Vietnam to Increase Base Salary, Boosting Social Insurance Benefits from July 1

Starting July 1, 2026, Vietnam will implement an increase in the base salary, raising it from 2.34 million VND to 2.53 million VND per month. This adjustment is expected to significantly impact various social insurance benefits for workers across the country.

The enhanced base salary will lead to proportional increases in several social insurance payouts. For instance, the one-time allowance for childbirth or adoption of a child under six months will rise from 4.68 million VND to 5.06 million VND, an increase of 380,000 VND. Similarly, funeral grants, calculated as 10 times the base salary, will increase from 23.4 million VND to 25.3 million VND, a rise of 1.9 million VND.

Monthly survivor benefits will also see adjustments. Each eligible dependent will receive 50% of the new base salary, increasing from 1.17 million VND to 1.265 million VND per month. For dependents without direct caregivers, the benefit will be 70% of the base salary, rising from 1.638 million VND to 1.771 million VND monthly.

Under the 2024 Social Insurance Law, mandatory social insurance contributions are determined by salary brackets. While the law aims to abolish the base salary as a reference point, it remains in effect during this transitional period. Consequently, from July 1, 2026, the minimum monthly salary for social insurance contributions will be 2.53 million VND, and the maximum will be 50.6 million VND.