Henan social security contribution breakdown in 2021

Social security contribution breakdown:

Since May 1, 2019, the caliber of calculation of the average salary of employed persons has been adjusted. The average salary of employed persons in urban units of the whole caliber weighted by the average salary of employed persons in urban non-private units and the average salary of employed persons in urban private units in the province will be used to approve the upper and lower limits of the base for social security individual contributions, and to reasonably reduce the base for social security contributions of some insured persons and enterprises.

The average salary of employed persons in full-caliber urban units and the upper and lower limits of the individual contribution base are announced annually by the Provincial Department of Human Resources and Social Security, the Department of Finance, the Taxation Bureau, the Medical Insurance Bureau and the Bureau of Statistics. The contribution base is declared for adjustment once a year, and the period of use is from July 1 of the current year to June 30 of the following year. from May to June 2019, the contribution base can be declared for adjustment in accordance with the average salary of employed persons in full-caliber urban units in 2017 as the upper and lower limits of the individual contribution base.

Uniform pension insurance contribution ratio and policy

The province's various types of employers and their employees should participate in basic pension insurance for urban workers. Individual industrial and commercial households without employees, part-time employees who have not participated in basic pension insurance with their employers, other flexibly employed persons, and urban and rural residents of the province who have not established a labor relationship with their employers (except for school students, hereinafter referred to as flexibly employed persons), who have reached 16 years of age, and who are under the age of 60 years for males and under the age of 55 years for females can participate (continue to participate) in pension insurance at their place of employment or at their place of domicile on the basis of the status of a flexibly employed person. The household registration place to participate in the basic pension insurance for enterprise workers (continue).

The ratio of unit and individual contributions is unified. Participating units are unified at 16% of the basic pension insurance premiums, and the individual contribution rate for employees is 8%. The contribution rate for flexibly employed persons is 20 percent.

Uniform contribution policy. The insured units take the sum of all employees' contributory wage base as the unit contributory wage base.

Enterprise employees take their average monthly salary of the previous year as the base for individual contributions to basic pension insurance (hereinafter referred to as the base for contributions).

Employees of institutions take the average monthly salary of the previous year (the salary of the items included in the contribution base according to the national and provincial regulations) as the base of individual contribution salary.

If the average monthly salary of the employees is less than 60% of the average salary of the employed persons in the full-caliber urban units of the province, the salary base for contribution shall be calculated according to 60%; the part of the salary that exceeds 300% of the average salary of the employed persons in the full-caliber urban units of the province shall not be included in the salary base for contribution.

Unification of the declaration method of the contribution wage base for flexibly employed persons

Flexibly employed persons participating in the basic pension insurance for enterprise employees can independently choose to declare the appropriate contribution wage base between 60% and 300% of the average wage of the employed persons in urban units of the whole caliber of the province and pay the basic pension insurance premiums from the month of participation in the insurance, and can choose to pay the basic pension insurance premiums on a monthly, quarterly, semi-annual or annual basis. The basic pension insurance premiums can be paid on a monthly, quarterly, semi-annual or annual basis.

Unification of pension insurance treatment calculation methods

In accordance with the unified arrangement and deployment of the State, the transition methods of basic pension calculation methods are formulated to ensure a smooth convergence and transition of the treatment level of retirees. The specific measures will be formulated separately by the provincial Human Resources and Social Security Department and the Department of Finance. Until then, the calculation of the individual contribution wage index and the basic pension base will remain unchanged everywhere.

Speeding up the provincial-level coordination of pension insurance

In conjunction with measures such as lowering the ratio of pension insurance unit contributions and adjusting the policy on the base for social security contributions, the provincial-level coordination of basic pension insurance for standardized enterprise workers has been accelerated.

Further strengthen the management of the income and expenditure of the basic pension insurance fund for enterprise employees (hereinafter referred to as the fund), improve and standardize the management of the fund budget, increase the fund transfer at the provincial level, establish a mechanism for sharing the responsibility for the fund shortfall between the provincial and provincial municipalities, and the counties (cities) directly under the control of the province, and for the municipalities and counties (cities) directly under the control of the province where the cumulative balance of the fund is insufficient to pay the nine-month basic pension as of the end of 2018 due to the Reducing social security fee rates and adjusting the social security contribution base policy and reducing the collection of enterprise pension insurance premiums will be made up by the provincial-level integrated fund, and if the fund balance can pay more than nine months of basic pensions, the local fund balance will make up for the shortfall. Effectively improve the fund ****ancial function and efficiency of use, and promote the integrated development of pension insurance in the province. In the two components of the pension. Pension = basic pension + personal account pension.