The so-called overall planning is to plan the collection, management and use of endowment insurance funds in a certain range. The overall planning area is responsible for the balance of the endowment insurance fund in this area, and the balance is mainly dominated and used by this overall planning area. The gap generally needs to be filled by the government at the same level and the finance at the same level. At present, China's endowment insurance is a provincial overall plan.

The significance of overall planning:

At present, China's old-age insurance model is a combination of social pooling and personal account, with the social pooling part implementing the pay-as-you-go system and the personal account part implementing the fund accumulation system. The premiums paid by the insured and enterprises for the social pooling part are not used for personal accumulation, but mainly used for issuing pensions for retired people; Similarly, the social pooling pension received by the insured after retirement does not come from the premiums paid by himself before, but from the premiums paid by working young people.

In other words, the funds in the personal account belong to the insured individuals, while the funds in the social pooling part belong to all the insured persons in the overall planning area. Therefore, when the pension insurance relationship is transferred across the overall planning areas, the funds in the personal account can be transferred smoothly or taken out at one time, while the social overall planning part cannot be transferred.

Therefore, it can be said that the overall planning of a certain area is directly related to how much pension the retired workers in this area can receive.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.