The base salary is expected to increase by about 8% from July 1, 2026. The Government is expected to adjust the base salary from 2.34 million VND to about 2.527 million VND per month, an increase of 187,200 VND.
This is the salary level applied to cadres, civil servants, public employees and armed forces receiving salaries from the state budget, and is also the basis for determining many regimes and policies in the public sector.
Many allowances increase according to the base salary
When the base salary increases, the salaries of cadres, civil servants, public employees and armed forces also increase according to the salary coefficient. Many allowances such as position allowances, regional allowances, seniority allowances and some related regimes are also adjusted accordingly.
In addition, pensions, allowances for people with meritorious services, social protection allowances and social pension allowances will also be adjusted when the State increases the base salary and the standard level of related allowances. The specific increase of each group will be regulated by the Government in the pension and allowance adjustment plan.
Some social insurance regimes calculated directly according to the base salary also increase accordingly. For example, one-time maternity allowance for female employees who give birth or employees who adopt children under 6 months old is equal to two times the base salary at the time of birth or adoption.
If the base salary increases to 2.527 million VND, this allowance will increase from 4.68 million VND to about 5.054 million VND per child.
Funeral allowance equal to 10 times the base salary also increased from 23.4 million VND to about 25.27 million VND. Monthly survivor's allowance for relatives of deceased workers equals 50% of the base salary, equivalent to more than 1.26 million VND per month; in case relatives do not have direct caregivers, they are entitled to 70% of the base salary, about 1.77 million VND per month.
Social insurance premiums increase
The base salary is also the basis for determining the salary level as a basis for compulsory social insurance contributions for some groups.
According to current regulations, the salary used as a basis for social insurance contributions is at least equal to the base salary and at most equal to 20 times this level.
If the base salary increases to 2.527 million VND from July 1, the salary level used as a basis for social insurance contributions will be the lowest at 2.527 million VND per month and the highest at 50.54 million VND.
For cadres, civil servants, public employees, workers in the state sector and the armed forces, the salary used as a basis for social insurance contributions is the monthly salary according to position, title, rank, grade, military rank and allowances if any. Currently, workers in this group contribute 8% of their salary to the pension and death fund and 1.5% of health insurance each month.
In addition, registered business households, business managers, controllers, representatives of state capital and workers going to work abroad under contract also have a salary level as a basis for social insurance contributions, the lowest equal to the base salary and the highest equal to 20 times this level.
Household health insurance increases
Health insurance contributions are currently equal to 4.5% of the base salary, pension or unemployment benefit depending on each group of subjects.
For household health insurance, the first person pays at 4.5% of the base salary; the second, third, and fourth people respectively pay at 70%, 60%, 50% of the first person's level; from the fifth person onwards, they pay at 40%.
If the base salary increases to 2.527 million VND from July 1, the household health insurance contribution level of the first person will be about 113.715 VND per month; the second person about 79.600 VND; the third person about 68.229 VND; the fourth person about 56. 857 VND; and from the fifth person onwards about 45. 486 VND.
Year-on-year, the first person will pay about 1.36 million VND, the next members gradually reduce it, and the fifth person will pay about 545,832 VND.
