Deadline for Monthly Mandatory Social Insurance Payments
What is the deadline for the monthly mandatory social insurance payment?
What is the deadline for the monthly mandatory social insurance payment?
What is the Maximum Mandatory Social Insurance Contribution for 2024?
Based on Clause 1, Article 85 of the Law on Social Insurance 2014, the provisions are as follows:
Article 85. Contribution Rate and Method of Contribution for Employees Participating in Mandatory Social Insurance
- Employees specified at Points a, b, c, d, dd, and h, Clause 1, Article 2 of this Law shall contribute 8% of their monthly salary to the retirement and survivors' fund on a monthly basis.
Employees specified at Point i, Clause 1, Article 2 of this Law shall contribute 8% of the statutory pay rate to the retirement and survivors' fund on a monthly basis.
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According to Clause 3, Article 89 of the Law on Social Insurance 2014, the provisions are as follows:
Article 89. Monthly Salary as the Basis for Mandatory Social Insurance Contributions
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- In cases where the monthly salary defined in Clauses 1 and 2 of this Article exceeds 20 times the statutory pay rate, the social insurance contribution shall be based on a salary equal to 20 times the statutory pay rate.
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According to Article 3 of Decree 73/2024/ND-CP, the statutory pay rate is stipulated as 2,340,000 VND/month.
Therefore, the maximum mandatory social insurance contribution for 2024 is:
Maximum Mandatory Social Insurance Contribution = 8% x Maximum Monthly Salary for Social Insurance = 8% x 46,800,000 = 3,744,000 VND/month
Deadline for monthly mandatory social insurance payments (Image from the Internet)
When is the Deadline for Monthly Mandatory Social Insurance Payments?
Based on Article 7 of the Procedures for Collecting Social Insurance, Health Insurance, Unemployment Insurance, Occupational Accident and Disease Insurance; and Managing Social Insurance Books, Health Insurance Cards issued together with Decision 595/QD-BHXH in 2017, which is amended by Clause 13, Article 1 of Decision 505/QD-BHXH in 2020, the provisions are as follows:
Article 7. Methods of Contribution as Prescribed in Articles 85, 86 of the Law on Social Insurance and Guiding Documents. Specifically:
- Monthly Contribution
Every month, no later than the last day of the month, the unit must deduct the mandatory social insurance contributions from the monthly salary fund of employees participating in mandatory social insurance, and simultaneously deduct from the monthly salary the mandatory social insurance contributions of each employee as prescribed, and transfer these amounts at once into the dedicated account of the social insurance agency opened at a bank or the State Treasury.
- Units such as enterprises, cooperatives, individual business households, and production cooperation groups in the fields of agriculture, forestry, fishery, and salt-making that pay salaries by product or contract, shall register a payment method of 03 or 06 months at a time with the social insurance agency; the social insurance agency shall cooperate with the labor agency to inspect the units before deciding on their payment method. No later than the last day of the registered payment method, the unit must transfer the full amount into the social insurance fund.
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Therefore, the deadline for monthly mandatory social insurance payments is no later than the last day of the month.
When Must Temporary Suspension of Mandatory Social Insurance Contributions Occur?
According to Article 88 of the Law on Social Insurance 2014 which regulates the temporary suspension of mandatory social insurance contributions, the specifics are as follows:
Article 88. Temporary Suspension of Mandatory Social Insurance Contributions
- Temporary suspension of contributions to the retirement and survivors' fund is regulated as follows:
a) In cases where the employer encounters difficulties and must temporarily suspend production or business activities, leading to the inability to contribute to social insurance for both the employee and the employer, contributions to the retirement and survivors' fund may be temporarily suspended for a maximum period of 12 months;
b) Upon the expiry of the suspension period stipulated at Point a of this Clause, the employer and employee shall resume social insurance contributions and cover for the suspended period. The back payments shall not incur late payment interest according to Clause 3, Article 122 of this Law.
- Employees participating in mandatory social insurance who are temporarily detained shall be allowed to temporarily suspend social insurance contributions. If it is determined by a competent authority that the employee was wrongfully detained, social insurance contributions shall be made for the period of detention. The back payments shall not incur late payment interest according to Clause 3, Article 122 of this Law.
- The Government of Vietnam shall detail this Article and other cases of temporary suspension of mandatory social insurance contributions.
The temporary suspension of mandatory social insurance contributions occurs when:
- The employer encounters difficulties and must temporarily suspend production or business activities, leading to the inability to contribute to social insurance for both the employee and the employer for a period not exceeding 12 months.
Upon the expiry of the suspension period, the employer and employee shall resume social insurance contributions and make back payments for the suspended period. The back payments shall not incur late payment interest as specified in Clause 3, Article 122 of the Law on Social Insurance 2014.
- Employees participating in mandatory social insurance who are temporarily detained shall be allowed to temporarily suspend social insurance contributions.
If it is determined by a competent authority that the employee was wrongfully detained, social insurance contributions shall be made for the period of detention. The back payments shall not incur late payment interest as specified in Clause 3, Article 122 of the Law on Social Insurance 2014.
