A Guide to Social Insurance Law in Vietnam for Foreigners
Table of Contents
Hiring or working in Vietnam? Both employers and employees need a solid grasp of social insurance law in Vietnam. In this article, Thao & Co. covers all the key points and the latest updates.
Social insurance law in Vietnam for foreigners
✅ If you’re a foreign national currently working in Vietnam, you may be eligible for Vietnam social insurance if you:
● Possess a valid Vietnam work permit and/or a professional license or certificate issued by a competent authority in Vietnam.
● Have entered an indefinite-term or a fixed-term employment contract lasting at least 1 year with an employer in Vietnam.
✅ Vietnam’s social insurance provides coverage for benefits including sick leave, occupational accidents, maternity leave, retirement pensions, and survivor’s allowances.
To register social insurance for foreigners in Vietnam, you will need to prepare:
● A completed Vietnam social insurance registration form
● Your employment contract
● Your work permit or professional license
✅ Foreigners are ineligible for Vietnam social insurance under the following circumstances:
● They are internal transferees within the same company, as outlined in Point B, Clause 1, Article 2 of Decree No. 143/2018/ND-CP.
Vietnam social insurance contribution rate for foreigners (2024)
Foreign workers in Vietnam are required to contribute to the social insurance system at the following rates:
● Foreign employees with indefinite-term contracts, fixed-term contracts (one month or longer), or seasonal contracts contribute 8% of their monthly salary.
● Employees who do not work or receive a salary for 14 days or more in a month are exempt from contributing for that month.
● Employers contribute a percentage of the employee monthly salary fund, allocated as follows:
○ 3% to the sickness and maternity fund
○ Up to 1% to the occupational diseases and accidents fund
○ 14% for retirement and death benefits fund
○Total contribution rate breakdown: The employee contributes 9.5% of their monthly salary. The employer contributes 20.5% of the monthly salary.
How to register social insurance in Vietnam: Foreign workers without a Social Insurance Code must complete the TK1 – TS form to register. Essential information, including full name, gender, and nationality, must be written using international phonetic standards.
● Go to “Quản lý cá nhân” – Personal management – and select “Quá trình tham gia” – Participation History – to view your social insurance details such as participation record, one-time claims, sickness and maternity benefits, and so on.
● Select “Tra cứu” – Lookup to view information such as your social insurance code, social insurance offices, employers contributing to social insurance fund, etc.
● Fill in the required fields or choose from dropdown lists and click “Tìm kiếm” – Search to see the results.
Option 3: Zalo app
● Open the Zalo app and search for “Bảo hiểm xã hội + city/province of residence.”
● Go to the Services section, select “Utilities,” then select the social insurance lookup feature.
● Select “Tra cứu mã số BHXH” – Lookup Social Insurance Code, or “Tra cứu quá trình đóng BHXH” – Lookup Contribution History.
● Fill in the required fields and see the results
Option 4: Vietnam social insurance hotline
● You can dial 1900 9068 and follow the instructions for 24/7 assistance (rate: 1,000 VND/minute).
How to claim social insurance for foreigners in Vietnam
Follow these steps to claim your one-time social insurance payment:
1. Prepare your documents to apply for a one-time social insurance claim.
2. Submit your documents to the district or provincial social insurance office. Besides in-person submission, you can also submit your documents online or via postal services.
3. Await approval: The process may take up to 10 business days from the day of document receipt.
○ If rejected, you will receive a written explanation.
○ If approved, you will receive an appointment slip.
4. Receive your one-time insurance payment: You can collect your payment in person, via postal services, or via online transfer through the national public services portal.
Unemployment insurance for foreigners in Vietnam
Under current social insurance law in Vietnam, foreign employees are not eligible for unemployment insurance benefits. This benefit applies exclusively to Vietnamese nationals aged 15 or above who have participated in the unemployment insurance program.
Penalties for companies violating social insurance law in Vietnam
Individual employers who fail to fulfill their social insurance obligations for foreign employees may face fines from 50 million to 75 million VND.
These penalties, however, do not escalate to criminal charges. Corporate employers are fined at double the individual penalty.
In other words, businesses that do not contribute to the compulsory social insurance for foreign employees may face penalties from 100 million to 150 million VND.
Additionally, businesses are required to take corrective actions to address their violations.
Key takeaways
Understanding social insurance law in Vietnam can be tricky. Handling the paperwork involved is often a significant challenge for both employers and employees.
Tasks like translating and legalizing foreign documents take a lot of time and effort. That’s where Thao & Co. comes in.
As you tap new markets, we can translate sales materials, emails, job applications, CVs, legal documents, and entire banking/trading platforms and apps.
Empower global education with our translation and localization services. Available for academic transcripts, diplomas, degrees, certificates, websites, apps, and more.
