Resident pensions go up every year

Will residents' pensions rise every year is analyzed as follows:

Pensions do not rise every year. Enterprise retiree pension treatment adjustment mechanism will be clear in the top-level design. The state will establish a normal adjustment mechanism for basic pensions covering retirees from institutions, enterprises and public institutions and urban and rural residents. Basic pension adjustments for all categories of people will be considered in an integrated manner, based on price changes, employee wage growth, and increased income levels, and taking into account factors such as the affordability of the basic pension insurance fund and financial affordability. Specifically, the top-level design will take into account the establishment of a basic pension adjustment mechanism for urban and rural residents.

According to current considerations, the principle of correspondence between rights and obligations will be followed, and the minimum standard of basic pension will be adjusted in due course in accordance with economic development and price changes on the basis of improving the incentive and constraint mechanism. There is a nationally standardized formula for calculating the basic pension for employees, but the corresponding standard is linked to the average social wage of the previous year of retirement in each region. Individual account pensions are standardized at the time of retirement and never change. It doesn't matter whether it's employee pension insurance or resident insurance.

Laws and Regulations

The Law of the People's Republic of China on Social Security

Article 16 Individuals who have participated in basic old-age pension insurance shall receive a monthly basic old-age pension if they have accumulated fifteen years of contributions by the time they reach the legal retirement age.

Individuals who have participated in basic old-age pension insurance and have contributed for less than fifteen years by the time they reach the statutory retirement age may contribute until they reach the full fifteen years and receive a basic pension on a monthly basis; they may also be transferred to the new type of rural social old-age pension insurance or urban residents' social old-age pension insurance, and shall enjoy corresponding old-age pension insurance benefits in accordance with the provisions of the State Council. Article 10 employees shall participate in basic pension insurance, by the employer and the employee **** the same basic pension insurance premiums.

Individual industrial and commercial households without employees, part-time workers who have not participated in basic pension insurance with their employing units, and other flexibly employed persons may participate in basic pension insurance and pay basic pension insurance premiums by themselves. The methods of pension insurance for civil servants and staff administered under the civil service law shall be prescribed by the State Council.