Adjustment of salary for social insurance contribution effective from January 1, 2026

S4B sends to Enterprises/Companies important updates on new regulations related to the base salary for Unemployment Insurance contributions officially applied from January 1, 2026 according to Law 2025.

1. Current regulations (valid until 31 December 2025)

According to the Employment Law 2013:

  • Employees under the State-prescribed salary regime: the maximum UI contribution salary is capped at 20 × the common minimum salary.
  • Employees under employer-determined salary regimes: the maximum UI contribution salary is capped at 20 × the regional minimum salary.

The common minimum salary currently used is VND 2,340,000/month.

2. New regulations (effective from 01 January 2026)

Under Clause 2, Article 34 of the Employment Law 2025:

  • The maximum salary base for UI contribution for all employees (both state-sector  and private-sector) will be uniformly calculated at 20 times the regional minimum salary.
  • Accordingly, the common minimum salary of VND 2,340,000 will no longer be used in the formula for calculating Unemployment Insurance (UI) contributions for state-sector employees.

3. Regional minimum salary (Decree 293/2025/NĐ-CP) and the maximum salary base for UI contribution applicable from 01 January 2026

Region Regional Minimum Salary Maximum Monthly Salary subject to UI contribution
Per month Per hour
1 5.310.000 VNĐ 25.500 VNĐ 106.200.000 VNĐ
2 4.730.000 VNĐ 22.700 VNĐ 94.600.000 VNĐ
3 4.140.000 VNĐ 20.000 VNĐ 82.800.000 VNĐ
4 3.700.000 VNĐ 17.800 VNĐ 74.000.000 VNĐ

4. Effective date

The new rules take effect from 01 January 2026.

All UI contribution calculations from this date must comply with the updated regional minimum wage thresholds.

If your business/company needs assistance in reviewing payroll data, updating payroll systems or ensuring compliance with new regulations, please contact us!

S4B Vietnam

  • Address: Unit 701B – 701C, Tower A, Handi Resco 521 Kim Ma Street, Ba Dinh District, Hanoi, Vietnam.
  • Tel: + 84 24 3974 4181
  • Email: service@s4b.com.vn

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