Pensions are accumulated when paying social insurance in many places

Hà Lê |

Employees who pay social insurance in many places are still allowed to accumulate the entire time of participation to calculate pension benefits according to regulations.

Many workers who have worked in many businesses or switched between the state and private sectors often wonder whether the social insurance (SI) contribution period in different units can be accumulated when calculating pensions.

According to current legal regulations, the entire time participating in social insurance at different units is accumulated to serve as a basis for calculating pension benefits, as long as employees do not receive one-time social insurance for the period of contribution.

According to Articles 3 and 5 of the 2024 Law on Social Insurance, all stages of social insurance participation, whether continuously or intermittently, when working in the state sector or enterprises, are recorded and added to determine the total time of social insurance participation.

The accumulation of social insurance contribution time is of great significance, because this is the basis for calculating the pension benefit rate. The longer the total social insurance contribution time of employees, the higher the pension benefit rate, according to regulations, the maximum level can reach 75% of the average salary level used as the basis for social insurance contribution.

Therefore, employees do not need to worry that changing workplace will waste time participating in social insurance. As long as the participation process is fully recorded by the social insurance agency, the entire contribution period will be preserved and accumulated when settling pension benefits.

Hà Lê
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