May is just around the corner, and pension growth in 2024 is just around the corner. However, people will find that the pension of resident pension insurance and employee pension insurance are two different growth models. The proportion of residents' pension insurance rising is high, but the amount of money is small, and the ratio of employee pension insurance is low, but the amount of money is much more. Why is that?
How to increase the pension of resident pension insurance?
According to the content of the government work report released in March this year, the minimum monthly standard of pension insurance for urban and rural residents this year will be increased by 20 yuan.
The pension insurance for urban and rural residents is composed of two parts: basic pension and personal account pension. The personal account pension is forever the same. The improvement of the pension insurance for urban and rural residents is mainly achieved by raising the basic pension.
The basic pension of urban and rural residents' pension insurance is mainly formed by government financial subsidies. For example, according to the data released by the Ministry of Finance, the total income of the national urban and rural residents' pension insurance fund in 2022 will be 553.143 billion yuan, of which the financial subsidy income will be as high as 344.222 billion yuan.
There is a minimum standard for the pension insurance for urban and rural residents, and the state has established a normal adjustment mechanism, which has been adjusted every year in recent years. In 2022, the basic pension standard of urban and rural residents' pension insurance is 98 yuan per month, and in 2023 it is 103 yuan per month, and it is expected that it will be adjusted to 123 yuan per month on July 1 this year, with an increase rate of 19.47%.
The basic pension of urban and rural residents' endowment insurance can be supplemented by financial subsidies to improve local standards, so as to achieve the purpose of adapting to the local economic and social development situation. For example, Shanghai's standard in 2023 has reached 1,400 yuan, and it has maintained the standard of 100 yuan per year for several years.
How to increase employee pension insurance?
Employee pension insurance is the earliest insurance system established in mainland China, which was established in 1992. The basic principle of the establishment of employee pension insurance is to pay a fixed income, a slight surplus, and retain a part of the accumulation. For example, according to the Statistical Communiqué on the Development of Human Resources and Social Security, at the end of 2022, the total income of the mainland employee pension insurance fund was 6.33 trillion yuan, the expenditure was 5.9 trillion yuan, and the cumulative balance was 5.689 trillion yuan. It can be said that employee pension insurance is an insurance system in which in-service employees support retired employees.
The payment of our employees' pension insurance is linked to the average salary of employees in the previous year, so the upper and lower limits of the payment will increase every year. Similarly, the pension of employee pension insurance is also linked to the average salary of employees, so it will also increase accordingly.
The Social Insurance Law stipulates that the state shall establish a normal adjustment mechanism for basic pensions, and raise the level of basic pension insurance benefits in a timely manner according to the increase in average social wages and prices. From 2005 to the present, the state has adjusted the pensions of retirees for 20 consecutive years.
The pension adjustment for the retired elderly is an increase in a certain percentage of the average pension of the previous year. The proportion of pension growth from 2020 to 2023 is 5.0%, 4.5%, 4.0% and 3.8%, respectively. However, when the pension is increased, it is not achieved by increasing the above-mentioned proportion of the person's pension. The state is carried out through a combination of three methods: quota adjustment, peg adjustment, and appropriate tilt. Such an adjustment method can reflect the principle of fairness, the incentive principle of overpayment and long-term payment, and the principle of appropriate inclination.
For example, according to the pension adjustment plan of Shandong Province in 2023, the length of service is 15 years, the pension is 1,000 yuan, the fixed amount is increased by 41 yuan, the payment period is increased by 18 yuan, and the pension ratio is increased by 12.5 yuan, with a total increase of 71.5 yuan, and the growth rate is 7.15%. For employees with 40 years of service and a pension of 10,000 yuan, the fixed amount will be increased by 41 yuan, 57 yuan according to the payment period, and 125 yuan according to the pension ratio, with a total increase of 223 yuan, an increase of 2.23%.
Therefore, the annual pension growth, resident pension insurance and employee pension insurance are very different, which is mainly because of the different designs of the two systems. #养老金知识小百科#