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Experts in the labor field believe that it is necessary to increase the one-time pension benefit for those who have paid more social insurance than the maximum pension amount.
According to current regulations, in Article 58 of the 2014 Law on Social Insurance, employees who have a mandatory social insurance payment period higher than the number of years corresponding to the pension rate of 75% upon retirement, in addition to the pension, are also entitled to a one-time allowance.
The one-time subsidy is calculated based on the number of years of social insurance contributions higher than the number of years corresponding to the pension rate of 75%. Each year of social insurance contributions is calculated as 0.5 months of the average salary for social insurance contributions.
For voluntary social insurance participants, Article 75 of the 2014 Social Insurance Law stipulates: Employees whose social insurance payment period is longer than the number of years corresponding to the pension rate of 75%, upon retirement, in addition to the pension, are also entitled to a one-time allowance.
The one-time subsidy is calculated based on the number of years of social insurance contributions higher than the number of years corresponding to the pension rate of 75%. For each year of social insurance contributions, it is calculated as 0.5 months of the average monthly income of social insurance contributions.
Note, in case the social insurance contribution is higher than the number of years corresponding to the pension rate of 75%, odd months are calculated as follows: From 1 to 6 months are counted as half a year, from 7 to 11 months are counted as one year.
To encourage employees to continue working and paying social insurance after retirement, in the draft Law on Social Insurance (amended), the Government proposed: The one-time subsidy is calculated based on the number of years of social insurance contributions, higher than the number of years corresponding to the pension rate of 75%, each year of social insurance contributions is calculated at 0.5 times the average salary used as the basis for social insurance contributions.
In the case of employees who have met the conditions for receiving pension according to regulations but continue to pay social insurance, the one-time subsidy for each year of social insurance payment is higher than the number of years corresponding to the pension rate calculated by 2 times the average salary used as the basis for social insurance payment.
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