Why are social security premiums rising year by year?

Legal analysis: the social security base is determined by the per capita income of the people. With the increase of income, the social security base will rise, and the corresponding expenses will also rise. Generally, the monthly salary of employees is the payment base, and in order to save costs, most companies usually pay social security fees to employees with the minimum payment base, that is to say, as long as the average social wage rises, the minimum social security contribution will also rise.

Legal basis: Article 12 of the Social Insurance Law of People's Republic of China (PRC), the employing unit shall pay the basic old-age insurance premium in proportion to the total wages of its employees as stipulated by the state and record it in the basic old-age insurance pooling fund. Employees shall pay the basic old-age insurance premium in accordance with the proportion of wages stipulated by the state and record it in their personal accounts. Individual industrial and commercial households without employees, part-time employees who have not participated in the basic old-age insurance in the employing unit and other flexible employees who have participated in the basic old-age insurance shall pay the basic old-age insurance premiums in accordance with state regulations and record them in the basic old-age insurance pooling fund and individual accounts respectively.