Ms. Nguyen Thi Chuyen (Dai Lai commune, Bac Ninh province) is a retired teacher for many years. Due to the limited social insurance contribution period, her current pension is modest, about 3.2 million VND/month.
According to Ms. Chuyen, if only calculating the 8% increase, her pension will not increase much. However, through investigation, she learned that if the adjustment plan is applied at an absolute level, her pension can be increased to 3.8 million VND/month.
Ms. Chuyen added that her family has 3 siblings who have all retired. Among them, her pension is the lowest, so she sometimes feels sad. This adjustment, although not too high, helps her feel somewhat comforted.
Sharing the same joy, Ms. Tran Thi Dung (Son Tay ward, Hanoi) said that her current pension level is not high, mainly used to pay for monthly living expenses and old age medicine. When she learned that from July 1st, her pension could be increased to 3.8 million VND/month, she felt somewhat more secure.
According to Ms. Dung, the additional amount is not too large but very meaningful for retirees with low incomes. "In old age, whatever spending is done must be calculated. Being concerned and adjusted by the State like that, we feel less sad," Ms. Dung shared.
The Government has issued Decree No. 162/2026/ND-CP on adjusting pensions, social insurance allowances and monthly allowances. Accordingly, from July 1, adjusting to increase by an additional 8% on the pension, social insurance allowance and monthly allowance level of June 2026.
After an increase of 8%, the group receiving pensions, social insurance allowances, and monthly allowances before January 1, 1995 with a benefit level lower than 3.8 million VND/month will continue to be adjusted in 2 directions.
First, increase by 300,000 VND/person/month for those with a benefit level equal to or lower than 3.5 million VND/person/month.
Second, increase to 3.8 million VND/person/month for people with a benefit level of over 3.5 million VND/person/month but lower than 3.8 million VND/person/month.
The pension level, social insurance allowance, and monthly allowance after adjustment are the basis for calculating subsequent adjustments.
This Decree adjusts the level of pensions, social insurance allowances and monthly allowances for beneficiaries before July 1, including 9 groups specified.
Previously, Mr. Pham Truong Giang, Director of the Department of Salary and Social Insurance (Ministry of Home Affairs) said that according to international practice, pension adjustments in most countries are mainly aimed at compensating for the price increase index.
However, in Vietnam, pension adjustments are often implemented at the rate of wage increases, including price increases and sharing of part of economic growth achievements.
Mr. Pham Truong Giang said that currently the scope of regulation for subjects is very broad, including pensioners, monthly allowances and many other allowances.
The number of pensioners currently is estimated at more than 3 million people, with an average benefit level of about 7.2 million VND/person/month. With an increase of 8%, the average benefit level is expected to increase to about 7.6 million VND/month.
In addition to adjusting the pension increase by 8% in general, the State is also very interested in the group of people who retired before 1995 with low pensions. In the past, there have been 3 times, after adjusting the general pension, continuing to implement further adjustments for this low-entitlement group.
