What does it mean for our company to receive the report on the adjustment of social security base?

The social security payment base is determined according to the local social wages in the previous year. Generally, the payment base of first-tier cities is higher than that of second-and third-tier cities.

The social wage will be announced around the middle of each year, and then each city will calculate the payment base of a city based on the social wage. When an enterprise pays insurance for its employees, it shall be calculated according to a certain proportion of the payment base. This ratio is generally 60%-300%. Most enterprises pay their employees according to the minimum payment ratio of 60%.

When the payment base is adjusted, the company needs to pay the difference between the previous base and the latest base. Therefore, when an enterprise is informed of the adjustment of the social security base, it must consult the social security bureau about insurance compensation and make up the difference as soon as possible.