An additional 1.2 million people without pensions will receive benefits from next year.

Supplemental social pension benefits

One of the new points of the Social Insurance Law 2024 is to add social pension benefits to form a multi-layered social insurance system.

Accordingly, social pension benefits are a type of social insurance guaranteed by the State budget, built on the basis of inheriting and partially developing from regulations on monthly social benefits for the elderly without pensions or monthly social insurance benefits.

In which, the age to receive social pension benefits is reduced to 75 years old (currently 80 years old).

As for people in poor and near-poor households, those from 70 to under 75 years old are entitled to social retirement benefits.

Lowering the age for receiving social pension benefits to 75 years old (Photo: Son Nguyen).

According to the new law, the monthly social pension allowance level is determined by the Government, in accordance with the socio -economic development conditions and the State budget capacity of each period. Every 3 years, the Government reviews and considers adjusting the social pension allowance level.

Depending on socio-economic conditions, the ability to balance the budget and mobilize social resources, the People's Committee at the provincial level shall submit to the People's Council at the same level a decision to provide additional support for social pension beneficiaries.

In case the beneficiary of social pension benefits is also the beneficiary of monthly social allowance, he/she will receive a higher allowance.

With this revised regulation, the Ministry of Labor, War Invalids and Social Affairs said that when the new Law takes effect from July 1, 2025, it is expected that about 1.2 million more elderly people without pensions or monthly social insurance benefits will receive monthly social retirement benefits.

Add a social pension tier

Along with the social pension policy, the Social Insurance Law 2024 also adds provisions to increase the connection between the social pension level and basic social insurance. That is, adding a monthly subsidy regime for employees who are not eligible for pensions and are not old enough to receive social pensions.

Accordingly, Vietnamese citizens who are of retirement age, but do not have enough time to pay to receive pension (not enough 15 years of payment), and are not old enough to receive social pension benefits (not enough 75 years old), if they do not receive social insurance at one time, and do not reserve but have a request, will receive monthly benefits from their own contributions.

Supplementing monthly allowances for employees who are not eligible for pensions and are not old enough to receive social retirement benefits (Illustration: Nguyen Hai).

During the period of receiving monthly allowance, they receive health insurance from the State budget.

Regarding the subsidy level for those who reach retirement age but do not meet the above pension conditions, the Law assigns the Government to regulate this subsidy level.

Regarding the implementation of the new Social Insurance Law when it comes into effect, according to the Prime Minister's Decision issued on July 27, to detail this Law, the Government will issue 11 Decrees.

Of which, the Ministry of Labor, War Invalids and Social Affairs will preside over the drafting of 7 Decrees, the Ministry of Finance 3 Decrees and the Ministry of National Defense 1 Decree. Along with that, the Ministries and branches will issue 3 circulars providing detailed instructions on the implementation of the law.

Specifically, the Ministry of Labor, War Invalids and Social Affairs will issue 2 circulars, and the Ministry of Health will issue 1 circular. The Decrees and guiding circulars assigned by the Prime Minister to the units to develop are required to be issued and take effect at the same time as the Social Insurance Law 2024, which is July 1, 2025.

Source: https://dantri.com.vn/an-sinh/them-12-trieu-nguoi-khong-co-luong-huu-duoc-huong-tro-cap-tu-nam-sau-20240801115121292.htm