According to Article 70, Clause 6 of the 2024 Social Insurance Law, in cases where employees meet the conditions to enjoy both monthly retirement benefits and social insurance benefits, they can choose to receive either a monthly pension or a lump-sum payment. The specific cases are as follows:
According to the Social Insurance Law, there are 6 cases where employees meet the conditions to enjoy both retirement and social insurance benefits, and they are allowed to choose.
– Vietnamese citizens who go abroad for permanent residence;
– Vietnamese citizens suffering from critical illnesses such as cancer, paralysis, decompensated cirrhosis, severe tuberculosis, or AIDS;
– Vietnamese citizens with a reduction in working capacity of 81% or more; people with severe disabilities;
– Foreign workers suffering from critical illnesses such as cancer, paralysis, decompensated cirrhosis, severe tuberculosis, or AIDS;
– Foreign workers with a reduction in working capacity of 81% or more; people with severe disabilities;
– Foreign workers whose labor contracts, work permits, practice certificates, or professional licenses have expired and are not renewed.
Lump-Sum Social Insurance Benefit Amount
The lump-sum social insurance benefit amount will be calculated based on the number of years of contribution and the basis of social insurance contribution, excluding the amount of state budget support for voluntary social insurance contribution. For each year, the calculation is as follows:
– For years of contribution before 2014: 1.5 times the average monthly salary on which social insurance contribution is based.
If there are both periods of contribution before and after 2014, and there are odd months in the period before 2014, these odd months will be transferred to the period of contribution from 2014 onwards for calculating the lump-sum social insurance benefit amount;
The lump-sum social insurance benefit amount will be calculated based on the number of years of contribution and the basis of contribution.
– For years of contribution from 2014 onwards: 2 times the average monthly salary on which social insurance contribution is based;
– If the period of social insurance contribution is less than one year, the benefit amount will be equal to the contributed amount but not exceeding 2 times the average monthly salary on which social insurance contribution is based.
For the following cases, the lump-sum social insurance benefit amount will be calculated based on the number of years of contribution and the basis of contribution, including the amount of state budget support for voluntary social insurance contribution. In addition, the calculation of the benefit amount per year shall be in accordance with the above regulations. These cases include:
– People currently suffering from critical illnesses such as cancer, paralysis, decompensated cirrhosis, severe tuberculosis, or AIDS.
– People with a reduction in working capacity of 81% or more, or people with severe disabilities.
What Circumstances Allow Employees to Withdraw Social Insurance Once, Starting July 1st, 2025?
For the long term, new participants will only be eligible for Social Insurance benefits on a one-time basis, under special circumstances. This move aims to encourage more people to remain within the system and reap the benefits of their accumulated contributions to Social Insurance.
Will Workers Continue to Receive Pension Increases from July 2025?
The Social Insurance Law of 2024, specifically according to Article 67 and Clause 2 of Article 99, stipulates that from July 1, 2025, there will be a continuation of pension adjustments for employees.
The New Amendments to the Social Insurance Law: Effective from July 1, 2025.
The National Assembly Standing Committee will decide on compulsory social insurance participation for other employed individuals with stable and regular income, based on proposals put forth by the Government.
The Future of Work: Securing Social Protection for Gig Workers
The gig economy workforce, including ride-sharing drivers and online delivery couriers, is currently falling through the cracks when it comes to social safety nets.
