Vietnam lifts teacher pay and raises tax dependent income limit in 2026 reforms

The Vietnamese leadership, led by General Secretary and President Tô Lâm, directed the Ministry of Education and related agencies to revise the civil‑service salary scale so that teachers are placed at the highest rung of the career pay ladder. The reform aims to eliminate local teacher shortages, introduce flexible staffing across schools, and create special incentives to attract top specialists and encourage qualified teachers to work in disadvantaged rural areas.

The Ministry of Finance released a draft decree that raises the monthly income ceiling for a dependent from VND 1 million to VND 3 million, effective 2026. Taxpayers will continue to receive a VND 6.2 million per‑dependent deduction if the dependent’s average monthly income remains below the new threshold, aligning the policy with rising living costs and recent increases in the basic salary.

Both measures are part of the government’s broader effort to update the 2026 public‑sector policies, improve equity in education and tax relief, and support families facing higher expenses.