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Vietnam Raises Base Salary Calculation Rules

Vietnam Raises Base Salary Calculation Rules

Post by : Shakul

Vietnam’s Ministry of Home Affairs has issued Circular No. 13/2026/TT-BNV, providing detailed guidance on how salaries, allowances, and related benefits will be calculated under the country’s new base salary framework. The regulation is scheduled to take effect on July 1, 2026, and will apply to a broad range of public sector employees and workers receiving state-funded compensation.

Under the new policy, the base salary level has been set at 2,530,000 Vietnamese dong per month. The revised salary structure will affect civil servants, public employees, officials working in Party and State agencies, socio-political organizations, public service units, and several categories of workers receiving government-funded remuneration.

According to the circular, monthly salaries will continue to be determined by multiplying the applicable salary coefficient by the new base salary. Various allowances linked directly to the base salary will also be recalculated using the updated amount, while percentage-based allowances will be determined according to existing formulas that combine salary levels and other eligible benefits.

The regulation also covers workers assigned to associations, international organizations, projects, and non-governmental organizations operating in Vietnam. Individuals currently studying, receiving medical treatment, undertaking internships, or temporarily suspended from work will also have salary-related calculations adjusted under the new framework where applicable.

Particular attention has been given to village and residential-area workers. The allowance fund provided through the state budget for part-time personnel in villages and residential communities will now be calculated using the new base salary level of 2.53 million VND per month, ensuring consistency across local administrative structures.

The circular further clarifies how social insurance contributions, salary-related benefits, activity allowances for People’s Council representatives, and retained salary difference coefficients will be recalculated beginning July 1. Government agencies are expected to update payroll systems and benefit calculations accordingly before the implementation date.

Officials stated that the revised framework is intended to improve transparency and ensure uniform salary administration throughout Vietnam’s public sector. The new rules will replace Circular No. 07/2024/TT-BNV and serve as the primary guideline for salary and allowance calculations under the latest wage policy reforms.

The Ministry emphasized that all deductions, social insurance contributions, and employee benefits linked to the base salary will automatically be adjusted from July 1, 2026. The reform is expected to affect millions of public sector workers nationwide and represents another step in Vietnam’s broader effort to modernize public administration and compensation systems.

May 30, 2026 12:02 p.m. 454

#Employment #Economy #Policy #Vietnam

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