From 1/1/2012, social insurance contribution rates change

From January 1, 2012, the Social Insurance (SI) contribution rate will be 24% of the monthly salary and wages of employees, an increase of 2% compared to the current rate. Of which, employers will pay 17% and employees will pay 7% of SI.

Specifically, according to the provisions of the Law on Social Insurance, Decree 152/2006/ND-CP dated December 22, 2006 of the Government guiding a number of articles of the Law on Social Insurance on compulsory social insurance, subjects participating in compulsory social insurance must pay the following social insurance premiums:

From January 1, 2012, employees will contribute 7% of social insurance (illustrative photo)

Employees pay 7% of their salary and wages used as the basis for social insurance contributions (currently 6%); employers pay 17% (currently 16%).

The total contribution to the compulsory social insurance fund of both employees and employers is 24% (of which: 3% is contributed to the sickness and maternity fund; 1% to the occupational accident and disease fund and 20% to the retirement and death fund).

For non-commissioned officers and soldiers of the People's Army and non-commissioned officers and soldiers of the People's Police serving for a limited period, employers pay social insurance for these officers at 21% of the general minimum wage (of which: 1% to the occupational accident and disease fund; 20% to the pension and death fund).

Voluntary social insurance participants contribute 20% of the income that employees choose to pay social insurance for (currently 18%).

According to Chinhphu.vn