Clause 1, Section II of Joint Circular 11/2005/TTLTBNV-BLDTBXH-BTC-UBDT stipulates the principles for determining regional allowances as follows:
- Factors determining regional allowances:
Natural geographical factors such as: bad climate, expressed in severe levels of temperature, humidity, altitude, air pressure, wind speed,... higher or lower than normal, affecting human health;
Remote, isolated (scattered population density, far from cultural, political, economic centers, far from the mainland...), roads, bridges, schools, medical facilities, poor commercial services, difficult transportation, affecting the material and spiritual life of people.
In addition, when determining regional allowances, it is possible to consider adding particularly difficult factors, borders, islands, and mudslides.
In addition, according to regulations, regional allowances are mainly regulated according to the administrative boundaries of communes, wards, and special zones. Agencies and units located in any commune enjoy regional allowances according to that commune's level. Some special cases located far from the people or adjacent to many communes are considered to regulate separate regional allowances.
When the factors used to determine regional allowances or commune areas change (division, merger, new establishment...), regional allowances are determined or adjusted accordingly.