How to calculate the payment base of endowment insurance

The payment base of endowment insurance is the base for calculating the proportion of endowment insurance premium that should be paid now. The base of endowment insurance payment in a place is related to the local average social wage and individual wage in the previous year. The payment base of endowment insurance is divided into upper limit and lower limit. The upper limit is 300% of the average salary of last year, and the lower limit is 60% of the average salary of last year. When the employee's salary is between the two, the pension insurance payment base is determined according to the employee's salary; When it is lower than 60% of the local average wage, it shall be paid according to the lower limit of the endowment insurance payment base; When it is higher than 300% of the local average wage, it will be paid according to the upper limit of the endowment insurance payment base. Upper limit of pension base: the part where the wage income of employees exceeds 300% of the arithmetic average monthly wage of employees in provinces and cities in the previous year is not included in the payment base; Lower limit of pension base: if the wage income of employees is lower than 60% of the arithmetic average monthly salary of employees in provinces and cities in the previous year, 60% of the arithmetic average monthly salary of employees in provinces and cities in the previous year is the payment base.

legal ground

People's Republic of China (PRC) Social Insurance Law Article 2 The state establishes social insurance systems such as basic old-age insurance, basic medical insurance, industrial injury insurance, unemployment insurance and maternity insurance to protect citizens' right to get material help from the state and society in the event of old age, illness, industrial injury, unemployment and maternity. Eleventh basic old-age insurance to implement the combination of social pooling and individual accounts. The basic old-age insurance fund consists of employers, individual contributions and government subsidies.