Enterprise annuity is an important supplement to the national basic old-age insurance, and it is the "second pillar" to improve the old-age insurance system for urban workers in China (consisting of basic old-age insurance, enterprise annuity and personal savings old-age insurance). In countries with modern social insurance system, enterprise annuity has become a common supplementary pension plan for enterprises, also known as "enterprise annuity plan" or "occupational annuity plan", and has become an important part of the old-age insurance system in the host country. The enterprise annuity is funded by the enterprise or raised by the enterprise and the employee according to the agreed proportion, and is included in the employee's personal account and accumulated in full. Income from investment and operation of the enterprise annuity fund is incorporated into the enterprise annuity, and is included in the personal account in proportion according to the principal of the individual account of the employee enterprise annuity. Conditions for employees to participate in the enterprise annuity plan:
(1) Having entered into a labor contract with this unit and the probation period has expired;
(two) to participate in the basic old-age insurance for enterprise employees and fulfill the obligation of payment.
Legal basis: People's Republic of China (PRC) Social Insurance Law.
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.
Thirteenth employees of state-owned enterprises and institutions to participate in the basic old-age insurance, the basic old-age insurance premiums payable during the payment period shall be borne by the government. When the basic old-age insurance fund is insufficient to pay, the government gives subsidies.