Vietnam raises basic salary and social‑insurance ceiling to 2.53 million VND from July 2026

The Vietnamese government issued Decree No. 161/2026/ND‑CP, effective 1 July 2026, to set the basic monthly salary at 2 530 000 VND. Using this figure, the mandatory social‑insurance contribution ceiling for employees will rise from 46.8 million VND to 50.6 million VND per month (the ceiling equals 20 times the basic salary). The decree also creates an annual bonus fund amounting to 10 % of total payroll (excluding allowances) for civil servants, public‑sector employees and the armed forces, to be distributed based on performance evaluations.

Funding for the salary increase will come from multiple sources: a 10 % saving of regular expenditures by central ministries, at least 40 % of additional revenue retained by ministries after service‑related costs, 35 % of revenues from public‑sector health services, and 70 % of the increase in local‑government budgets compared with 2025 estimates. Additional contributions may include surplus from prior wage‑reform funds and other budgetary savings approved by the Prime Minister.