Pension Adjustment From July 1st Under 2024 Social Insurance Law & Early May 2025 Payment Schedule

Latest updates on social insurance policies of interest to a large number of retirees and workers: Pensions will be adjusted upwards from July 1st according to the provisions of the 2024 Social Insurance Law. Additionally, the payment schedule for May 2025 pensions and social insurance benefits has also been adjusted regarding timing.

Information Regarding The Pension Adjustment From July 1st

According to the provisions at Article 67 of the 2024 Social Insurance Law (BHXH), which takes effect from July 1st, 2025, pensions will be adjusted upwards.

This adjustment is based on the increase in the consumer price index (CPI), and must also be in line with the balancing capacity of the State budget and the Social Insurance Fund.

Conditions for pension adjustment:

In order to implement the pension adjustment from July 1st, the 2024 Social Insurance Law clearly states 2 required conditions:

• Providing a fair pension increase for beneficiaries with low pension levels.
• Providing a fair pension increase for those who retired before 1995.

The objective of this adjustment is to ensure the gap in pension levels between people who retired in different periods is narrowed.

The specific timing, beneficiaries, and adjustment level for pensions stipulated in this article will be regulated in detail by the Government.

Monthly Pension Calculation Method from July 1st, 2025:

• For female workers: The monthly pension equals 45% of the average salary serving as the base for social insurance contributions. Subsequently, for each additional year of social insurance contributions, 2% is added, up to a maximum of 75%.
• For male workers: The monthly pension equals 45% of the average salary serving as the base for social insurance contributions corresponding to 20 years of social insurance contributions. Subsequently, for each additional year of contributions, 2% is added, up to a maximum of 75%.

Early Payment Of Pensions And Social Insurance Benefits For May 2025

To facilitate the public and workers in celebrating the 50th anniversary of the Liberation of the South (April 30, 1975 – April 30, 2025) and national reunification, while simultaneously effectively implementing social security policies and stimulating consumption, the Prime Minister has issued a dispatch directing the payment of May 2025 pensions and social insurance benefits.

According to the dispatch, the Prime Minister requested the Ministry of Finance to direct Vietnam Social Security (BHXH Vietnam) to effectively carry out the resolution and payment of social insurance and unemployment insurance benefits, ensuring they are full, timely, and in accordance with regulations for beneficiaries.

Notably, the Prime Minister requested the urgent organization of the payment of May 2025 pensions and social insurance benefits during the period from April 25th to April 28th, 2025.

Thus, pension and social insurance benefit recipients will receive their May payment right in April, earlier than the usual payment schedule.

The specific payment schedule in each province and city will be detailed and announced to beneficiaries by the local Social Insurance agency.

It is understood that the monthly pension and social insurance benefit payment schedule according to Decision 166/QD-BHXH usually starts from the 2nd day of the month. Specifically:

• From the 2nd to the 10th of each month: Payment is organized for at least 6 hours per day at all payment points. Payment ends before the 10th only at points where all beneficiaries according to the list provided by the Social Insurance agency have been paid.
• From the 11th to the end of the 25th of each month: Payment continues at district post office transaction points and other post office transaction points.