REACHED THE RETIREMENT AGE, CAN EMPLOYEES CONTINUE PAYING INSURANCE PREMIUMS TO MAXIMIZE THE PENSION BENEFIT?
That is the concern of some employees when they reach retirement age but still lack the number of years of social insurance contributions to enjoy the pension benefit at the maximum rate 75%.
In this regard, Vietnam Social Security replied as follows:
- In case the employee is still working
Pursuant to the provisions of Clause 1, Article 148, Clause 1, Article 149 of the Labor Code 2019; Point a, Point b, Clause 1, Clause 4, Article 2, Clause 5, Article 3 of the Law on Social Insurance 2014; Clause 1, Article 9, Article 10 of Decree No. 134/2015/ND-CP dated December 29, 2015 of the Government detailing a number of articles of the Law on Social Insurance on unemployment insurance, in case employees are still working and are subject to participation in compulsory social insurance (working under an indefinite term labor contract, a definite term labor contract, a seasonal labor contract or a certain job with a term from full 3 months to less than 12 months, labor contracts with a term of from full 1 month to less than 3 months), the employee and employer must pay social insurance contributions as prescribed until the termination of the labor contract.
This period of payment of social insurance will be accumulated to serve as the basis for determining the pension enjoyment level.
- In case the employee has quit the job
Pursuant to the provisions of Clause 4, Article 2, Clause 1, Article 73, Point b, Clause 2, Article 74 of the Law on Social Insurance 2014, employees are still entitled to continue paying voluntary social insurance according to one of the payment methods: monthly, every 3 months, every 6 months, every 12 months, or once for many years later (up to 5 years) to be added to the previous period of participation in social insurance to enjoy the 75% pension as prescribed by law.