Under the revised Social Insurance Law passed in 2024, the minimum contribution period required to qualify for a monthly pension has been reduced from 20 years to 15 years.
This change provides greater flexibility for individuals who joined the workforce later or had breaks in their contribution history, allowing them to qualify for a pension rather than opting for a one-time lump sum payment.
To be eligible for a pension, employees working under normal conditions must meet two criteria: they must have paid compulsory social insurance for at least 15 years and have reached the statutory retirement age.
In 2025, the statutory retirement age in Vietnam is set at 61 years and 3 months for men and 56 years and 8 months for women. This will gradually increase to 62 for men by 2028 and to 60 for women by 2035.
Workers with reduced capacity, those in particularly hazardous or strenuous occupations, and individuals employed in especially difficult regions may retire up to five years earlier than the standard retirement age. To qualify, they must have completed at least 15 years of compulsory social insurance contributions in those roles or in designated hardship areas, specifically, regions with a regional allowance coefficient of 0.7 or higher, prior to January 1, 2021.
Workers who contribute to social insurance beyond the maximum threshold (35 years for men and 30 years for women) are entitled to a one-time lump-sum allowance in addition to the maximum pension rate. This allowance is calculated as 0.5 times the average salary used for contributions for each year exceeding the cap.
Pension amounts are subject to adjustments based on changes in the consumer price index, considering the financial capacity of the state budget and the Social Insurance Fund.