Roles Of Age In The Individual Account Pension Of China: An Applied Actuarial Model Analysis

The pension benefit is a key point to social security system. UndeT the tTend of population aging, more attention should be paid to the pension burden of old ages.Now days, limited attentions are paid on pension study based on the age factor through Actuarial Model Analysis. More studies focus on the macroscopic fundamental research, the frame system qualitative analysis and the design. In this article, age factor is introduced as basic factor on the individual account pension pays. It is a specific angle to determine the pension payment of actual retirement age situation in our country. Here, "the age factor" is mainly refers to two big aspects: the age when starting to work and age when to retire, both of which will take the key point to the actual retirement age on research.Several proper actuarial models are tested to identify age effects with actuarial models, as insurance actuarial theory is the foundation of the social security system. According to the concrete condition in China, we constructs the actuarial model of the individual account system, and finally present a practical example to explain the impacts of different retire ages on individual account in this paper.Taking age as a variable, this article, choosing from 18 to 26 year old as initial work age, and 45 to 65 year old as actual retirement age, draws a conclusion that the amount of individual account pension pays by the actuarial model and the data of the whole the occupation life table in 1990 under the determination condition. The effects of the initial work age, the present legal retirement age, and the early -retire in the actual retirement age on the individual account pays are evaluated mathematically. And more, individual account pension of male and female workers under different retire ages are also calculated.Some practical strategies are proposed in the paper. The annuity way to pay individual account pension, gradual enhancement of the retirement age, as well as controlling unusual early retirement would be benefit to the building of an elastic retirement system.