Pensioner with 100 million VND/month currently living in Ho Chi Minh City

The person with the highest pension in the country, over 100 million VND/month, currently lives in Ho Chi Minh City.

On November 1, Vietnam Social Security clarified the case of the highest pension in Vietnam at present, which is 100 million VND/month.

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Specifically, regarding social insurance contributions: Before January 1, 2007 (the effective date of the Social Insurance Law 2006), due to the law not controlling the salary ceiling as the basis for social insurance contributions, this employee had his social insurance contributions paid by the enterprise based on a very high monthly salary. In which, there was a period when the highest monthly salary used as the basis for social insurance contributions was up to 249 million VND.

From January 1, 2017 onwards, the Social Insurance Law stipulates that the maximum salary level used as the basis for social insurance contributions is 20 times the general minimum wage.(now the basic salary), so this employee pays social insurance based on the monthly salary used as the basis for social insurance payment, the lowest is 9 million VND and the highest is 23 million VND.

Regarding pension benefits,According to the regulations of social insurance policies and laws, when calculating pensions for those retiring in 2015, the salary paid for social insurance will be adjusted based on the consumer price index of each period prescribed for each year of social insurance payment.(in which the time before 1995 with coefficient is 4.26;theyears from 1996 onwards with decreasing coefficient). Therefore, with the very high salary for the entire period of social insurance payment as above, divided by the average of 279 months of social insurance payment, the employee has an average monthly salary for social insurance payment to calculate the pension of 140,837,530 VND. The pension received = 140,837,530 VND x 62% =87,319,268VND/month

Through 2 times the State regulated pension adjustment(increased by 8% in 2016, increased by 7.44% in 2017),Up to now, the pension level of this case is101,321,000VND/month

Vietnam Social Security confirmed that this case is entitled to a high pension because the salary used as the basis for social insurance payment during the entire working period of the employee is under the salary regime decided by the employer and always pays social insurance monthly at a very high salary. This person has 18 years as General Director of a large foreign-invested enterprise in Vietnam.

"The monthly salary used as the basis for social insurance contributions has been very high for many years (especially the 15 years before January 1, 2007), so when retiring, receiving a high pension is in accordance with the principle of "Contribute more - Receive more" - the social insurance agency affirmed.

Previously, at the press conference on the afternoon of October 31, Ms. Dinh Thu Hien, answering questions related to pension levels after the story of the 1.3 million VND pension of a preschool teacher in Ha Tinh, Ms. Dinh Thu Hien - Deputy Head of the Social Insurance Policy Implementation Department (Vietnam Social Insurance), said that currently, the whole country has 3,228 people with a pension level of less than 1.3 million VND/month.

According to Ms. Hien, the person who currently receives the highest pension in the country is over 100 million VND/month and is currently living in Ho Chi Minh City. In this case, because he works for a foreign company, the contribution rate is very high. This male worker has only participated in social insurance for 23 years and 3 months, and when he retires, he will receive a rate of 62%.

According to VOV