Personal Pension Implementation Measures (Personal Pension Implementation Measures Latest)

The Ministry of Human Resources and Social Security, the Ministry of Finance, the State Administration of Taxation, the Banking and Insurance Regulatory Commission, and the Securities and Futures Commission jointly issued the Implementation Measures for Individual Pension on Nov. 4, 2022, which makes specific provisions for the process of participating in individual pensions, management of the fund account, management of institutions and products, information disclosure, and supervision and management.

Personal pension is a supplementary pension insurance system supported by government policies, voluntary participation of individuals and market-oriented operation. Workers who participate in basic pension insurance for urban workers or basic pension insurance for urban and rural residents in China are eligible to participate.

The measures make it clear that participants taking part in individual pensions should open an individual pension account on the information platform through the national social insurance public **** service platform, the national human resources and social security government service platform, the e-social security card, the Palm 12333 App and other nationally standardized online service portals, or commercial bank channels. After that, choose a commercial bank that complies with the regulations to open or designate my only personal pension fund account.

Funds in the account can be purchased from financial products, savings deposits, commercial pension insurance and public funds that meet the regulations.

The scheme stipulates that the participants' annual contribution to the personal pension is capped at 12,000 yuan. The individual pension fund account is closed, and participants can receive their individual pensions when they reach the age of basic pension, or when they are completely incapacitated, or when they have left the country and settled abroad, as well as in other cases in line with the state regulations.

In order to safeguard the interests of the participants, the measures emphasize that the sales institutions should be "sales appropriateness" as the principle, do a good job of risk alerts, and shall not take the initiative to recommend to the participants to exceed the ability of their risk tolerance of personal pension products.

Personal Pension Implementation Measures

Chapter I General Provisions

Article I For the implementation of the "General Office of the State Council on the promotion of the development of personal pensions," to strengthen the management of the personal pension business, standardize the operation of the personal pension process, the development of the implementation of the measures.

The second personal pension refers to the government policy support, voluntary participation of individuals, market-oriented operation, the realization of the supplementary function of pension insurance system. Individual pension personal account system, the contributions are entirely borne by the participants, independent choice to buy savings deposits, financial products, commercial pension insurance, public funds and other financial products in line with the provisions of the implementation of the full accumulation, in accordance with the relevant provisions of the State to enjoy the tax incentives.

Article 3 of the Implementation Measures applies to the participants of individual pensions, the individual pension information management service platform organized and constructed by the Ministry of Human Resources and Social Security, financial industry platforms, participating financial institutions and relevant government departments.

Participants of individual pensions shall be workers who participate in basic pension insurance for urban workers or basic pension insurance for urban and rural residents in China. The financial industry platform is a business information platform organized and constructed by the financial regulatory authorities. Participating financial institutions include commercial banks that have been determined by the China Banking and Insurance Regulatory Commission to operate individual pension fund account business, as well as individual pension product issuers and sales organizations determined by the financial regulatory authorities.

Article 4 of the information platform docking commercial banks and financial industry platforms, as well as the relevant government departments, for the implementation of personal pensions, the participating departments within the responsibilities of supervision and government macro-guidance to provide support.

The information platform provides participants with personal pension services through the national social insurance public ****service platform, the national human resources and social security government service platform, the electronic social security card, the handheld 12333 APP and other national unified online service portals, or through channels such as commercial banks, and supports participants to open personal pension accounts, query the amount of personal pension account contributions, personal asset information and personal pension products. asset information and personal pension products, etc., and provide tax-related certificates according to the needs of the participants.

Article 5 of the participating departments in accordance with their responsibilities, the implementation of personal pensions, participating financial institutions and personal pension products and other supervision. All regions should strengthen leadership, careful deployment, extensive publicity, and promote the development of personal pensions in a steady and orderly manner.

Chapter 2 Participation Process

Article 6 Participants participating in personal pensions should open a personal pension account on the information platform through the national unified online service portal or commercial bank channels; other personal pension product sales organizations can assist participants in opening personal pension accounts online on the information platform through commercial bank channels.

Individual pension accounts are used to register and manage personal identity information and are associated with the basic pension insurance relationship, recording information on individual pension contributions, investment, receipt, deduction and payment of personal income tax, etc., and are the basis for participants to take part in individual pensions and enjoy preferential tax policies.

