How will the allowance for civil servants be calculated from July 1st?

From July 1st, allowances for officials and civil servants will be calculated based on the new basic salary of 2.53 million VND/month, as applied according to the new Circular of the Ministry of Interior.

The Ministry of Interior has recently 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.

The Ministry of Interior has recently issued a Circular guiding the implementation of the basic salary level for those receiving salaries and allowances, namely officials and civil servants. (Illustrative image)

Specifically, 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-profit organizations; salaried employees 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.

In addition, 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.

At the same time, certain circumstances are applied to calculate social insurance contributions and benefits, as well as salary-related schemes, such as officials, civil servants, and employees attending training, internships, work assignments, medical treatment, or nursing care; those on probation; and those temporarily suspended from work, detained, or imprisoned.

Specifically, the Ministry of Interior's circular stipulates that, from July 1st, the calculation of salaries, allowances, and retained differential coefficients will be based on a base salary of 2.53 million VND/month, in accordance with Government Decree 161/2026/ND-CP on the base salary and bonus regime for officials, civil servants, public employees, and the armed forces.

From July 1st, the salaries of officials, civil servants, and employees belonging to the specified groups will be calculated based on the new base salary of 2.53 million VND/month multiplied by their current salary coefficient. Simultaneously, allowances determined based on the base salary will also be calculated by multiplying the base salary of 2.53 million VND/month by the currently applied 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 officials, civil servants, and employees currently receiving a retained differential coefficient, this difference will be determined from July 1st onwards based on the base salary of 2.53 million VND/month multiplied by the currently applied retained differential coefficient.

According to the Ministry of Interior's guidelines, the operating allowance for People's Council representatives at all levels is determined based on the operating allowance coefficient as stipulated in current regulations multiplied by the basic salary of 2.53 million VND per month. For part-time officials in villages and residential areas, the allowance fund allocated by the state budget to each village and residential area will be calculated based on the new basic salary of 2.53 million VND per month.

Source: https://congthuong.vn/phu-cap-cho-cong-chuc-tu-ngay-1-7-duoc-tinh-ra-sao-459055.html