There are three modes of raising endowment insurance funds: one is pay-as-you-go system, the other is fund accumulation system, and the third is partial accumulation system combining pay-as-you-go system and fund accumulation system. Pay-as-you-go system means that from the perspective of the whole society, today's contributions are used for the pension, unemployment and medical needs of today's social security. Pay-as-you-go system is actually a static equilibrium mode. Fund accumulation system, also known as personal account system, refers to that when members of society have the ability to work, they will take out part of the wealth created by participating in economic activities in accordance with the requirements of the law to accumulate reserve funds for their future retirement pension funds, medical security and unemployment. The insurance premium paid by social members during their employment is closely related to the pension benefits they enjoy after retirement. Partial accumulation mode is a kind of endowment insurance financing mode between pay-as-you-go and complete accumulation. It has the advantages of two modes, but at the same time it avoids the disadvantages of the two modes, which is why it is valued.

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.

Derivative problem:

Old-age insurance can only be collected if you pay enough teenagers? Individuals who participate in the basic old-age insurance will receive the basic old-age pension on a monthly basis if they have paid a total of fifteen years when they reach the statutory retirement age. Individuals who participate in the basic old-age insurance and pay less than fifteen years when they reach the statutory retirement age can pay for fifteen years and receive the basic pension on a monthly basis; Can also be transferred to the new rural social endowment insurance or urban residents' social endowment insurance, enjoy the corresponding pension insurance benefits in accordance with the provisions of the State Council.