Why individuals can not pay social security

Nowadays, many young people ask their employers to pay social security for them as soon as they enter a company, because social security is of great use to the employees, they can receive a pension after retirement, and they can receive unemployment benefits after losing their jobs. You can also get a medical insurance when you are sick.

Meanwhile, employees working in enterprises only need to bear a small part of the social security costs, and most of the social security costs are borne by the enterprises. So for the employees of the enterprise, their motivation to pay social security is very high.

But for individuals who pay social security, they have to bear a lot more social security costs than the active employees. According to the relevant regulations, the proportion of individuals paying social security should reach 20%. For active employees, although they have to pay 20%, but the proportion of individuals paying social security is only 4%, the remaining 16% by the employer to pay for the employee. In addition, the pressure for individuals to pay social security will be very high, and even if they pay social security, their income after retirement will be very low. So it is not recommended for individuals to pay social security.

So what are the reasons for not recommending individuals to pay social security? First, individuals who pay social security often prefer to be attached to affiliated companies. The cost of social security is borne by the individual himself, and then this business pays your social security. This kind of insurance fraud, if discovered by the relevant authorities, will not only cancel the previously paid social security, but also be fined, and even have to bear some criminal liability. This kind of behavior will not only adversely affect your own credit, but also bring serious damage to the business that pays social security. Therefore, don't do things that are detrimental to yourself.

Secondly, some flexibly employed people want to pay social security through a certain human resource company, that is, they pay their own money and pay social security for themselves through this human resource company every month. But this method is even worse. Because the HR company pays your social security, he also has to make money, and he won't do anything that doesn't make money. You have to pay an extra fee along with your social security payment, which will increase the burden of the contributor. What's more, if this money-making company that pays social security runs away, then the social security you paid before will be in vain.

Thirdly, individuals who pay social security get fewer types of insurance. For the employees of enterprises, their social security payment is usually five insurance and one gold, while some effective enterprises are six insurance and two gold. But there is a difference when individuals pay social security. There is no unemployment insurance or work injury insurance except for pension insurance, medical insurance and maternity insurance. The problem is that flexibly employed people may not be able to find a job in a short period of time or suffer from work-related injuries. They pay more than working employees, but get less insurance than working employees.

Fourthly, female workers in enterprises retire at 50 and female cadres at 55. In the case of flexibly employed persons, the retirement age is the same for both men and women, both retiring at 60, which means that female flexibly employed persons have to work 10 years longer than working women. At the same time, female flexible employment personnel, even if they reach the retirement age of 60 years old, get a very small pension, because flexible employment personnel to pay social security is often in accordance with the minimum contribution standards, and barely reach the minimum number of years of contributions.

Fifth, the flexible employment personnel, work is not fixed, income is not stable, often easy to break the social security situation. Once social security is broken, it is difficult to make up for it. At the same time, for the flexible employment personnel, they have to pay more social security than the working people, and get less insurance protection than the working people. The usual social security expenses are so stressful. Overall, it's not cost-effective for individuals to pay into Social Security. So unless the individual's earning power is very strong, it is not cost-effective for the individual to pay social security, and a lot of money will be spent for nothing.

Related Q&A: social security individual contribution base social insurance base, referred to as the social security base, is the employee's social insurance contribution base in a social security year. It is determined according to the monthly average of all wage income earned by the employee from January to December of the previous year. The social insurance contribution base is an important basis for calculating the social insurance contributions to be paid by the employer and its employees and the social insurance benefits of the employees, and there is an upper limit and a lower limit, with the specific amount depending on the actual situation in each region. The contribution base for social security refers to the wage base used by an enterprise or an individual employee to calculate the amount of social security contributions to be paid by the enterprise or the individual, multiplied by the prescribed rate. The social security contribution base in each region is linked to the local average wage data. It is determined on the basis of the monthly average of all wage income earned by an employee from January to December of the previous year. It is determined once a year, and after it is determined, it will not be changed for a year. The time for social security base declaration and adjustment is usually in July. Enterprises generally take the total wages of their employees as the contribution base, while half of the individual employees take their average monthly wages of the previous year as the wage base for individual social security contributions. In China, the contribution base is approved by the social insurance agency in accordance with the employer's declaration and in accordance with the law. Article 2 of the Social Insurance Law of the People's Republic of China (PRC) stipulates that the State shall establish a social insurance system comprising basic old-age insurance, basic medical insurance, industrial injury insurance, unemployment insurance, maternity insurance, etc., and shall safeguard the right of citizens to obtain material assistance from the State and society in accordance with the law in the event of old age, sickness, industrial injury, unemployment or maternity. Legal Basis: Social Insurance Law of the People's Republic of China Article 4 Employers and individuals within the territory of the People's Republic of China shall, in accordance with the law, pay social insurance premiums, and shall have the right to enquire about the records of payment of premiums and the rights and interests of individuals, and to request that the social insurance administration organizations provide social insurance advice and other relevant services. Individuals enjoy social insurance benefits in accordance with the law, and have the right to supervise the payment of contributions for them by their own units.