The relationship between individual contribution base and salary

The relationship between individual contribution base and salary is as follows:

1. The individual contribution base is the basis for calculating social insurance premiums and housing fund.

2. The base is usually determined on the basis of the employee's average monthly wage income and is subject to the minimum and maximum limits of local policies.

3. When the salary is lower than the minimum contribution base, it is calculated according to the minimum standard; when the salary is higher than the maximum contribution base, it is calculated according to the maximum standard.

4. The individual contribution base is directly related to the salary income, and at the same time is subject to the upper and lower limits of the policy.

The calculation basis of social security:

1, the determination of the social security contribution base: usually based on the individual's average salary in the previous year, the specific value will be affected by the local social security policy;

2, the relationship with the salary: social security contribution base usually has an upper and lower limit, even if the salary is very high or low, the contribution base will be in the range of the provisions;

3, the application of the contribution ratio: individuals and units contribute to the social security base according to a certain ratio, which is stipulated by the local policy;

4, the impact of salary changes: if an individual's salary changes, it may affect the social security contribution base for the next year;

5, the calculation of social security benefits: social security benefits such as pensions are usually also calculated based on an individual's contribution base and the number of years of contribution. years to calculate.

In summary, the individual contribution base is the basis for the calculation of social insurance premiums and housing provident fund determined according to the average monthly salary income of the employees, and is affected by the minimum and maximum limits stipulated by the local policies, and when the salary is lower than the minimum contribution base or higher than the maximum contribution base, the contributions will be calculated in accordance with these policy limits, respectively, which reflects the direct linkage between the individual's salary and the contribution base as well as the policy-regulating role.

Legal basis:

The Social Insurance Law of the People's Republic of China

Article 12

The employer shall pay the basic pension insurance premiums in accordance with the proportion of the total wages of the employees of the unit as stipulated by the State, and shall be credited to the Basic Pension Insurance Co-ordination Fund. Employees shall pay basic pension insurance premiums in accordance with the proportion of their own wages prescribed by the State and credited to their individual accounts. Individual business households without employees, part-time workers who do not participate in the basic pension insurance in the employer and other flexible employment to participate in the basic pension insurance, should pay the basic pension insurance premiums in accordance with the state regulations, respectively, credited to the basic pension insurance fund and individual accounts.