Endowment insurance is a social welfare system. One of the prerequisites for receiving old-age pension after retirement is to participate in the payment of old-age insurance and reach the minimum payment period 15 years. The longer you pay, the more you pay, and the higher your pension when you retire.
The conditions for purchasing endowment insurance are as follows:
1, over 16, not yet retired. Urban and rural residents who are healthy and able to work or work normally;
2, did not participate in the basic old-age insurance for urban enterprises;
3. Have a local hukou (including rural hukou).
Individual endowment insurance can be paid monthly, quarterly and annually, or it can be paid in one lump sum when insured. The monthly insurance premium of each insured shall not be lower than that of 20 yuan, and the annual insurance premium shall not be lower than that of 200 yuan.
The benefits of endowment insurance are as follows:
1, endowment insurance is conducive to ensuring the reproduction of the labor force. Through the establishment of the old-age insurance system, it is conducive to the normal intergenerational replacement of the labor force, the elderly retire when they are old, and the newly increased labor force is successfully employed, ensuring the rationalization of the employment structure;
2. Endowment insurance is beneficial to social security. Endowment insurance provides basic living security for the elderly and makes them feel safe. With the arrival of the aging population, the proportion of the elderly population is increasing and the number is increasing. Old-age insurance guarantees the basic life of elderly workers, which is equivalent to ensuring the basic life of a considerable number of people in society. For on-the-job employees, participating in endowment insurance means that they have expectations for their future old-age life and are free from worries. In terms of social mentality, more people are stable and less impetuous, which is conducive to social stability;
3. Endowment insurance is conducive to promoting economic development. The pension insurance system designed by many countries links fairness with efficiency, especially the partial accumulation and complete accumulation pension fund raising model. The amount of pension received by workers after retirement is directly related to their wage income and payment during their on-the-job work, which can undoubtedly stimulate workers to work actively during their on-the-job work and improve efficiency.
I hope the above content can help you. Please consult a professional lawyer if you have any other questions.
Legal basis: People's Republic of China (PRC) Social Insurance Law.
Tenth employees should participate in the basic old-age insurance, and employers and employees should pay the basic old-age insurance premium.
Individual industrial and commercial households without employees, part-time employees who have not participated in the basic old-age insurance in the employer and other flexible employees can participate in the basic old-age insurance, and individuals pay the basic old-age insurance premium.
The measures for the endowment insurance of civil servants and staff managed by reference to the Civil Service Law shall be formulated by the State Council.
Eleventh basic old-age insurance to implement the combination of social pooling and individual accounts.
The basic old-age insurance fund consists of employers, individual contributions and government subsidies.
Article 12 The employing unit shall pay the basic old-age insurance premium according to the proportion of the total wages of employees stipulated by the state and record it in the basic old-age insurance pooling fund.
Employees shall pay the basic old-age insurance premium in accordance with the proportion of wages stipulated by the state and record it in their personal accounts.
Individual industrial and commercial households without employees, part-time employees who have not participated in the basic old-age insurance in the employing unit and other flexible employees who have participated in the basic old-age insurance shall pay the basic old-age insurance premiums in accordance with state regulations and record them in the basic old-age insurance pooling fund and individual accounts respectively.
Sixteenth individuals who participate in the basic old-age insurance will receive the basic old-age pension on a monthly basis if they have accumulated contributions for fifteen years when they reach the statutory retirement age.