How to calculate the social security base in Shanghai?

Under normal circumstances, the social security base is based on the individual's salary income in the previous year. Average monthly wage income of employees = total wages of employees in XX years ÷ actual months (≤ 12).

According to different situations, the calculation method of social security base is as follows:

1. If the personal wage income exceeds 300% of the local average wage of employees in the previous year, 300% of the local average wage of employees in the previous year will be used as the payment base.

2. If the personal wage income is lower than 60% of the local average wage of employees in the previous year, 60% of the local average wage of employees in the previous year will be used as the payment base.

3. If the personal wage income is between 300% and 60%, the payment base shall be determined according to the actual declared wage income.

4. If the individual wage income cannot be determined, the social security department shall determine the payment base according to the local average wage of employees in the previous year published by the local labor administrative department.

At a fixed time every year (usually in March or July, depending on the region), the social security base needs to be approved. To declare a new base according to the average monthly salary of the previous year, individuals need to prepare salary tables and other relevant supporting materials.

What is the social security base?

Social security base refers to a benchmark in social insurance payment, which is used to determine the basis for individuals to pay social insurance premiums and enjoy social insurance benefits. The level of social security base directly affects the amount of social security contributions and the level of social security benefits enjoyed by individuals. Usually, the social security base is determined according to the average salary of the previous year and relevant regulations, and there are generally restrictions on the minimum base and the maximum base. Individuals can choose their own payment base according to their own needs and abilities within the base range.