In Jiangsu Nantong, the main differences between a social security base of 20,900 and 5,000 are as follows:
- Contribution amount:
- For employees: If the base is 20,900, the individual contribution for pension insurance is yuan per month, and for medical insurance is ,×8%=yuan per month, etc. If the base is 5,000, the individual pension insurance contribution is ,×2%=yuan per month, and medical insurance is ,×8%=yuan per month. The total individual contribution amount with a base of 20,900 is much higher.,×2%=
- For employers: With a base of 20,900, the employer's pension insurance contribution is yuan per month, and for medical insurance is ,×16%=yuan per month. With a base of 5,000, the employer's pension insurance contribution is ,×8%=yuan per month, and medical insurance is ,×16%=yuan per month. Employers also have to pay significantly more when the base is 20,900.,×8%=
- Pension benefits:
- Basic pension: The basic pension is related to the average salary of the local employees in the previous year and the individual's average contribution index. A higher contribution base like 20,900 will result in a higher average contribution index. Assuming other conditions are the same, the basic pension will be higher. For example, if the formula for calculating the basic pension is . If the average salary of local employees in the previous year is 8,000 yuan, and the contribution years are 30 years. When the contribution base is 5,000, the average contribution salary is 5,000, and the basic pension is Basicpension=(Averagesalaryoflocalemployeesinthepreviousyear+Averagecontributionsalaryoftheindividual)÷×Contributionyears×1%yuan. When the contribution base is 20,900, the basic pension is (+)÷××1%=yuan.(+)÷××1%=
- Personal account pension: The personal account pension is calculated based on the accumulated amount in the personal account divided by the corresponding number of months for pension receipt. With a base of 20,900, more money is deposited into the personal account each month. For instance, if the number of months for pension receipt is 139 months. When the base is 5,000, the monthly deposit into the personal account for pension insurance is yuan. After 30 years of contribution, the total amount in the personal account is ,×8%=yuan, and the personal account pension is ××=yuan per month. When the base is 20,900, the monthly deposit into the personal account for pension insurance is ÷≈yuan. After 30 years of contribution, the total amount in the personal account is ,×8%=yuan, and the personal account pension is ××=yuan per month.÷≈
- Medical insurance account:
- The amount returned to the personal medical insurance account is usually calculated as a certain percentage of the contribution base. With a base of 20,900, more money will be returned to the personal medical insurance account. For example, if the return rate is 3%, when the base is 5,000, the monthly return amount is yuan. When the base is 20,900, the monthly return amount is ,×3%=yuan. This means that more money can be used for medical expenses in the outpatient department, pharmacy purchases, etc.,×3%=
In general, a higher social security base like 20,900 means higher contributions during the working period, but also higher pension benefits and more favorable medical insurance account returns in the future. When choosing a social security base, individuals and employers need to comprehensively consider economic affordability and future benefits.
