Budget for organization: Points to note

Minh Ánh |

The Ministry of Finance provides detailed instructions on funding sources for organizational restructuring, including staff salaries, severance pay, early retirement, etc.

The Ministry of Finance has just issued Circular 07/2025/TT-BTC, providing specific guidance on funding sources, budget preparation, management and settlement of funding for implementing policies in Decree 178/2024/ND-CP.

How is the budget paid?

According to the circular, the budget for implementing policies for cadres, civil servants and public employees during the process of restructuring the apparatus will be spent from two sources:

Regular expenditure budget: Used to pay for retaining old position salaries, salaries when cadres are sent on extended business trips, salary increases and bonuses.

Additional state budget: Support for severance pay, early retirement and other policies.

Budgeting process

Ministries, branches and localities need to prepare budget estimates based on the number of beneficiaries and expected expenditure levels, and submit them to the Ministry of Finance or local financial authorities for appraisal.

In 2025 alone, while waiting for competent authorities to supplement funding, units will make advances from the assigned budget to ensure timely payment of benefits.

The Circular takes effect from January 24, 2025, helping agencies and units have a clear legal basis for financial planning and effective policy implementation.

Minh Ánh
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