How long is the period of social insurance premium payment to receive pension in Vietnam? What are the levels of monthly pension?
How long is the period of social insurance premium payment of male employees to receive pension in Vietnam?
For compulsory social insurance
Article 56 of the Law on Social Insurance 2014 stipulates the monthly pension as follows:
Monthly pension
1. From the effective date of this Law to January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 54 of this Law must equal 45% of the average monthly salary on which social insurance premiums are based as prescribed in Article 62 of this Law, corresponding to 15 years of social insurance premium payment, which shall be added with 2%, for men, or 3%, for women, for each additional year of social insurance premium payment, but must not exceed 75%.
2. Since January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 54 of this Law will equal 45% of the average monthly salary on which social insurance premiums are based as prescribed in Article 62 of this Law, and correspond to the following period of social insurance premium payment:
a/ For male employees who retire in 2018, 2019, 2020 and 2021 and since 2022, it is 16 years, 17 years, 18 years, 19 years and 20 years, respectively;
b/ For female employees who retire since 2018, it is 15 years;
For employees defined at Points a and b of this Clause, the pension rate shall be added with 2% for each additional year of social insurance premium payment, but must not exceed 75%.
For voluntary social insurance
In Article 74 of the Law on Social Insurance 2014, there are also regulations on levels of monthly pension as follows:
Levels of monthly pension
1. From the effective date of this Law to January 1, 2018, the level of monthly pension for employees who fully satisfy the conditions specified in Article 73 of this Law must equal 45% of the average monthly income on which social insurance premiums are based as prescribed in Article 79 of this Law, corresponding to 15 years of social insurance premium payment, which shall then be added with 2% for men and 3% for women for each additional year of social insurance premium payment, but must not exceed 75%.
2. Since January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 73 of this Law must equal 45% of the average monthly income on which social insurance premium are based as provided in Article 79 of this Law, and correspond to the following number of years of social insurance premium payment:
a/ For male employees who retire in 2018, 2019, 2020 and 2021 and in 2022 and afterward, it is 16 years, 17, years, 18 years, 19 years and 20 years, respectively;
b/ For female employees who retire in 2018 and afterward, it is 15 years. Then, for employees defined at Points a and b of this Clause, the monthly pension shall be added with 2% for every additional year, but must not exceed 75%.
3. The adjustment of pension must comply with Article 57 of this Law.
Based on the above regulations, the highest monthly pension for male employees participating in social insurance (including cases of participating in compulsory social insurance and voluntary social insurance) is 75%.
For male workers, to enjoy a minimum pension of 45%, they need to pay 20 years of social insurance. After that, for each year of social insurance payment, the employee's pension is calculated by 2%, and the maximum level is 75%.
How long is the period of social insurance premium payment to receive pension in Vietnam? What are the levels of monthly pension?
How long is the period of social insurance premium payment of female employees to receive pension in Vietnam?
For compulsory social insurance
Article 56 of the Law on Social Insurance 2014 stipulates the monthly pension as follows:
Monthly pension
1. From the effective date of this Law to January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 54 of this Law must equal 45% of the average monthly salary on which social insurance premiums are based as prescribed in Article 62 of this Law, corresponding to 15 years of social insurance premium payment, which shall be added with 2%, for men, or 3%, for women, for each additional year of social insurance premium payment, but must not exceed 75%.
2. Since January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 54 of this Law will equal 45% of the average monthly salary on which social insurance premiums are based as prescribed in Article 62 of this Law, and correspond to the following period of social insurance premium payment:
a/ For male employees who retire in 2018, 2019, 2020 and 2021 and since 2022, it is 16 years, 17 years, 18 years, 19 years and 20 years, respectively;
b/ For female employees who retire since 2018, it is 15 years;
For employees defined at Points a and b of this Clause, the pension rate shall be added with 2% for each additional year of social insurance premium payment, but must not exceed 75%.
For voluntary social insurance
In Article 74 of the Law on Social Insurance 2014, there are also regulations on levels of monthly pension as follows:
Levels of monthly pension
1. From the effective date of this Law to January 1, 2018, the level of monthly pension for employees who fully satisfy the conditions specified in Article 73 of this Law must equal 45% of the average monthly income on which social insurance premiums are based as prescribed in Article 79 of this Law, corresponding to 15 years of social insurance premium payment, which shall then be added with 2% for men and 3% for women for each additional year of social insurance premium payment, but must not exceed 75%.
2. Since January 1, 2018, the monthly pension of employees who fully satisfy the conditions specified in Article 73 of this Law must equal 45% of the average monthly income on which social insurance premium are based as provided in Article 79 of this Law, and correspond to the following number of years of social insurance premium payment:
a/ For male employees who retire in 2018, 2019, 2020 and 2021 and in 2022 and afterward, it is 16 years, 17, years, 18 years, 19 years and 20 years, respectively;
b/ For female employees who retire in 2018 and afterward, it is 15 years. Then, for employees defined at Points a and b of this Clause, the monthly pension shall be added with 2% for every additional year, but must not exceed 75%.
3. The adjustment of pension must comply with Article 57 of this Law.
Based on the above regulations, the highest monthly pension for female employees participating in social insurance (including cases of participating in compulsory social insurance and voluntary social insurance) is 75 %.
To enjoy a minimum pension of 45%, you need to pay 15 years of social insurance. After that, for each year of social insurance payment, the employee's pension is calculated by 2%, and the maximum level is 75%.
Vietnam: What are the levels of monthly pension for employees who have paid social insurance for at least 20 years?
Pursuant to Article 73 of the Law on Social Insurance 2014 as amended by Point c, Clause 1, Article 219 of the Labor Code 2019, it is stipulated:
Conditions for pension enjoyment
1. A worker will receive retirement pension when he/she:
a) reaches the retirement age specified in Clause 2 Article 169 of the Labor Code; and
b) has paid social insurance for at least 20 years.
2. Employees who satisfy the age requirement specified at Point a, Clause 1 of this Article but have paid social insurance premiums for under 20 years may continue paying social insurance premiums until the payment period reaches full 20 years in order to enjoy pension.
Thus, if an employee reaches the retirement age prescribed in the Labor Code 2019 and has paid social insurance for at least 20 years, it will be calculated as follows:
- For male workers, paying social insurance for 20 years, the pension rate is 45%.
- For female workers, paying social insurance for 15 years, the pension rate is 45%. From the 16th year to the 20th year is 5 years, an additional 10% is calculated. The total pension rate is 55%.
LawNet
