Social security contribution base is lower than the actual wage injury treatment

Social security contribution base and the actual wage has a great relationship, but does not mean that the social security contribution base is completely consistent with the actual wage, that is, is lower or higher than the actual wage is possible. First, the social security contribution base and the actual wage to be consistent with the social security base is not necessary and the actual wage is consistent, as long as the unit in accordance with the local average wage of the previous year's employees 60% -300% to pay. Second, the determination of the social security contribution base of the individual employee to their previous year's total monthly average wage income as a monthly contribution base for the current year, of which: new entrants to the unit of the employee's own starting salary of the month's salary as a full month of income as a contribution base; insured units to the unit of all the insured employees monthly contribution base and the sum of the monthly contribution base of the unit as the unit's monthly contribution base. The total wage income of an employee in the previous year refers to all the monetary incomes earned by the employee during the entire calendar year from January 1 to December 31 of the previous year, including hourly wages, piece-rate wages, bonuses, allowances and subsidies, overtime and overtime wages, and wages paid under special circumstances. In response to the diversification of the forms of salary payment by the employer, the employee should pay attention to the following aspects when determining the contribution base: (1) All social insurance premiums, housing provident fund and individual adjustment tax, etc., directly withheld and paid by the unit from the employee's salary, shall be included in the contribution base. (2) Transportation subsidies, telephone subsidies, lunch subsidies, holiday expenses, and allowances paid by the unit to individual employees in the form of cash or bank deposits, as well as allowances paid for special positions such as high temperature, high altitude, underground, and toxic and harmful positions, shall be included in the contribution base. (3) Wages paid by the unit to individual employees through the method of after-tax profit commission or dividend shall be included in the contribution base. (4) Employees who have implemented the base salary system shall be included in the contribution base if they receive income based on turnover or commission on business performance. (5) Employees who have implemented business contracting or expense underwriting and whose units no longer reimburse travel expenses, 60% of their contracted income shall be included in the contribution base. Third, the upper and lower limits of the social security contribution base The upper limit of the contribution base means that the part of the employee's salary income exceeding 300% of the arithmetic average of the average monthly salary of the in-service employees in the province or city of the previous year shall not be counted as part of the contribution base; the lower limit of the contribution base means that, if the employee's salary income is lower than 60% of the arithmetic average of the average monthly salary of the in-service employees in the province or city of the previous year, 60% of the arithmetic average of the average monthly salary of the in-service employees of the previous year shall be included as part of the contribution base. 60% is the contribution base. There are upper and lower limits for the social insurance contribution base, the minimum of which cannot be lower than 60% of the average monthly salary of the city's employees in the previous year (not less than 50% for private enterprise employees, individual industrial and commercial employees and non-city urban household employees, and not less than 100% for private enterprise legal persons, shareholders and owners of individual industrial and commercial enterprises); and the maximum of which cannot be higher than 300% of the city's average monthly salary of the city's employees in the previous year. The average salary of the city's employees is announced annually by the Municipal Bureau of Statistics. The contribution base is fixed for one year within the same contribution year and will not be changed in the middle of the year. From April to June each year, the employer shall declare the social insurance contribution base for the new year according to the notification from the social insurance agency in the city where the employer is located. According to the law, it can be learned that the social security base does not have to be consistent with the actual wage, as long as the unit in accordance with the local average wage of the previous year's employees to pay 60% - 300%.

The Interim Provisions on the Payment of Wages Article 3 of this provision refers to the wages of the employer in accordance with the provisions of the labor contract, in various forms of payment to the workers' wages and remuneration.　　 Article 5 wages shall be paid in legal tender. It shall not be paid in kind and securities instead of money.