The pension deduction ratio refers to the insurance costs deducted from the salary in accordance with the prescribed proportion in order for employees to receive pensions after retirement in the future. The deduction rate of the pension is in accordance with the Social Insurance Law and related regulations, and the following is a detailed explanation.
For enterprise employees, the deduction of pension is mainly composed of two parts: one is the individual contribution part, and the other is the unit part.
1.Individual contributions: Employees need to pay pension insurance premiums according to a certain percentage of their own paid wages. According to the current policy, the proportion of individual employees contributing is 8%. That is to say, if an employee's monthly salary is 10,000 yuan, then he needs to pay 10,000 yuan per month 8% = 800 yuan.
2.The unit bears the part: the enterprise needs to bear a certain proportion of the pension insurance costs for the employees. At present, the proportion that the unit needs to bear is 20% of the total salary paid by the employee. Continuing with the above example, if the monthly salary of the employee is 10,000 yuan, then the pension insurance fee that the enterprise needs to pay for it every month is 10,000 yuan 20% = 2,000 yuan.
In this way, the total amount of pension insurance paid for the employee each month is the sum of the individual part and the unit part, that is, 800 yuan + 2000 yuan = 2800 yuan.
For flexible workers (including sole proprietors and freelancers), their pension contribution rates are different from those of employees. Flexible workers need to pay pension insurance premiums according to 18% of the contribution base, which includes the part that should be borne by the unit and the part that should be paid by individuals, that is, flexible workers need to bear all the pension insurance costs themselves.
For urban and rural residents' endowment insurance, the payment standard is paid according to the annual fixed grade, such as 100 yuan per year, 200 yuan, etc., a total of 12 grades, residents can choose the appropriate grade according to their actual situation.
The main function of the pension is to ensure the basic living of retirees. When a worker reaches the statutory retirement age and has paid social security for 15 years, he or she can receive a monthly or one-time pension in accordance with relevant regulations. The pension consists of a basic pension and a personal account pension, which is paid for life and ensures that retirees can enjoy a stable life**.