With the development of global economic integration and aging population, the pay-as-you-go model is facing more and more challenges, while the complete accumulation model cannot reflect the principle of risk because it does not have the characteristics of redistribution, and cannot become the main development model of social security.
The partial accumulation model has the advantages of both models and avoids the main defects of the two models, which is the mainstream trend of social security system development in the future.
Characteristics of social security fund
The composition of social security funds comes from the funds formed by various components of the social security system, including social insurance funds, social assistance funds, social welfare funds and social special care funds. The social insurance fund consists of endowment insurance fund, medical insurance fund, unemployment insurance fund, work injury insurance fund and maternity insurance fund.
Social security fund is a special fund formed through the distribution and redistribution of national income. The funds used for the basic livelihood of social members in national income are social security funds. Specifically, social security fund refers to monetary funds established in various ways for specific purposes through legal procedures for the implementation of various social security systems.