Article 7 participants can choose a commercial bank to open or designate their only personal pension fund account, or can be designated through other sales organizations of personal pension products that meet the regulations.

The personal pension fund account, as a special dedicated fund account, is managed with reference to the Class II account under the personal RMB bank settlement account. The personal pension fund account is tied to the personal pension account and provides participants with services such as fund deposit, registration of contribution amount, investment of personal pension products, payment of personal pension, payment of personal income tax, and inquiry of information on funds and related rights and interests.

Article VIII of the participant's annual contribution to the individual pension quota limit of 12,000 yuan, the participant's annual contribution shall not exceed the contribution quota limit. The Ministry of Human Resources and Social Security and the Ministry of Finance shall adjust the upper limit of the contribution amount in due course in accordance with the level of economic and social development, the development of the multi-level pension insurance system and other factors.

Article 9 Participants may make contributions monthly, in installments, or annually, and the amount of contributions shall be accumulated in the natural year and recalculated in the following year.

Article 10: Participants independently decide on the investment plan of their personal pension fund accounts, including the investment varieties and investment amounts of personal pension products.

Article 11: A participant may change his/her personal pension fund account between different commercial banks. When a participant applies for a change of his personal pension fund account, he should propose it to the original commercial bank and open a new personal pension fund account in the new commercial bank after confirmation by the information platform.

After the participant's personal pension fund account is changed, the information platform provides the original commercial bank with information on the new personal pension fund account and the account opening bank, and provides the new commercial bank with information on the participant's remaining contribution amount for the year. The participating financial institutions, in accordance with the requirements of the participants and the relevant business rules, handle the procedures for the transfer of funds in the original account and the transfer of the personal pension products held by the participants.

Article 12: The personal pension fund account is closed, and the participant can receive the personal pension monthly, in installments, or in a lump sum if he/she meets any of the following conditions.

Reaching the age of receiving the basic pension;

Total loss of working ability;

Settlement abroad;

Other circumstances stipulated by the state.

Article 13 A participant who has already received a basic pension may propose to a commercial bank to receive a personal pension. Upon acceptance, the commercial bank shall verify the eligibility of the participant through the information platform, obtain the bank account of the participant's own social security card, and transfer the funds to the bank account of the participant's own social security card after completing the withholding of personal income tax in accordance with the method of receiving the pension selected by the participant.

Participants who meet the conditions for receiving personal pensions, such as total loss of working capacity, settlement abroad or other circumstances stipulated by the state, may submit the certificate of labor capacity appraisal and certificate of settlement abroad to the commercial bank. Commercial banks review and submit the information platform for verification for the record, for the participants to handle the receipt of formalities.

Article 14 encourages participants to receive long-term personal pensions.

Participants can receive monthly payments in accordance with the number of months of basic pension insurance, or in accordance with the number of months of their own choosing, until they are finished; or in accordance with a fixed amount of their own determination of the monthly payments, until they are finished.

If the participant chooses to receive the benefit in installments, he or she shall choose the period of time for receiving the benefit and specify the number of times or ways of receiving the benefit until it is completed.

Article 15: In the event of the death of a participant, the assets in his/her individual pension fund account may be inherited.

If a participant's social security card is canceled due to emigration, death or other reasons, a commercial bank shall transfer the funds in the participant's individual pension fund account to the fund account designated by the participant or his heirs.

Article 16: When a participant completes the transfer of funds in his/her personal pension account, or when the funds in the account have been withdrawn, the commercial bank shall cancel the account.

Chapter III Information Reporting and Management

Article 17 of the information platform for individual pension accounts and business data to implement a unified centralized management, and basic pension insurance information, social security card information associated with the system to support the implementation of monitoring, decision-making support.

Article 18 of the commercial banks shall promptly report information related to individual pension fund accounts to the information platform. Specifically include:

Basic personal information. Including personal identity information, personal pension fund account information;

Related product investment information. Including product transaction information, asset information;

Funding information. Including contribution information, fund transfer information, related asset transfer information, receipt information, payment of personal income tax information, fund balance information.

