What is the highest monthly income for voluntary social insurance premiums in Vietnam from July 1, 2023? What are the assistance rates for voluntary social insurance premiums?
What is the highest monthly income for voluntary social insurance premiums in Vietnam from July 1, 2023?
Pursuant to Clause 1, Article 10 of Decree 134/2015/ND-CP on voluntary social insurance premiums as follows:
Premium
The voluntary social insurance premiums described in Clause 1, Article 87 of the Law on Social Insurance and according to the payment methods described in Clause 1, Article 9 of this Decree are specified as follows:
1. The monthly premium equals 22% of the monthly income decided by the voluntary social insurance participant.
The monthly income decided by a voluntary social insurance participant must at least equal the poverty line in rural areas as prescribed by the Prime Minister and must not exceed 20 times the statutory pay rate at the time of payment.
Accordingly, the monthly voluntary social insurance payment rate is selected by the participant, according to the following formula:
Monthly premium = 22% x Monthly income
In there:
- In case of being eligible for voluntary social insurance payment support, the monthly payment will be deducted from the State support level.
- The highest monthly income on which voluntary social insurance premiums are based is 20 times the statutory pay rate at the time of payment.
Pursuant to Decree 24/2023/ND-CP regulating statutory pay rate for officials, public employees and the armed forces. From July 1, 2023, the statutory pay rate is calculated at VND 1,800,000/month.
At the same time, based on section 2 of Official Dispatch 1927/BHXH-TST 2023 of Vietnam Social Insurance, the highest monthly income of voluntary social insurance participants is determined as follows:
2. As of July 01, 2023, participants in voluntary social insurance programs may pay voluntary social insurance premiums according to the highest monthly income of VND 36.000.000/month (VND 1.800.000/month x 20 times).
Thus, the highest monthly income on which voluntary social insurance premiums are based from July 1, 2023 is VND 36.000.000/month.
What is the highest monthly income for voluntary social insurance premiums in Vietnam from July 1, 2023? What are the assistance rates for voluntary social insurance premiums?
What are the assistance rates for voluntary social insurance premiums according to the latest regulations?
Pursuant to the provisions of Clause 1, Article 14 of Decree 134/2015/ND-CP as follows:
Assistance with social insurance premiums for voluntary social insurance participants
1. Assistance rates and persons eligible for assistance:
A voluntary social insurance participant receives the State’s assistance with premiums in percentage (%) of monthly social insurance premiums based on the poverty line in rural areas as prescribed in Clause 1, Article 10 of this Decree, to be specific:
a) 30%, for a voluntary social insurance participant who is in a poor household;
b) 25%, for a voluntary social insurance participant who is in a near-poor household;
c) 10%, for other persons.
Agencies, organizations and individuals are encouraged to provide assistance with social insurance premiums for voluntary social insurance participants.
Based on socio-economic development conditions and State budget capacity in each period, the Government shall consider adjusting the assistance rates for voluntary social insurance participants as appropriate.
Thus, the assistance rates for voluntary social insurance premiums for participants are determined according to the following ratio:
- 30%, for a voluntary social insurance participant who is in a poor household;
- 25%, for a voluntary social insurance participant who is in a near-poor household;
- 10%, for other persons.
The duration of assistance must depend on the actual period of voluntary social insurance participation of each person but must not exceed 10 years (120 months).
Based on socio-economic development conditions and state budget capacity in each period, the Government will consider adjusting the assistance rates for voluntary social insurance participants accordingly.
When is the time of payment of social insurance premiums in Vietnam?
Pursuant to Clause 1, Article 12 of Decree 134/2015/ND-CP, there are regulations on the time of voluntary social insurance payment by employees as follows:
Time of premium payment
1. The time of payment of social insurance premiums according to the methods described in Points a, b, c and d, Clause 1, Article 9 of this Decree is specified as follows:
a) Within a month, for the method of payment every month;
b) Within 03 months, for the method of payment every 03 months;
c) Within the first 04 months, for the method of payment every 06 months;
d) Within the first 07 months, for the method of payment every 12 months;
2. The time of payment of social insurance premiums in the case of lump-sum premium payments for multiple subsequent years or lump-sum premium payments for the remaining years described in Point dd and Point e, Clause 1, Article 9 of this Decree is the time of registration of the premium payment method and monthly income on which premiums are based.
3. Past the time of social insurance premium payment prescribed in Clause 1 of this Article, if a voluntary social insurance participant fails to pay social insurance premiums, he/she shall be considered having suspended paying voluntary social insurance premiums. The person who suspends the payment of voluntary social insurance premiums and then wishes to continue the payment, he/she shall re-register with social insurance agencies the payment method and monthly income on which social insurance premiums are based. In the event he/she wishes to make payment for the months he/she suspends the payment, the amount of payment equals the total premiums of the months they suspend the payment, plus an interest at the social insurance fund’s average monthly investment interest rate announced by the Vietnam Social Security in the year preceding the year of payment.
Thus, the time of paying voluntary social insurance premiums shall comply with the above provisions.
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