Vietnam: From July 1, 2025, shall employees who have paid social insurance premiums for 15 years be eligible for pension according to the Law on Social Insurance 2024?
From July 1, 2025, shall employees who have paid social insurance premiums for 15 years in Vietnam be eligible for pension according to the Law on Social Insurance 2024?
Article 64 of the Law on Social Insurance 2024 stipulates the eligible persons and eligibility requirements for receiving pensions, including the provision on payment of social insurance premiums for 15 years as follows:
Eligible persons and eligibility requirements for receiving a pension
1. The persons stipulated in points a, b, c, g, h, i, k, l, m, and n of Clause 1 and Clause 2 of Article 2 of this Law, upon termination of employment, having paid compulsory social insurance for 15 years or more, will be eligible for pension if they fall under one of the following cases:
a) They reach the retirement age as stipulated in Clause 2 of Article 169 of the Labor Code;
b) They reach the retirement age as stipulated in Clause 3 of Article 169 of the Labor Code and have paid compulsory social insurance premiums for 15 years or more while working in heavy, toxic, dangerous jobs or particularly heavy, toxic, dangerous jobs listed by the Minister of Labor - Invalids, and Social Affairs or working in regions with particularly difficult socio-economic conditions, including the period of working in areas with a regional allowance coefficient of 0.7 or more before January 1, 2021;
c) They are at most 10 years younger than the age specified in Clause 2 of Article 169 of the Labor Code and have worked for 15 years or more in underground coal mining jobs according to the regulations of the Government of Vietnam;
d) They are infected with HIV/AIDS due to occupational accidents in the course of performing their assigned tasks.
2. The persons stipulated in points d, dd, and e of Clause 1 of Article 2 of this Law, upon termination of employment, having paid compulsory social insurance for 15 years or more, will be eligible for pensions if they fall under one of the following cases:
a) They are at most 5 years younger than the age specified in Clause 2 of Article 169 of the Labor Code, except as otherwise provided by the Law on Vietnamese People's Army Officers, the Law on People's Public Security, the Law on Cryptography, and the Law on Professional Soldiers and Defense Employees;
b) They are at most 10 years younger than the age specified in Clause 2 of Article 169 of the Labor Code and have paid compulsory social insurance for 15 years or more while working in heavy, toxic, dangerous jobs, or particularly heavy, toxic, dangerous jobs listed by the Minister of Labor - Invalids, and Social Affairs or working in regions with particularly difficult socio-economic conditions, including the period of working in areas with a regional allowance coefficient of 0.7 or more before January 1, 2021;
c) They are infected with HIV/AIDS due to occupational accidents in the course of performing their assigned tasks.
3. The Government of Vietnam stipulates the pension benefits for cases where the date of birth is not determined, missing documents, and other special cases.
Thus, based on the above regulations, employees who meet the retirement age conditions stated above and have paid social insurance premiums for 15 years will receive a monthly pension.
From July 1, 2025, shall employees who have paid social insurance premiums for 15 years in Vietnam be eligible for pension according to the Law on Social Insurance 2024?
What is the monthly pension in Vietnam?
Article 66 Law on Social Insurance 2024 stipulates the monthly pension as follows:
(1) The monthly pension for persons who qualify under Article 64 Law on Social Insurance 2024 is calculated as follows:
- For female workers, equal to 45% of the average monthly salary used as the basis for social insurance premium payment stipulated in Article 72 Law on Social Insurance 2024 for the corresponding 15 years of paying social insurance. For each additional year paid, add 2%, with a maximum of 75%;
- For male workers, equal to 45% of the average monthly salary used as the basis for social insurance premium payment stipulated in Article 72 Law on Social Insurance 2024 for the corresponding 20 years of paying social insurance. For each additional year paid, add 2%, with a maximum of 75%.
In the case of male workers having paid social insurance for 15 years to less than 20 years, the monthly pension is 40% of the average monthly salary used as the basis for social insurance premium payment stipulated in Article 72 Law on Social Insurance 2024 for the corresponding 15 years of paying social insurance. For each additional year paid, add 1%.
(2) The monthly pension for persons who are workers under special specific jobs in the people's armed forces as stipulated by the Government of Vietnam. The funding source is from the state budget.
(3) The monthly pension for persons who qualify under Article 65 Law on Social Insurance 2024 is calculated as stipulated in (1). For each year of early retirement, a 2% reduction applies.
In cases of early retirement under 6 months, there is no reduction in the percentage rate of pension, from 6 months to under 12 months, the reduction is 1%.
(4) The calculation of the monthly pension for workers who are eligible for pension benefits but have paid social insurance under international treaties of which the Socialist Republic of Vietnam is a member but have paid social insurance in Vietnam for less than 15 years, each year paid in this period is calculated at 2.25% of the average monthly salary used as the basis for social insurance premium payment stipulated in Article 72 Law on Social Insurance 2024.
The Government of Vietnam stipulates in detail the pension benefits and conditions for pension eligibility.
When is the time for receiving pension in Vietnam?
Article 69 Law on Social Insurance 2024 stipulates the time for receiving pension as follows:
- The time for receiving pension for persons stipulated in points a, b, c, d, dd, e, i, k, and l of Clause 1 and Clause 2 of Article 2 of the Law on Social Insurance 2024 who are participating in compulsory social insurance is the time they meet the eligibility requirements for receiving a pension as stipulated and as stated in the document from the employer confirming the termination of the labor contract or confirming the termination of work.
- The time for receiving pension for persons stipulated in points g, h, m, and n of Clause 1 of Article 2 Law on Social Insurance 2024 and those preserving their social insurance payment period is the time they meet the eligibility requirements for receiving a pension as stipulated and as stated in the request document from the worker.
- The Minister of Labor - Invalids, and Social Affairs stipulates in detail Article 69 Law on Social Insurance 2024, stipulating the time for receiving pension for cases stipulated in Clause 7 of Article 33 Law on Social Insurance 2024; the calculation and determination of eligibility requirements for receiving a pension for each case to resolve pension benefits.
Law on Social Insurance 2024 takes effect on July 1, 2025.
LawNet