How to calculate the latest pension rate
Female employees who are 57 years old and work under normal conditions are entitled to 45% of the average salary used as the basis for social insurance contributions corresponding to 15 years of contributions; each additional contribution year is added 2%. The maximum benefit rate is 75%, equivalent to 30 years of social insurance contributions.
For male workers aged 61 and 6 months, if they have paid 20 years of social insurance, they will receive 45% of the average salary as the basis for social insurance contributions; if they have paid from 15 to under 20 years, they will receive 40%, then each additional year of contributions will be added 1%. From the 20th year of payment onwards, each year will be added 2%. The maximum benefit rate is still 75%.
Employees with a working capacity reduction of 61% or more are allowed to retire early. A decrease of 61% to less than 81% is the maximum of 5 years of early retirement. A reduction of 81% or more is granted a maximum of 10 years of early retirement.
For each year of early retirement, the pension rate will be deducted by 2%. In case of early retirement for less than 6 months, no deduction is granted; from 6 months to less than 12 months, a deduction of 1% is granted.
Employees who are old enough to retire but have paid compulsory social insurance from 14 years and 6 months to less than 15 years, with a maximum of 6 months left, are allowed to make a one-time compensation for the remaining months.
The compensation level is 22% of the salary used as the basis for social insurance contributions, including contributions from employees and employers, paid to the pension and death fund.
According to current regulations, people aged 75 and over, without pensions and not receiving social insurance benefits, are entitled to receive a social pension of VND 500,000/month.
Pay social insurance to be eligible for pension
A noteworthy point is that employees who are old enough to retire but have paid compulsory social insurance from 14 years and 6 months to less than 15 years, meaning they are still missing a maximum of 6 months, are allowed to make a one-time payment to compensate for the remaining months.
The compensation level is 22% of the salary used as the basis for social insurance contributions, including the contributions of employees and employers, paid into the Pension and Death Fund.
This regulation helps employees not to "miss" the right to receive pensions just because of a short payment period.
Increasing the retirement age from 2026
From January 1, 2026, the retirement age will increase to 61 years and 6 months for men and 57 years old for women, according to the roadmap.
Employees who are old and have paid compulsory social insurance for 15 years or more will receive a pension with an adjustment to the pension rate.
According to current Labor law, the retirement age of employees working in normal conditions will gradually increase until reaching 62 years old for men in 2028 and 60 years old for women in 2035.
Employees are allowed to retire up to 5 years early compared to the prescribed age if they are in one of the following cases: Reduced working capacity; working in a particularly arduous, toxic, or dangerous job; or working in an area with particularly difficult socio-economic conditions.
On the contrary, people with high professional and technical qualifications or in some special cases can retire later, but not more than 5 years compared to the prescribed age at the time of retirement.
