New method for calculating salaries and allowances effective from July 1st.

The Ministry of Interior has just issued a Circular guiding the implementation of the basic salary level for those receiving salaries and allowances in public agencies, organizations, and units of the Party, State, Vietnam Fatherland Front, political and social organizations, and associations.

The Circular takes effect from July 1st and replaces Circular No. 07/2024/TT-BNV.

According to the new Circular, the applicable subjects include officials and civil servants receiving salaries from the state budget; public employees receiving salaries from the salary fund of public non-business units; people receiving salaries working within the staffing quota at associations assigned tasks by the Party and the State; part-time workers in villages and residential areas; and representatives of People's Councils at all levels receiving activity fees.

Millions of people will receive salary and allowance increases starting July 1st. (Illustrative image.)

The circular also applies to those working in cryptographic organizations; and those working under labor contracts in administrative agencies and public service units who are eligible for or have agreed to salary classification according to Decree 204/2004.

In addition, certain cases are applied to calculate social insurance contributions and benefits, as well as salary-related schemes, such as civil servants and public employees attending training, internships, work assignments, medical treatment, or nursing care; and those currently on probation.

The circular states that, from July 1st, the calculation of salaries, allowances, and retained differential coefficients will be based on the basic salary of 2.53 million VND per month as stipulated in Decree 161/2026/ND-CP.

For officials, civil servants, and employees belonging to the specified groups, the salary effective from July 1st is determined by multiplying the base salary of 2.53 million VND per month by their current salary coefficient.

Allowances calculated based on the base salary are also determined by multiplying the base salary of 2.53 million VND per month by the current allowance coefficient.

For allowances calculated as a percentage of the current salary plus leadership allowance and seniority allowance exceeding the standard rate (if any), the allowance amount is determined by multiplying the total of these amounts by the prescribed allowance percentage.

However, allowances that are currently specified as fixed monetary amounts will remain unchanged according to current regulations.

For cases with a retained differential coefficient, the amount of retained differential is calculated by multiplying the base salary of 2.53 million VND per month by the currently received retained differential coefficient...

Source: https://znews.vn/cach-tinh-luong-phu-cap-moi-tu-ngay-17-post1655770.html