The Applicability Study Of The Notional Defined Contribution For The Chinese Town Worker Endowment Insurance

China town worker endowment insurance system of the combination of The social pooling and individual account worked nearly20years, compared to pay-as-you-go, it reflects the certain mutual benefit, also has the function of encourage worker to attend endowment insurance, it embodies the effective combination of fairness and efficiency.But in the process of implementing the system also have some problems such as the pressure pension payments, large number of outstanding transition costs, unclear property rights and individual account "empty account" and so on. because China’s capital market is not mature at the same time, lead to the real personal accounts funds also difficult to achieve their value. Although the Chinese government to adjust the system model for several times, but did not fundamentally solve these problems. With the arrival of the peak of an aging population, the pension payment pressures will be increased in the future, The problems of the China town worker endowment insurance system need to be settled as soon as possible.Based on the analysis of problems of china town worker endowment insurance, analysis of the characteristics of the notional defined contribution (NDC)system and the operating experience in international pointed out that NDC as a new model of old-age insurance system is beneficial to solve the problems existing in the China town worker endowment insurance. in turn, through the establishment of endowment insurance actuarial model balance,analyzing and comparing the NDC system with the current combination system in future pension payments, the result shows that although the NDC can alleviate the pressure of the pension payment to some extent, but in the long term it can not solve the problem of endowment insurance fund gap. Then the article also from the perspective of transition cost, fund safety and other aspects in detail to analyze the NDC applicability of the town worker endowment insurance in China, also points out that the transformation into NDC system reform, as well as exits some constraints, propose the relevant system design in the process of transformation, and finally this paper concluded that the NDC can be used as a transitional system arrangement in China, as the development of china’s economy, population and the capital and other environment mature to fully funded pattern transformation, and puts forward in the process of the NDC system running, there also need other policies such as fiscal, the national social security fund, delay retirement supplement as well as the relevant laws and regulations to solve the problems existing in the China town worker endowment insurance, in order to promote the sustainable and healthy development of the China town worker endowment insurance system.