Based on the 2018 and 2021 China Comprehensive Social Survey (CGSS) data, this article uses Ordered probit and Ordered logit models to empirically analyze the impact of urban and rural basic pension insurance on the subjective well-being of the elderly. The research results show that participation in urban and rural basic pension insurance has a significant positive impact on improving the subjective well-being of the elderly; this impact, via heterogeneity analysis, is particularly significant among those people under 80 years old, with lower self-rated health, living in the western region, with two or fewer children, without spouse, and with lower income. The robustness of the research results was verified by using propensity score matching method and variable changing method. Based on the research results of this article, it is recommended that the government continue to promote the implementation and dynamic adjustment of urban and rural basic pension insurance policies, increase attention and support for vulnerable groups and the western region, promote the healthy development of the elderly care industry, strengthen spiritual civilization construction and medical construction, deeply explore the elderly care model that combines medical care and elderly care, and comprehensively improve the subjective welfare of the elderly.