Personal Account In The Process Of Pension Reform Study

The core question among the problems of our pension insurance reform is individual account. The problems of how to turn the "empty account" into the "real account", how to improve the level of management and incomes of person accounts, have influenced on the pension insurance reform and become urgent. The complicate situations of our country require that we should be careful for the reform of pension insurance, consider both the huge implicit pension debt and the potential hazard of the present model of pension insurance. The pension reform is to keep the social stable.Based on the research result we have achieved, the paper explain the reasons of the shift from pay-as-you-go system to financial defined contribution by means of comparative study and tries to explore the reasons as study the results of different pension insurance system. We search for the measurs for our pension reform by analysis the true cases and introduce viewpoint as follow:1. The combination of social pool and individual account (IA) is fit for our country situation. As the population aging, huge implicit pension debt caused by transformation, individual account became empty account. The pension insurance system faces huge risk.2. Using present economic condition, population benefit, the advantage of Non-financial Defined Contribution (NDC), pension insurance practice NDC and in the end transfer to the model—combination of social pool and individual account after 8 to 10 years.3. When we design the NDC, we should consider our self-financial condition. Considering the gained-benefit, we should take the individual account which set up at 1997 as the base of NDC. Reserve Found should be set up for the safety of the NDC. We should take the advantage of NDC to decrease the rate of return.4. During 8-10 years of NDC in future, our department clear-out the responsibilities of enterprise, individual and nation by legislation, enlarge the scale of pension insurance, establish the unite pension insurance around country, solve the implicit pension debt step by step, improve and enhance the level of administration and supervision of pension insure.As most of researchers advocate enforcement financial defined contribution at once, we propose that using present economic condition, population benefit, the advantage of NDC, pension insurance should perform NDC and transit to the model-combination of social pool and individual account after 8 to 10 years; solve the implicit pension debt, establish and consummate the investment, management and supervision of pension insure step by step. We advocate that the pension reform develope gradually. On the one side, we could solve the burden of implicit pension debt, on the other side, the reform of pension insurance process can accumulate the experience of management in individual account.