[INSURANCE] ANNOUNCEMENT OF GENERAL MINIMUM WAGE ADJUSTMENT STARTED FROM JULY 2020

[INSURANCE] ANNOUNCEMENT OF GENERAL MINIMUM WAGE ADJUSTMENT STARTED FROM JULY 2020

Pursuant to Resolution No. 86/2019/ QH14, from July 01, 2020, the General Minimum Wage (GMW) will be officially increased from VND 1,490,000/ month to VND 1,600,000/ month (increasing 110,000 VND / month).

Accordingly, with the increased GMW, the cap for Social insurance, Health insurance and Maternity allowance (in addition to 6 months of benefit) is as follows:

The cap for social insurance, health insurance (old)

The cap for social insurance, health insurance (new)

1.490.000×20=29.800.000 vnd

The highest contribution level is VND 29,800,000

(as 20 times as the GMW)

1.600.000×20=32.00.000 vnd

The highest contribution level is VND 32,000,000

(as 20 times as the GMW)

The company:

Social Insurance (17.5%): 29.800.000×17.5% = 5.215.000 vnd

Health insurance (3%): 29.800.000×3% = 894.000 vnd

The company:

Social Insurance (17.5%): 32.000.000×17.5% = 5.215.000 vnd

Health insurance (3%): 32.000.000×3% = 894.000 vnd

Employee:

Social Insurance (8%): 29.800.000×8% = 2.384.000 vnd

Health insurance (1.5%): 29.800.000×1.5% = 447.000 vnd

Employee:

Social Insurance (8%): 32.000.000×8% = 2.384.000 vnd

Health insurance (1.5%): 32.000.000×1.5% = 447.000 vnd

Maternity (supported for 2 months)

1.490.000×2 = 2.980.000 vnd

Maternity (supported for 2 months)

1.600.000×2 = 3.200.000 vnd