What was the base salary in 2023?

What is the base salary in 2023? When will the base salary be increased in 2023? What allowances are calculated based on the base salary?

What is the base salary in 2023 and when will the base salary be increased in 2023?

What was the base salary in 2023?

According to Resolution 69/2022/QH15, from July 1, 2023, the basic salary for officials, civil servants, and public employees will be increased to 1.8 million VND/month.

And recently, on May 14, 2023, the Government issued Decree 24/2023/ND-CP increasing the basic salary to 1.8 million VND from July 1, 2023.

Currently, the basic salary is 1.49 million VND and has been in effect since July 1, 2019 (according to Decree 38/2019/ND-CP).

Therefore, the new base salary, effective from July 1, 2023, will increase by 20.8% compared to the current base salary.

When will the base salary increase in 2023?

According to Decree 24/2023/ND-CP, the effective date for the 2023 basic salary increase is July 1, 2023.

Therefore, there will be two basic salary levels applied in 2023, including:

+ From January 1, 2023 to June 30, 2023: The basic salary is 1.49 million VND/month;

+ From July 1st, 2023: The basic salary is 1.8 million VND/month.

If the base salary is increased in 2023, the income of civil servants will improve significantly.

Currently, according to Decree 204/2004/ND-CP, civil servant salaries are calculated using the following formula:

Salary = Base salary x Salary coefficient

For example, civil servants in category A1 have a starting salary coefficient of 2.34.

Based on the current base salary of 1.49 million VND, the salary received would be 3.486 million VND per month.

However, if calculated based on a base salary of 1.8 million VND, the salary could reach 4.212 million VND per month.

Therefore, based on the new base salary, the income of civil servants in this case would increase by 725,400 VND/month.

Some allowances are calculated based on the base salary.

Based on Decree 204/2004/ND-CP and its amendments, civil servants and public employees are entitled to various allowances based on their basic salary, including:

- Hazardous work allowance.

According to Clause 7, Article 6 of Decree 204/2004/ND-CP, hazardous and dangerous work allowance applies to officials, civil servants, and public employees working in occupations or jobs with hazardous, dangerous, and especially hazardous and dangerous working conditions that are not included in their salary levels.

According to Clause 1, Section II of Circular 07/2005/TT-BNV, hazardous work allowance consists of four levels: 0.1, 0.2, 0.3, and 0.4 times the basic salary.

- Leadership position allowance.

Based on the table of allowances for leadership positions (elected, appointed) in state agencies and state-owned enterprises issued together with Decree 204/2004/ND-CP.

- Regional allowance.

According to Joint Circular 11/2005/TTLT-BNV-BLDTBXH-BTC-UBDT, officials, civil servants, and public employees are entitled to regional allowances with 7 coefficients: 0.1; 0.2; 0.3; 0.4; 0.5; 0.7 and 1.0.

- Travel allowance.

According to Decree 204/2004/ND-CP and Circular 06/2005/TT-BNV, the mobility allowance consists of three coefficients: 0.2, 0.4, and 0.6, applicable to civil servants and public employees working in certain professions or jobs that require frequent changes in workplace and residence.

Besides being used to calculate the salaries of civil servants and public employees, the base salary is also used to calculate living expenses, operating expenses, and determine the maximum amount of mandatory social insurance contributions.

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