From January 1, 2026, regulations on how to calculate monthly pensions will officially apply according to the Law on Social Insurance (SI) 2024. Many new points in the pension calculation formula will directly affect the rights of employees, especially the difference between male and female employees, or cases of early retirement.
Pension level of employees eligible for pension
According to Article 66, the pension level is calculated based on the pension percentage multiplied by the average salary for social insurance contributions. Specifically:
1. For female workers
Receive 45% of the average salary when paying for 15 years of social insurance.
From the 16th year onwards, each additional year of contribution will be added 2%.
The maximum rate does not exceed 75%.
2. For male workers
Receive 45% of the average salary when paying 20 years of social insurance.
From the 21st year onwards, each year will be added 2%, up to 75%.
3. Male workers have paid for 1520 years
This is a notable new regulation:
If male workers have paid for 15 to under 20 years, the starting pension is 40%.
After the 15th year, each additional year of contribution is added by 1% (lower than the +2% of the group over 20 years).
Pension of the special armed forces: Employees in some special occupations and jobs in the People's Armed Forces (regulated by the Government) will be paid according to a separate mechanism. Payment source: from the State budget. This is a special group of subjects, with separate priorities for pension regimes.
In case of early retirement
People eligible for pension under Article 65 of the Social Insurance Law 2024 but retire early will have their pension rate reduced:
2% reduction for each year of early retirement.
If they retire less than 6 months early, it will not be reduced.
If you are off for 6 months to less than 12 months, the pension is reduced by 1%.
This regulation aims to ensure fairness between those who retire at the right age and those who retire early.
