Guidance on Additional Allowance for Military Personnel Extending Active Duty Service

In order to encourage non-commissioned officers and soldiers serving on active duty to be assured in their work and to fulfill their tasks well, the Ministry of National Defense has implemented an additional allowance policy for these subjects. The additional allowance regime due to the extended duration of active duty service is detailed in Circular 95/2016/TT-BQP (effective from August 15, 2016).

Decree 27/2016/ND-CP provides that: Non-commissioned officers and soldiers serving in the armed forces, when decided by the Minister of National Defense to extend their service time, from the 25th month onwards, will receive an additional monthly allowance of 250% of their current rank allowance. Thus, in addition to the rank allowance policy, these subjects are also entitled to an additional allowance.

The method for calculating the additional allowance policy is detailed in Circular 95 as follows:

Allowance from the 25th month onwards = Current rank allowance + Extended service allowance

Where:

Extended service allowance = Current rank allowance x 250%

However, the above-mentioned additional allowance policy does not apply to non-commissioned officers and soldiers who are awaiting transition to professional military personnel, defense workers, and public employees; awaiting to attend schooling or taking entrance exams; studying at academies, schools inside or outside the Army, and other cases.

According to Circular 95, the service time of non-commissioned officers and soldiers is counted as the time for paying social insurance (SI) to serve as a basis for calculating SI benefits according to regulations.

- In cases where, before enlisting, there is mandatory SI payment time at state agencies, organizations, or economic establishments from various economic sectors, when demobilized and returning to localities, the previous service time with paid SI will be added to the military service time to calculate SI benefits according to regulations, and it will be handled by the Social Insurance Department of the Ministry of National Defense.- In cases where, before enlisting, there is mandatory SI payment time at state agencies, organizations, or economic establishments from various economic sectors, and then returning to the previous state agencies, organizations, or economic establishments after demobilization to continue SI payment, the previous time will be added to the military service time and subsequent service time with paid SI to serve as a basis for calculating SI benefits according to regulations. Specifically, as follows:

Total SI benefits calculation time = SI payment time outside the Army (before enlistment) + Military service time + SI payment time outside the Army (after demobilization)

Additionally, Circular 95 also provides for an additional allowance for extended military service time for non-commissioned officers and soldiers when demobilized as follows:

- For military service from the 25th month to less than 30 months, an additional allowance of 01 month’s current rank allowance is provided;- For full 30 months of military service, an additional allowance of 02 months’ current rank allowance is provided.

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