Article 19 of the commercial banks according to the business process and the need for timeliness of information, in accordance with the real-time verification, timed batch of two types of timeliness to interact with the information platform, of which:

Commercial banks in the handling of the individual pension fund account opening, change, cancellation, and funds to receive the funds and other businesses, real-time verification of the participant's basic pension insurance enrollment status, the individual pension account and the fund account uniqueness, and report the relevant information;

Commercial banks report the relevant information in batch at regular intervals after handling the opening of individual pension fund accounts, payment of contributions, collection of funds, and the provision of services such as fund transfers related to transactions of individual pension products.

Article 20 The financial industry platform shall report the following data to the information platform in a timely manner.

Basic information of personal pension product issuers and sales organizations;

Basic information of personal pension products;

Transaction information of participants investing in the relevant personal pension products, asset information data and so on.

Article 21 of the information platform shall provide technical specifications to commercial banks and financial industry platforms in a timely manner to ensure smooth docking.

Promoting the information platform and the relevant departments **** enjoy information to provide support for the standardization of system implementation, implementation of business supervision and optimization of service experience.

Chapter IV Management of Individual Pension Fund Accounts

Article 22 Commercial banks shall complete the system docking with the information platform and the financial industry platform, and handle the individual pension business after passing the acceptance.

Article 23 commercial banks can open personal pension fund accounts for participants through their own counter or electronic channels.

Commercial banks shall complete the verification of individual pension accounts through the information platform when opening individual pension fund accounts for participants.

Commercial banks may also verify the basic pension insurance participation certificate or individual rights and interests record sheet and other relevant materials provided by the participant issued by the social insurance agency, and then open an individual pension fund account for the participant and bind it to the individual pension account after reporting the opening of the individual pension account through the information platform.

Article 24 When a participant opens a personal pension fund account, he shall provide commercial banks with valid identification documents and other materials in accordance with the requirements of the financial supervisory authorities.

Commercial banks shall strictly observe the relevant regulations when opening individual pension fund accounts for participants.

Article 25 of the individual pension fund account shall support the participants to make contributions through commercial bank settlement accounts, non-bank payment institutions, cash and other means. Commercial banks shall provide participants, personal pension product sales organizations and others with fund transfer services related to personal pension product transactions.

Article 26 commercial banks shall register the contribution amount of individual pension fund accounts in real time, and shall give a reminder to those who have exceeded the upper limit of the contribution amount of the current year, and shall not accept them.

Article 27 The commercial banks shall record the information of the products traded by the participants according to the trading results of the relevant personal pension products.

Article 28 commercial banks shall provide change services for participants' personal pension fund accounts, and assist in the convergence of old and new accounts and the cancellation of old accounts. The original commercial bank and the new commercial bank shall complete the account verification, account change, asset transfer and information reporting through the information platform.

Article 29 commercial banks shall deal with the transferred funds differently, and the amount of the current year's contributions in the transferred funds shall be calculated cumulatively.

Article 30 of the individual pension fund account on the day of the occurrence of the contribution business, commercial banks should not handle account change procedures for them. During the period of the change of fund account, the original personal pension fund account is not allowed to handle the contribution, investment and withdrawal of business.

Article 31: Commercial banks shall treat the issuers and sales organizations of personal pension products that comply with the regulations fairly in carrying out the business of personal pension fund accounts.

Article 32 commercial banks shall keep all the information of personal pension fund accounts for at least fifteen years from the date of account cancelation.

Chapter V Personal Pension Institutions and Product Management

Article 33 of the personal pension products and their issuers and sales organizations are determined by the relevant financial regulatory authorities. Information on personal pension products and their issuing institutions shall be released on the same day on the information platform and the financial industry platform.

Article 34: Personal pension products shall have the basic features of safe operation, maturity and stability, standardization of subject matter, and focus on long-term value preservation.

Article 35: Commercial banks, personal pension product issuers and sales organizations shall, in accordance with relevant regulations, establish and improve business management systems, including but not limited to personal pension fund account services, product management, sales management, management of cooperating organizations, and information disclosure. Commercial banks shall promptly report to the regulatory authorities and take measures in accordance with the regulations if they find any irregularities, related risks or other problems in the implementation of personal pensions.

Article 36 of the personal pension product transactions involving the exchange of funds, unless otherwise specified must be initiated from the personal pension fund account and return to the personal pension fund account.

Article 37 of the personal pension product issuers and sales organizations shall provide participants with convenient purchase and redemption services, and support participants to switch products under the premise of complying with the regulatory rules and product contracts.

