China's social insurance fund-raising method implements partial accumulation system, that is, the combination of pay-as-you-go system and complete accumulation system. According to the relevant regulations, China's social insurance funds are raised by local tax authorities or social insurance agencies in the form of social insurance premiums, which puts forward clear requirements for different account setting and management when raising funds under different collection forms. It mainly includes two accounts: income household and financial special account. The former is managed by organs, while the latter is managed by local financial departments. In areas where social insurance premiums are collected by agencies, the agencies shall set up temporary payment income of income households, units and individuals and the resulting interest income, and transfer them to financial accounts on a regular or fixed basis; In areas where the tax authorities collect social insurance premiums, there are no income households, and the payment income is directly deposited in the financial special account. As far as financing is concerned, the main purpose of the financial special account is to accept the social insurance premium income collected by the tax authorities or social insurance agencies and the financial subsidy income allocated by the financial department.

In most areas of our country, the social security mode of combining social pooling with individual accounts has been implemented, and the social pooling has implemented the pay-as-you-go system to pay the pensions of retired elderly people. However, because these people have no personal accumulation, the social pooling fund is making up for this gap. With the aging of the population becoming more and more serious, this part of the gap is getting bigger and bigger, and the social pooling fund can't make ends meet, which encroaches on the funds in personal accounts and makes personal accounts empty. Therefore, it bears a heavy burden.

Social insurance fund refers to a special fund for paying social insurance benefits, which the state requires the whole society to establish through legislation in order to ensure a reliable financial guarantee for social insurance. Assets purchased with such funds and their value-added parts also belong to the scope of social insurance funds.

Social insurance fund is a fund raised by the state for holding social insurance undertakings, which is used to pay insurance benefits and allowances enjoyed by workers due to temporary or permanent loss of working ability or job opportunities. The social insurance fund shall determine the source of funds according to the types of insurance and gradually implement social pooling. Employers and workers must participate in social insurance and pay social insurance premiums according to law.

Legal basis:

People's Republic of China (PRC) social insurance law

Article 64 Social insurance funds include basic old-age insurance funds, basic medical insurance funds, industrial injury insurance funds, unemployment insurance funds and maternity insurance funds. In addition to the basic medical insurance fund and maternity insurance fund combined accounting, other social insurance funds are accounted for separately according to social insurance types. Social insurance funds implement a unified accounting system throughout the country.

The social insurance fund is earmarked for special purposes, and no organization or individual may occupy or misappropriate it.

The basic old-age insurance fund will gradually implement national overall planning, and other social insurance funds will gradually implement provincial overall planning. The specific time and steps shall be stipulated by the State Council.