The interest standard for employee personal accounts in 2022 is 4.5%.

Interest on the deposit amount of a basic pension insurance personal account is calculated based on the pension fund's value preservation rate. The pension fund's value preservation rate is determined based on the bank's resident time deposit interest rate and with reference to the average wage growth rate of local employees in the previous year.

Characteristics of Interest on Employee Personal Accounts The State Council’s decision on improving the basic pension insurance system for enterprise employees stipulates that personal accounts for basic pension insurance must be gradually implemented. The state formulates personal account fund management and investment operation methods to maintain and increase value. According to this provision, personal accounts must be

After implementation, the actual interest rate shall be determined based on the return on investment.

In practice, if the personal account is not consolidated, the accounting interest rate is generally determined with reference to factors such as the average employee salary growth rate, price index, etc., which vary from place to place. If the personal account is consolidated, it is determined based on the return on investment, and personal accounts are not allowed to be withdrawn in advance.

The bookkeeping interest rate shall not be lower than the bank time deposit interest rate, and the balance of the personal account of an individual who is exempt from interest tax upon death can be inherited.