Agree with the new pension calculation method after July 1, 2025

Mạnh Cường |

The Social Insurance Law 2024 stipulates that pensions for public sector workers are calculated by averaging the entire payment process.

This regulation is supported by many people, saying it will ensure objectivity and be more beneficial.

Preparing for the exam to become a commune cadastral officer, Mr. Pham Van Hai (25 years old, Thai Binh) said that the new pension calculation method is suitable for him if he passes the exam and gets an official job. Mr. Hai said that this calculation method is beneficial in many aspects.

“The average salary of officials, civil servants, and public employees is now not too low, even higher than the basic salary of many workers in enterprises. Even if we consider the entire payment process, we are not afraid of receiving a low pension in the future " - Mr. Hai said.

Discussing in more detail, Mr. Hai said that if he passes the exam to enter the commune-level government, in the first year of his internship, he will also receive 85% of his salary. With the new base salary, Mr. Hai mentally calculated more than 4.6 million VND/month. This number is much higher than the common contribution of many other workers when their starting point is only 4 million VND.

Besides, Mr. Hai always believes that in the coming time, he will increase the base salary or reform the salary even higher. If you try to make and pay 20 years of social insurance, you won't have to worry much when you get old.

“The biggest problem of public sector officials, civil servants, and public employees is income, which has been partly solved by a recent salary increase. Calculating pension by the entire payment process, in my opinion, is beneficial because the salary increases every year" - Mr. Hai said.

Working in the State apparatus for 7 years now, Mr. Nguyen Van Thang (30 years old) - Secretary of the Commune Youth Union in Thanh Hoa said that the new pension calculation method ensures fairness throughout the working process.

“There should be no discrimination and bias when calculating pensions for workers in the State and non-State apparatus. In my opinion, changing the new calculation method from 2025 will create fairness and objectivity for the labor market, ensuring long-term stability of social security policy" - Mr. Thang said.

According to the male Secretary of the Commune Union, it is impossible to be sure if you only work one job or will always be promoted and your income will increase every year until retirement.

If your income is affected in the years near retirement, it will be quite disadvantageous when calculated according to the old formula. Therefore, calculating pension by the entire payment process will still help civil servants, public employees, and State officials feel more secure throughout the working process.

Current method of calculating pensions for civil servants, public employees, and state employees:

Participating in social insurance from January 1, 1995 to December 31, 2000, the average monthly salary paid for social insurance in the last 6 years before retirement is calculated.

Participating in social insurance from January 1, 2001 to December 31, 2006, the average monthly salary paid for social insurance in the last 8 years before retirement is calculated.

Participating in social insurance from January 1, 2007 to December 31, 2015, the average monthly salary paid for social insurance in the last 10 years before retirement is calculated.

Participating in social insurance from January 1, 2016 to December 31, 2019, the average monthly salary paid for social insurance in the last 15 years before retirement is calculated.

Participating in social insurance from January 1, 2020 to December 31, 2024, the average monthly salary paid for social insurance in the last 20 years before retirement is calculated.

Mạnh Cường
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