According to the latest regulations from Decree No. 73/2024/ND-CP, the basic salary is applied to calculate pension benefits and other entitlements for specific groups of individuals. Understanding how to determine this basic salary not only helps employees grasp their rights but also ensures transparency in social security policies.
Groups Subject to the Basic Salary
The basic salary serves as a crucial basis for calculating income and benefits for many groups. According to Decree No. 73/2024/ND-CP, the following groups are subject to the basic salary:
1. Civil Servants and Public Officials
Civil servants and public officials from central to district and commune levels, as defined by the Civil Servants Law in 2008 (amended in 2019), are key figures in the state administrative system.
2. Public Sector Employees
Employees working in public institutions under the Public Official Law in 2010 (amended in 2019) are also included in the application of the basic salary.
3. Contract Workers
Workers employed under labor contracts at administrative agencies and public institutions, if they agree to apply the salary classification under Decree No. 204/2004/ND-CP, will have their salaries calculated based on the basic salary.
4. Other Groups
In addition, certain other groups are also subject to the basic salary:
- Workers within the budget allocation of supported associations.
- Officers, professional soldiers, defense workers, and contract employees in the Vietnam People’s Army.
- Officers, non-commissioned officers, police workers, and contract employees in the Vietnam People’s Police.
- Employees in key organizations.
- Non-commissioned officers, soldiers in the Vietnam People’s Army; conscripts in the Vietnam People’s Police.
- Non-professional staff working at the commune, village, and ward levels.
Basic salary calculation chart
Basic Salary Effective July 1, 2024
From July 1, 2024, the basic salary has been officially adjusted to 2.34 million VND/month. This figure is important for calculating salaries, allowances, and other benefits according to legal regulations.
For employees who are subject to state-regulated salary systems and receive pension benefits from July 1, 2024 onwards, their benefits will be calculated based on this new basic salary.
The Significance of Adjusting the Basic Salary
Adjusting the basic salary reflects changes in salary policy and contributes to improving the living standards of employees. This is particularly significant for those receiving pensions, as the basic salary directly impacts their monthly income.
Additionally, applying a unified basic salary promotes fairness in the salary system, ensuring transparency and alignment with current economic and social conditions.
Conclusion
The basic salary plays a crucial role in calculating pension and social welfare benefits. With the adjustment to 2.34 million VND/month effective from July 1, 2024, employees need to be well-informed to secure their rights. For any queries, readers can contact the local Social Insurance Office for detailed support.
Source: Vietnam Social Security
