Retired workers receive a one-time allowance.

According to current regulations, Article 58 of the 2014 Social Insurance Law stipulates that employees who have contributed to compulsory social insurance for a period exceeding the number of years corresponding to a 75% pension entitlement rate upon retirement will receive a lump-sum allowance in addition to their pension.

The lump-sum benefit is calculated based on the number of years of social insurance contributions exceeding the number of years corresponding to a 75% pension entitlement rate. For each year of social insurance contribution, the benefit is calculated as 0.5 months of the average salary used for social insurance contributions.

For those participating in voluntary social insurance, Article 75 of the 2014 Social Insurance Law stipulates that: Employees who have contributed to social insurance for a period exceeding the number of years corresponding to a 75% pension entitlement rate will receive a lump-sum allowance upon retirement, in addition to their pension.

The lump-sum benefit is calculated based on the number of years of social insurance contributions exceeding the number of years corresponding to a 75% pension entitlement rate. For each year of social insurance contribution, the benefit is calculated as 0.5 months of the average monthly income used for social insurance contributions.

Workers who have contributed to social insurance for more than 75% of their pension entitlement period are entitled to a one-time lump-sum payment. (Illustrative image: Chi Hieu)

In cases where social insurance contributions exceed the number of years corresponding to a 75% pension entitlement rate, odd months are calculated as follows: 1-6 months are counted as half a year, and 7-11 months are counted as one year.

Compared to the current Social Insurance Law, the 2024 Social Insurance Law introduces changes for individuals who have contributed for more than 75% of their salary from the time they reach the legally prescribed retirement age until the time of retirement.

Article 68 of the 2024 Social Insurance Law has changed the conditions for receiving a lump-sum retirement benefit. Accordingly, male workers with more than 35 years of social insurance contributions and female workers with more than 30 years of contributions will receive a lump-sum benefit in addition to their pension upon retirement.

The one-time benefit for each year of contributions exceeding the aforementioned period is equal to 0.5 times the average salary used as the basis for social insurance contributions for each year of contributions exceeding the retirement age.

In cases where an employee is eligible for a pension but continues to contribute to social insurance, the allowance will be twice the average salary used as the basis for social insurance contributions for each year of contribution exceeding the maximum benefit level (75%), from the time they reach the legally prescribed retirement age until the time of retirement.

Previously, when commenting on the draft revised Social Insurance Law, many opinions suggested increasing the allowance for those who have contributed for more than the maximum pension period (75%).

Source: https://vietnamnet.vn/nguoi-lao-dong-ve-huu-duoc-nhan-tro-cap-mot-lan-2308535.html