Regulations on monthly pension levels in 2024

How is the monthly pension in 2024 calculated? and how is it regulated? - Reader Minh Quan

Regulations on monthly pension levels in 2024

(1) For participants of compulsory social insurance

The monthly pension of an employee is calculated by multiplying the monthly pension rate by the average monthly salary for social insurance contributions.

The monthly pension rate of employees eligible for pension according to the provisions of Article 54 of the Law on Social Insurance 2014 is calculated as follows:

- For female workers retiring in 2024, the monthly pension rate is calculated at 45% corresponding to 15 years of social insurance contributions, then for each additional year of social insurance contributions, an additional 2% is calculated; the maximum level is 75%;

- For male workers retiring in 2024, the monthly pension rate is calculated at 45% corresponding to 20 years of social insurance contributions, then for each additional year of social insurance contributions, an additional 2% is calculated; the maximum level is 75%.

The monthly pension of employees who meet the conditions specified in Article 55 of the Law on Social Insurance 2014 is calculated as prescribed above, then for each year of retirement before the prescribed age, it is reduced by 2%.

In case the period of early retirement has an odd period of less than 6 months, the pension percentage will not be reduced. In case the odd period is 6 months or more, the reduction is calculated as 1%.

The monthly pension of female employees eligible for pension as prescribed in Clause 3, Article 54 of the Law on Social Insurance 2014 is calculated based on the number of years of social insurance contributions and the average monthly salary for social insurance contributions as follows: 15 years of social insurance contributions is calculated at 45% of the average monthly salary for social insurance contributions as prescribed in Article 62 of the Law on Social Insurance 2014. From 16 years to less than 20 years of social insurance contributions, each year of contribution is calculated by adding 2%.

The lowest monthly pension of employees participating in compulsory social insurance who are eligible for pension as prescribed in Articles 54 and 55 of the Law on Social Insurance 2014 is equal to the basic salary, except for the cases prescribed in Point i, Clause 1, Article 2 and Clause 3, Article 54 of the Law on Social Insurance 2014.

Pursuant to: Article 56 of the Law on Social Insurance 2014, Article 7 of Decree 115/2015/ND-CP and Article 17 of Circular 59/2015/TT-BLDTBXH.

(2) For voluntary social insurance participants

The monthly pension is calculated by multiplying the monthly pension rate by the average monthly income for social insurance contributions.

The monthly pension rate is calculated as follows:

- For women retiring in 2024, the monthly pension rate is calculated at 45% corresponding to 15 years of social insurance contributions, then for each additional year of social insurance contributions, an additional 2% is calculated; the maximum level is 75%;

- For men retiring in 2024, the monthly pension rate is calculated at 45% corresponding to 20 years of social insurance contributions, then for each additional year of social insurance contributions, an additional 2% is calculated; the maximum level is 75%.

Pursuant to: Article 74 of the Law on Social Insurance 2014, Article 3 of Decree 134/2015/ND-CP.

Regulations on one-time retirement benefits in 2024

(i) For participants of compulsory social insurance

Pursuant to Article 58 of the Law on Social Insurance 2014, employees with a social insurance payment period higher than the number of years corresponding to the pension rate of 75% will, upon retirement, in addition to the pension, also receive a one-time allowance.

The one-time subsidy is calculated based on the number of years of social insurance contributions higher than the number of years corresponding to the pension rate of 75%. For each year of social insurance contributions, it is calculated as 0.5 months of the average monthly salary for social insurance contributions.

(ii) For voluntary social insurance participants

Pursuant to Article 75 of the Law on Social Insurance 2014, employees with a social insurance payment period higher than the number of years corresponding to the pension rate of 75%, upon retirement, in addition to the pension, will also receive a one-time allowance.

The one-time subsidy is calculated based on the number of years of social insurance contributions higher than the number of years corresponding to the pension rate of 75%. For each year of social insurance contributions, it is calculated as 0.5 months of the average monthly income of social insurance contributions.

Source: https://baoquocte.vn/quy-dinh-muc-huong-luong-huu-hang-thang-nam-2024-244999.html