Those who are about to retire in 2023 may be confused about how to calculate their pension, after all, everyone's pension amount is differentSome people can only receive a meager 1,000 yuan, while some people can enjoy benefits of tens of thousands of yuan
The state has a specific formula for the calculation of pensions, which has been formulated under the leadership of the state around 2006 and has been widely used in various places. Through this formula, we can get a rough idea of how much pension we will receive after retirement.
The formula for calculating a retirement pension mainly consists of three parts:Basic pensions, personal account pensions and transitional pensions。Below we will explain these three parts one by one.
The first is the basic pension, which is calculated according to the number of years of personal contributions and the salary of contributions. Generally speaking, the longer the contribution period, the higher the contribution salary, and the more the basic pension. At the same time, the level of economic development and the average wage level in different regions will also have an impact on the basic pension.
The second is the personal account pension, which is calculated based on the balance of the pension insurance personal account accumulated by the individual during the payment period. The higher the personal account balance, the more personal account pension there is. The calculation of this part of the pension is relatively simple, mainly depending on the amount and timing of individual contributions.
Finally, there is the transitional pension, which is mainly for those who have been working before the reform of the pension system. Since these people did not have personal accounts before the reform, the state set up a transitional pension in order to protect their rights and interests. The calculation of the transitional pension varies slightly from place to place, but it is generally determined based on the individual's years of service and salary level.
Overall, the calculation of a retirement pension is a comprehensive process that involves several factors. While everyone's situation is different, by understanding these basic calculation principles, we can have a clearer plan for our retirement.