When is the time for people participating in voluntary social insurance to receive their pensions in Vietnam?

When is the time for people participating in voluntary social insurance to receive their pensions in Vietnam?

Pursuant to Article 76 of the Law on Social Insurance in 2014 stipulating time for pension enjoyment as follows:

Time for pension enjoyment

1. The subjects defined in Article 72 of this Law are entitled to receive pension from the month following the month when they fully satisfy the conditions for pension enjoyment specified in Article 73 of this Law.

2. The Minister of Labor, Invalids, and Social Affairs shall detail this Article.

As regulations above, people participating in voluntary social insurance to receive their pensions in Vietnam are entitled to receive pension from the month following the month when they fully satisfy the conditions for pension enjoyment.

How many years of voluntary social insurance do I need to pay to receive a pension?

Based on Article 76 of the Law on Social Insurance in 2014 (amended by Point c, Clause 1, Article 219 of the Labor Code in 2019), the conditions for receiving a pension are as follows:

Conditions for receiving a pension

A worker is entitled to a pension if they meet all of the following conditions:

a) Reach the retirement age as prescribed in Clause 2, Article 169 of the Labor Code;

b) Have at least 20 years of social insurance contributions.

A worker who meets the age requirement as prescribed in Point a, Clause 1 of this Article but has not yet completed 20 years of social insurance contributions may continue to contribute until they have completed 20 years in order to receive a pension.

Therefore, voluntary social insurance participants with at least 20 years of social insurance contributions are entitled to a pension.

In the case of a worker who has met the retirement age requirement as prescribed but has not yet completed 20 years of social insurance contributions, they may continue to contribute until they have completed 20 years in order to receive a pension.

Note: In addition to the requirement for the length of time participating in social insurance, workers must also meet the age requirement under labor law in order to be eligible for a pension.

How much is the monthly pension for people participating in voluntary social insurance in Vietnam?

According to Article 74 of the Law on Social Insurance in 2014, the monthly pension for people participating in voluntary social insurance is calculated as follows:

Monthly pension amount

1. From the effective date of this Law until before January 1, 2018, the monthly pension amount of a worker who meets the requirements prescribed in Article 73 of this Law is calculated at 45% of the average monthly salary paid into social insurance as prescribed in Article 79 of this Law, corresponding to 15 years of social insurance contributions; after that, for each additional year, 2% is added for men and 3% for women; the maximum is 75%.

2. From January 1, 2018, the monthly pension amount of a worker who meets the requirements prescribed in Article 73 of this Law is calculated at 45% of the average monthly salary paid into social insurance as prescribed in Article 79 of this Law and corresponds to the number of years of social insurance contributions as follows:

a) Men who retire in 2018 are 16 years, 17 years in 2019, 18 years in 2020, 19 years in 2021, and 20 years from 2022 onwards;

b) Women who retire from 2018 onwards are 15 years.

After that, for each additional year, workers specified in points a and b of this paragraph are calculated at an additional 2%; the maximum is 75%.

3. The adjustment of pensions shall be carried out in accordance with the provisions of Article 57 of this Law.

Therefore, the monthly pension amount for people participating in voluntary social insurance is currently as follows:

- The monthly pension amount of a worker who meets the eligibility requirements for a pension is calculated at 45% of the average monthly salary paid into social insurance and corresponds to the number of years of social insurance contributions as follows:

+ Men who retire from 2022 onwards are 20 years;

+ Women who retire from 2018 onwards are 15 years.

Note: After that, 2% is added for each additional year; the maximum is 75%.

- The Government shall regulate the adjustment of pensions based on the increase in the consumer price index and economic growth, in accordance with the state budget and social insurance fund.

Best regards!