Decree 159/2025, guiding the implementation of the Law on Voluntary Social Insurance, took effect on 1/7. The decree stipulates that individuals who began participating in voluntary social insurance before 1/1/2021 and have made at least 20 years of contributions are eligible to receive a pension at age 60 for men and 55 for women.

This retirement age is lower than the general regulation. According to the amended Social Insurance Law, workers who have contributed for 15 years and reach retirement age are eligible for a pension. At the time the law took effect, the retirement age was 61 years and 3 months for men and 56 years and 8 months for women, increasing gradually until it reaches 62 for men in 2028 and 60 for women in 2035.

Social insurance officers advising people in Quang Nam province on voluntary social insurance policies, August 2023. Photo: Hong Chieu

The monthly pension for women participating in voluntary social insurance is 45% of their average contributing income for 15 years of participation, with an additional 2% for each subsequent year up to a maximum of 75%. For men, it's 45% of their average contributing income for 20 years of participation, plus an additional 2% each subsequent year, also up to a maximum of 75%.

Pension payments begin on the first day of the month following the month in which eligibility is met. The government has assigned the Ministry of Home Affairs to detail specific regulations, but no guiding circular has been issued as of the decree's effective date.

Those who have reached retirement age but have fewer than 15 years of voluntary social insurance contributions can make a one-time payment for the missing period, up to a maximum of 5 years, instead of the previous 10 years. This lump-sum payment is calculated based on the total contributions for the missing months, applying compound interest at the average monthly interest rate of the Social Insurance Fund investment from the previous year, as announced by Vietnam Social Security.

Individuals who have contributed to voluntary social insurance but haven't met the requirements for a pension and are below the social pension age will receive monthly allowances. The conditions are that they haven't withdrawn their social insurance lump sum, haven't deferred their contribution period, and have applied for the allowance. The allowance duration is based on the contribution period and average contributing income. Any incomplete months are rounded up to a full month.

The allowance is calculated based on the social pension level, expected to be 500,000 VND per month, and subject to increases with government pension adjustments. The allowance period extends from the month the worker submits their application, after reaching retirement age, until they reach the social pension age at the time of processing.

The government provides financial support for voluntary social insurance contributions based on the rural poverty line. The support levels are: 50% for those in poor households living in island communes and special zones; 40% for near-poor households; 30% for ethnic minorities; and 20% for other groups.

The government's contribution rate has increased by 5-20% depending on the group. Participants eligible for multiple support levels receive the highest applicable rate. The support period is capped at 10 years.

From 2025 to 2030, the government plans to allocate nearly 19,800 billion VND to support 5.8 million voluntary social insurance participants. The government may adjust these rates and encourages localities to provide additional support.

Those who withdraw their voluntary social insurance contributions will have to repay the government's contribution, except for those eligible for pensions. This includes those who have reached retirement age but lack 15 years of contributions, those emigrating, and those who joined the system before 1/7/2025 and opted for a lump-sum withdrawal.

Participants can increase or decrease their contributing income by submitting an adjustment form to the social insurance agency. Changes take effect after the completion of the current payment method and contribution level. People can choose to pay monthly, quarterly, semi-annually, or annually.

The country currently has 815,000 poor households, 771,000 near-poor households, over 14.1 million ethnic minorities, and nearly 546,000 people living in island communes and districts. As of the end of January 2025, there were 2.3 million voluntary social insurance participants, accounting for about 4.9% of the working-age population.

Hong Chieu