Social Insurance Card in China
In China, there is a mandatory social insurance system, according to which the employer (even WFOE) and the employee must make contributions to: (enterprise/employee)
– pension insurance (20% and 8%)
– basic health insurance (10% and 2%)
– unemployment insurance (1% and 0.2%)
– insurance against occupational injuries (0.5-1.5% and 0%)
– maternity insurance (0.85% and 0%)
– contributions to the housing savings fund (12% and 12%)
The percentages vary from city to city.
A simple example:
If your salary is. 10,000 yuan before taxes, then:
The company pays: 20+10+1+1+0,85%=3285 yuan
You pay: 8+2+0,2 %=1020 yuan
The housing savings fund is considered separately. But foreigners may not pay it!!!
According to Guangzhou, the sign is here:
And now let’s figure out what the money is for?
Social Insurance Card in China 医保卡 or 社会保障卡
If you work in China officially, you must receive this card within 30 days from the date of employment. If the employer does not want to deduct %, it is illegal!
The card became available to foreigners on July 1, 2011.
You can get a card at the bank branch where you have an account. Your social security number in China will be shown on the card. Before that, you need to register with a social security institution. insurance (人力资源和社会保障局 (Department of Human Resources and Social Security), providing a package of documents:
– passport
– work permit for a foreigner
– employment contract
What are the responsibilities of the cardholder?
When receiving an official salary in China, employees must also pay taxes on it themselves, as well as transfer part of the money to this card. The amount of payments depends on the size of the salary (above in the article).
What does the card give you?
– your children can attend the state kit school for free
– If you pay contributions for 15 years, then you are entitled to a pension in China (even if you are a foreigner) upon reaching retirement age.
– discounts in pharmacies (not all), hospitals (not all) for services.
X-rays, ultrasounds, blood tests and other services are often free of charge.
Discount from 10 to 80% percent. It depends on the duration of payment to the funds and on the employer. After a certain number of years, an employee has the right to preferential medical care without having to pay extra.
It was written above about 6 funds. So, the number of buns directly depends on the duration of payment to these funds. Pay longer – more buns and discounts, up to 100%.
It is also worth noting that if you have worked in China and are going to leave, you can take part of your savings by writing an application.
Also a social security card. insurance is available in electronic form, linked to Alipay (this feature was launched a year ago).
Author – Aleksandr Iurlov
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With respect,
Russian Club Guangzhou
club@russianguangzhou.com
Wechat id: russianguangzhou