What does the interest on social security personal account mean?

Social insurance refers to a social and economic system that provides income or compensation for people who lose their ability to work, are temporarily unemployed or suffer losses due to health reasons. The main items of social insurance include endowment insurance, medical insurance, unemployment insurance, industrial injury insurance and maternity insurance. The social insurance plan is organized by the government, forcing a certain group to use part of its income as social insurance tax (fee) to form a social insurance fund. Under certain conditions, the insured can get fixed income or loss compensation from the fund. It is a redistribution system, and its goal is to ensure the reproduction of material and labor and social stability. Endowment insurance and medical insurance in social security are both medical insurance for personal accounts. The money in the personal account is directly transferred to the personal medical card or medical passbook, and calculated according to the current interest. The calculation method of monetary interest in personal account of endowment insurance is: calculate and register the interest on the storage amount of employee's personal account once a year, and the interest will be incorporated into the storage amount of personal account. When calculating interest, personal accounts are divided into two parts: the accumulated amount of personal accounts in the previous year and the amount credited to personal accounts in this year. The calculation formula of interest is as follows: the calculation method of interest on the accumulated amount of personal account in the previous year is: the accumulated amount of personal account in the previous year multiplied by the current interest rate. The interest calculation method of the amount credited to personal account in the current year is: the amount credited to personal account in the current year multiplied by the bookkeeping interest rate in the current year multiplied by 1.083 multiplied by 0.5.