Early Retirement under Decree 178: What are the additional allowance conditions?
According to Clause 4 of Circular No. 1/2025/TT-BNV (amended and supplemented by Circular No. 002/2025/TT-BNV), the group of subjects eligible for early retirement includes:
– Leaders and managers who wish to retire to facilitate organizational restructuring;
– Civil servants, public employees, and armed forces personnel who are less than five years away from retirement age and are not directly affected by organizational restructuring but need to be streamlined to improve team quality;
– Employees of associations assigned by the Party and the State, affected by organizational mergers;
– Officials who are not eligible for re-election or reappointment and wish to retire up to 30 months before the official retirement age.
Similarly, to those who retire under the regular regime, early retirees under Decree No. 178/2024/ND-CP (amended by Decree No. 67/2025/ND-CP) will be entitled to a one-time allowance if their social insurance contribution period exceeds the prescribed limit to receive the maximum pension of 75% of the average salary.
Specifically, to receive the maximum pension, female employees must have a mandatory social insurance contribution period of 30 years, and male employees must have a contribution period of 35 years.
Accordingly, the corresponding allowance is 0.5 months of average salary for each year exceeding the contribution period.
Before July 1, 2025, what benefits are civil servants with 20 years of service and social security contributions entitled to upon early retirement?
According to Clause 2, Article 7 of Decree No. 178/2024/ND-CP (amended by Clause 6, Article 1 of Decree No. 67/2025/ND-CP), civil servants who retire early based on their length of service and mandatory social insurance contributions are subject to the following regulations:
– For those with a remaining lifespan of at least 2 years but no more than 5 years until the retirement age specified in Appendix 1 issued with Decree No. 135/2020/ND-CP, and with sufficient mandatory social insurance contribution periods to qualify for a pension under social insurance law, in addition to the retirement regime specified by social insurance law, they shall also be entitled to the following:
+ No reduction in the pension rate due to early retirement.
+ A bonus of 05 months of current salary for each year of early retirement compared to the retirement age specified in Appendix 1 issued with Decree No. 135/2020/ND-CP.
+ A bonus of 05 months of current salary for the first 20 years of work with mandatory social insurance contributions. From the 21st year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
+ In case of having at least 15 years of work with mandatory social insurance contributions and being eligible for a pension under social insurance law at the time of early retirement, a bonus of 04 months of current salary shall be granted for the first 15 years of work; from the 16th year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
– For those with a remaining lifespan of over 5 years but no more than 10 years until the retirement age specified in Appendix 1 issued with Decree No. 135/2020/ND-CP, and with sufficient mandatory social insurance contribution periods to qualify for a pension under social insurance law, in addition to the retirement regime specified by social insurance law, they shall also be entitled to the following:
+ No reduction in the pension rate due to early retirement.
+ A bonus of 04 months of current salary for each year of early retirement compared to the retirement age specified in Appendix 1 issued with Decree No. 135/2020/ND-CP.
+ A bonus of 05 months of current salary for the first 20 years of work with mandatory social insurance contributions. From the 21st year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
+ In case of having at least 15 years of work with mandatory social insurance contributions and being eligible for a pension under social insurance law at the time of early retirement, a bonus of 04 months of current salary shall be granted for the first 15 years of work; from the 16th year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
– For those with a remaining lifespan of at least 2 years but no more than 5 years until the retirement age specified in Appendix 2 issued with Decree No. 135/2020/ND-CP, and with sufficient mandatory social insurance contribution periods to qualify for a pension under social insurance law, including at least 15 years of work in heavy, toxic, dangerous, or particularly heavy, toxic, and dangerous jobs listed by the governmental agency in charge of labor affairs, or at least 15 years of work in areas with particularly difficult socio-economic conditions listed by the governmental agency in charge of labor affairs, including the period of working in places with a region coefficient of 0.7 or higher before January 1, 2021, in addition to the retirement regime specified by social insurance law, they shall also be entitled to the following:
+ No reduction in the pension rate due to early retirement.
+ A bonus of 05 months of current salary for each year of early retirement compared to the retirement age specified in Appendix 2 issued with Decree No. 135/2020/ND-CP.
+ A bonus of 05 months of current salary for the first 20 years of work with mandatory social insurance contributions. From the 21st year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
+ In case of having at least 15 years of work with mandatory social insurance contributions and being eligible for a pension under social insurance law at the time of early retirement, a bonus of 04 months of current salary shall be granted for the first 15 years of work; from the 16th year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
– For those with a remaining lifespan of less than 2 years until the retirement age specified in Appendix 1 issued with Decree No. 135/2020/ND-CP, and with sufficient mandatory social insurance contribution periods to qualify for a pension under social insurance law, they shall be entitled to the retirement regime specified by social insurance law, and there shall be no reduction in the pension rate due to early retirement.
