Compulsory Social Insurance: Essential Benefits for Vietnamese Workers

Compulsory social insurance in Vietnam offers benefits such as retirement, sick leave, maternity leave, work-related accidents, and occupational diseases. Employers and certain individuals are required to contribute to the social insurance fund. The contribution rates for employees and employers are 10.5% and 21.5% respectively. Sickness, maternity, work accident, occupational disease, retirement, and death benefits are provided based on the duration of social insurance participation, salary level, and other factors. Employers and employees have specific enrollment procedures and required documents. For more information, refer to the Law on Social Insurance 2014 and the official website of Vietnam Social Insurance. Seeking peace of mind for your future. Enroll in compulsory social insurance today to enjoy essential benefits such as retirement, sick leave, maternity leave, work-related accidents, and occupational diseases. This article provides comprehensive information about compulsory social insurance, including eligible participants, benefits, enrollment procedures, and its significance. Don't miss out on the opportunity to protect yourself and your family. A. Concept. Compulsory social insurance is a state-mandated policy that aims to replace or compensate a portion of a worker's income when they experience a reduction or loss of earnings due to illness, maternity, work-related accidents, occupational diseases, reaching retirement age, or death. This is done through contributions made to the compulsory social insurance fund. B. Participants. Employers. Enterprises, cooperatives, non-profit organizations, and households that employ workers under labor contracts. State agencies, public service units, and sociopolitical organizations. Employees. Individuals working under labor contracts with an indefinite or fixed term of one month or more. Trainees and students enrolled in educational institutions. Civil servants, public officials, and employees currently working. Other individuals as defined by law. C. Contribution rates. Total contribution rate. The total monthly compulsory social insurance contribution rate for Vietnamese employees and employers is 32.5% of the monthly salary subject to social insurance. This is divided as follows. Employer contribution, 21.5%. Employee contribution, 10.5%. The contribution rates for specific funds are retirement and death fund, 14%. Employer, 8%. Employee, 6%. Sickness and maternity fund, 3%. Employer, 2%. Employee, 1%. Work accident and occupational disease fund, 1%. Employer, 1%. Employee, 0%. D. Benefits. Sickness benefit. Receive sickness benefits when taking sick leave with a medical certificate from a healthcare facility. The amount of sickness benefit depends on the duration of social insurance participation, salary level, and duration of sick leave. The maximum duration of sickness benefit is 12 months per illness. Maternity benefit. Female employees are entitled to three months of maternity leave, which can be extended by one additional month. Receive maternity benefits during the leave period. The amount of maternity benefit depends on the duration of social insurance participation, salary level, and duration of leave. Female employees are entitled to maternity leave with benefits when giving birth or adopting a child. Work accident and occupational disease benefit. Receive benefits when suffering from a work accident or occupational disease. The amount of benefit depends on the severity of the injury, duration of social insurance participation, and salary level. Receive lifetime benefits if they become completely incapacitated due to a work accident or occupational disease. Retirement benefit. Receive a retirement pension upon reaching retirement age or becoming incapacitated. The amount of retirement pension depends on the duration of social insurance participation, salary level, and number of years of social insurance contributions. Death benefit. The next of kin of a deceased employee are entitled to death benefits. The amount of death benefit depends on the duration of social insurance participation and the employee's salary. E. Enrollment procedure. Employers. Submit an application for social insurance participation for employees to the social insurance agency where the head office is located. Declare and pay social insurance contributions for employees on a monthly basis. Employees. Provide personal information to the employer to complete the social insurance enrollment process. Receive a social insurance card issued by the social insurance agency. F. Enrollment documents. Employers. Business license or certificate of registration of operation. Documents on the number and list of employees. Financial statements. Employees. Identity card or citizen's identity card. Household registration book. Labor contracts or documents proving the employment relationship. G. Reference information. Law on Social Insurance 2014. A3 plus H. Percent sign E1 percent sign BB percent sign 999. Website of Vietnam Social Insurance. Https://baohimexahoi.gov.vn