Under certain conditions, the insured can get fixed income or loss compensation from the fund, which is a redistribution system, and its goal is to ensure the reproduction of material and labor and social stability.
Expand data. Local social security payment bases are linked to local average wage data. It is determined according to the average monthly wage income of employees from June 1 day to February 1 day in the previous year. Once a year, it will not change within one year after confirmation. The time to apply for adjusting the social security base is generally in July.
Enterprises generally take the total wages of enterprise employees as the payment base, and individual employees take half of their average monthly salary in the previous year as the salary base for individuals to pay social insurance premiums. In China, the payment base is approved by the social insurance agency according to the employer's declaration.
Reference: Pension: Baidu Encyclopedia-Social Insurance