– For those with a remaining lifespan of less than 2 years until the retirement age specified in Appendix 2 issued with Decree No. 135/2020/ND-CP, and with sufficient mandatory social insurance contribution periods to qualify for a pension under social insurance law, including at least 15 years of work in heavy, toxic, dangerous, or particularly heavy, toxic, and dangerous jobs listed by the Ministry of Labor, Invalids, and Social Affairs, or at least 15 years of work in areas with particularly difficult socio-economic conditions listed by the Ministry of Labor, Invalids, and Social Affairs, including the period of working in places with a region coefficient of 0.7 or higher before January 1, 2021, they shall be entitled to the retirement regime specified by social insurance law, and there shall be no reduction in the pension rate due to early retirement.
Thus, before July 1, 2025, civil servants who retire early are entitled to a bonus of 05 months of current salary for the first 20 years of work with mandatory social insurance contributions. From the 21st year onwards, for each year of work with mandatory social insurance contributions, a bonus of 0.5 months of current salary shall be granted.
How to calculate the allowance for early retirement under Decree 178
According to Clause 4 of Circular No. 1/2025/TT-BNV, amended by Clause 4, Article 1 of Circular No. 002/2025/TT-BNV, during the time of organizational restructuring, civil servants, public employees, and laborers who are allowed to retire early by competent authorities, if they meet the conditions, shall be entitled to four amounts at the same time:
– One-time retirement allowance for the number of months of early retirement
– Allowance for the number of years of early retirement
– Allowance based on the period of mandatory social insurance contributions
– Pension
Accordingly, the three allowances for early retirement under Decree No. 178/2024/ND-CP will be calculated as follows:
First: Cases with a remaining lifespan of at least 2 years but no more than 5 years until retirement age
According to Clause 2a and Clause 2c, Article 7 of Decree No. 178/2024/ND-CP, amended by Clause 6, Article 1 of Decree No. 67/2025/ND-CP, civil servants and employees shall be entitled to the following three allowances:
1. One-time retirement allowance for the number of months of early retirement
For retirement within the first 12 months: Allowance amount = Current salary x 1.0 x Number of months of early retirement.
For retirement from the 13th month onwards: Allowance amount = Current salary x 0.5 x Number of months of early retirement
2. Allowance for the number of years of early retirement: Allowance amount = Current salary x 5 x Number of months of early retirement.
3. Allowance based on the period of mandatory social insurance contributions
For the first 20 years of mandatory social insurance contributions, an allowance of 5 months of current salary shall be granted. For the remaining years (from the 21st year onwards), an allowance of 0.5 months of current salary shall be granted for each year.
Specific formula: Allowance amount = Current salary x 5 (for the first 20 years of mandatory social insurance contributions) + 0.5 x Number of years of mandatory social insurance contributions from the 21st year onwards
Second: Cases with a remaining lifespan of over 5 years but no more than 10 years until retirement age
According to Clause 2b, Article 7 of Decree No. 178/2024/ND-CP, amended by Clause 6, Article 1 of Decree No. 67/2025/ND-CP, civil servants and employees shall be entitled to the following three allowances:
1. One-time retirement allowance for the number of months of early retirement. In this case:
For retirement within the first 12 months: Allowance amount = Current salary x 0.9 x 60 months.
For retirement from the 13th month onwards: Allowance amount = Current salary x 0.45 x 60 months.
2. Allowance for the number of years of early retirement: For each year of early retirement (12 months), an allowance of 4 months of current salary shall be granted.
Allowance amount = Current salary x 4 x Number of years of early retirement
3. Allowance based on the period of mandatory social insurance contributions: For the first 20 years of mandatory social insurance contributions, an allowance of 5 months of current salary shall be granted; for the remaining years (from the 21st year onwards), an allowance of 0.5 months of current salary shall be granted for each year.
Allowance amount = Current salary x 5 (for the first 20 years of mandatory social insurance contributions) + 0.5 x Number of years of mandatory social insurance contributions from the 21st year onwards.
Third: Cases with a remaining lifespan of less than 2 years until retirement age
According to Clause 2d and Clause 2d, Article 7 of Decree No. 178/2024, for cases with a remaining lifespan of less than 2 years until retirement age, the one-time retirement allowance for the number of months of early retirement shall be calculated using the same method as for those who retire within the first 12 months, as specified in Clause 2a, Article 4 of Circular No. 1/2025 of the Ministry of Home Affairs.
Allowance amount = Current salary x 1.0 x Number of months of early retirement.
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