1. The meaning of personal account

Personal account is an endowment insurance system arrangement with the nature of savings accumulation.

in this system, through compulsory or voluntary payment, the funds are accumulated in the account established for everyone, and clearly recorded, and the insured can only withdraw when the specified events occur.

Personal account, also known as personal fund account, is an important content of the unified account combination model implemented in China's basic old-age insurance system.

this account is a lifelong personal account established by social insurance institutions at all levels for each employee participating in the basic old-age insurance according to the national citizenship number.

according to the latest regulations of our country, personal account has the following three meanings.

(1) Individual account funds are subject to compulsory individual savings payment and accumulation.

(2) The personal account belongs to individuals and does not have the function of social mutual aid. When employees are on the job, the fund management adopts the method of complete accumulation, and the pension is paid monthly after retirement.

(3) The payment of the personal account of the basic pension belongs to the limited payment type, which is closely related to the contribution of the employee to the social insurance fund and the salary.

2. Composition of personal accounts

Personal accounts are mainly composed of the following two parts:

(1) the principal paid in the current year, that is, the endowment insurance premium paid by individuals, and its scale is equivalent to 8% of the salary paid by them

(2) the principal paid in the current year and the interest generated by accumulated savings over the years.

3. Payment in personal account

Payment in personal account only occurs when the insured employee terminates the payment of endowment insurance due to retirement, death or settlement abroad.

For employees who retire according to the basic old-age insurance system for enterprise employees, the basic pension and transitional pension in their basic pensions shall be paid by the social pooling fund; Personal account pension is paid by personal account pension.

4. Inheritance of personal accounts

Article 14 of the Social Insurance Law stipulates: "Personal accounts shall not be withdrawn in advance, and the bookkeeping interest rate shall not be lower than the bank time deposit interest rate, and interest tax shall be exempted. If an individual dies, the personal account balance can be inherited. "

if an employee dies on the job or after leaving, his personal account can be inherited. If an employee dies during his/her service, the amount of inheritance shall be the principal and interest of the individual contribution in the balance of the individual account.

the employee's personal account inheritance amount is paid to the beneficiary or legal heir designated by the deceased before his death. The rest of the personal account is incorporated into the social pooling fund.