Article 38: Interest on uninvested funds in personal pension accounts shall be calculated in accordance with the deposit rates and interest accrual methods agreed between commercial banks and individuals.

Article 39 of the personal pension product sales organizations should be "sales appropriateness" as the principle, in accordance with the law to understand the participant's risk appetite, risk cognitive ability and risk tolerance, and to do a good job of risk tips, shall not take the initiative to recommend to the participant beyond the ability of risk tolerance of the personal pension products.

Chapter VI Information Disclosure

Article 40: The Ministry of Human Resources and Social Security and the Ministry of Finance shall summarize and disclose information on the implementation of personal pensions, including but not limited to the number of participants, the accumulation and receipt of funds, and data on the investment and operation of personal pension products.

Article 41 The disclosure of information shall take the protection of the interests of the participants as the fundamental starting point, and ensure the truthfulness, accuracy and completeness of the disclosed information, and there shall be no false records, misleading statements and material omissions.

Chapter VII Supervision and Administration

Article 42 The Ministry of Human Resources and Social Security and the Ministry of Finance shall, in accordance with their duties, formulate specific policies on the account setting, contribution amount, conditions for receiving, and tax incentives for individual pensions and carry out operational supervision. The tax authorities shall, in accordance with the law, implement tax collection and management of individual pensions.

Article 43 The Ministry of Human Resources and Social Security performs supervisory duties on the daily operation of the information platform, and standardizes the information interaction process between the information platform and commercial banks, financial industry platforms, and relevant government departments.

Article 44 The Ministry of Human Resources and Social Security, the Ministry of Finance, and the tax authorities, in performing their daily supervisory duties, may, in accordance with the law, take the following measures:

Inquire, record, and copy the various types of contracts and other business information of the personal pension business that are related to the matter being investigated;

Interview the institutions and individuals related to the matter being investigated and ask them to give explanations of the relevant issues, provide relevant supporting materials;

other measures prescribed by laws and regulations and the State.

Article 45: The China Banking and Insurance Regulatory Commission and the China Securities Regulatory Commission shall, in accordance with their duties, formulate supporting policies to specify the list of participating financial institutions, business processes, conditions for personal pension products, and requirements for the submission of supervisory information, to regulate the personal pension business of banking and insurance institutions and the business of investing in public funds by personal pensions, and to impose legal requirements on the issuance and sale of personal pension products and other business activities of participating financial institutions. It also performs regulatory duties on the issuance and sale of personal pension products by participating financial institutions in accordance with the law, urges participating financial institutions to optimize their products and services, gives tips on product risks, and strengthens investor education.

Participating financial institutions in violation of the implementation measures, the China Banking and Insurance Regulatory Commission, China Securities Regulatory Commission to take measures in accordance with the law.

Article 46 of the China Banking and Insurance Regulatory Commission, China Securities Regulatory Commission of the financial industry platforms related to the day-to-day operation of the personal pension business to fulfill their supervisory responsibilities.

Article 47 The participating departments shall strengthen communication, through online and offline and other means, to timely understand the opinions and suggestions of all parties in society on personal pensions, and deal with the consultation and complaints in the process of implementing personal pensions.

Article 48 The participating organizations shall actively cooperate with the inspection, truthfully provide relevant information, shall not refuse, obstruct or evade the inspection, and shall not misrepresent, conceal or destroy relevant evidence and materials.

Article 49 If the participating organizations violate the provisions of the Implementation Measures or relevant laws and regulations, the Ministry of Human Resources and Social Security, the Ministry of Finance and the tax authorities shall take measures in accordance with their duties in accordance with the law.

Chapter VIII Supplementary Provisions

Article 50 The China Banking and Insurance Regulatory Commission, the Ministry of Human Resources and Social Security, in conjunction with the relevant departments to do a good job of individual tax-deferred commercial pension insurance pilots and the interface between personal pensions.

Article 51 The implementation measures shall come into force on the date of issuance.

Article 52 of the Ministry of Human Resources and Social Security, the Ministry of Finance, the State Administration of Taxation, the China Banking and Insurance Regulatory Commission, the China Securities Regulatory Commission is responsible for the interpretation of the implementation of these measures in accordance with their responsibilities.