment insurance and industrial injury insurance, and this cost is shared by enterprises and individuals.

If you pay social security at your own expense, all expenses will be borne by yourself. Although the autonomy is very strong, the cost is high. Under normal circumstances, self-employed, flexible employees and unemployed people will choose this way to participate in insurance when there is no enterprise to pay social security on their behalf.

Paying social security at one's own expense can reduce the burden on children, but it will increase the economic burden on individuals. Without social security, self-employed, flexible employees or unemployed people will be more passive when they lose their labor force, and may even be unable to guarantee the most basic living needs.

So some people decide to pay social security at their own expense to reduce the burden on children and society. However, compared with those who don't pay social security, those who pay social security at their own expense need to bear a large premium themselves. If they need to repay their mortgage and car loan at the same time, the economic pressure will be even greater.

Paying social security at one's own expense can prevent social security from being paid off. However, once the employees who have lost a lot of personal interests leave the original enterprise, they will stop paying social security. In this case, if employees fail to pay social security in time or transfer social security to a new company, they will not be able to enjoy medical insurance benefits normally, nor can they protect their legitimate rights and interests through work-related injury insurance, unemployment insurance and maternity insurance.

If you pay social security at your own expense, you can avoid these situations. However, it should be noted that once the self-payment of social security is stopped, the money transferred into the overall account will not be returned, and the insured or their families can only control the balance in the social security card, causing great personal losses.

Paying social security at one's own expense is high, which is far less cost-effective than paying social security by enterprises. If the enterprise pays social security, the enterprise bears most of the expenses. Take the old-age insurance as an example, the enterprise contribution rate is 20%, and the individual contribution rate is 8%. Pensions paid by enterprises will be included in the overall account, and 8% paid by individuals will be transferred to personal accounts.

If the endowment insurance is self-funded, the payment ratio is 20%, of which 12% is included in the overall account and 8% is transferred to the personal account. From this perspective, it is not cost-effective for individuals to pay social security. However, some employees' pension insurance is only two or three years away from reaching the requirement of accumulated payment period, so it is more cost-effective to pay fees in these years and receive pensions normally.

It can be seen that it is more cost-effective for enterprises to pay social security as much as possible, and individuals who want to pay social security at their own expense can also decide according to the actual situation. If the unemployed or freelancers want to pay social security at their own expense, they should refer to their personal economic situation to avoid the loss outweighs the gain.