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The pension system in Da Nang, Vietnam, is organized under the Vietnamese Social Insurance Law. Mandatory social insurance policies apply to all workers with labor contracts extending one month or more. Foreign workers who have a work permit, practice certificate, or practice license in Vietnam are also required to participate in the compulsory social insurance scheme. Basic pension benefits start at the retirement age of 60 for men and 55 for women.
Pensions can involve a variety of legal matters, such as setting up personal pensions, applying and acquiring social insurance, and resolving disputes over pension benefits. In certain situations, dealing with the social insurance department or managing a pension related case can be overwhelming and complex, which is when a lawyer may become necessary. Additionally, foreigners working in Vietnam might need legal advice on the local pension system and their eligibility.
According to the Vietnamese Law on Social Insurance, a part of an employee's salary is contributed to the country's pension fund – currently 8% for private sector employees. Upon retiring, individuals are eligible to withdraw their pensions if they have contributed to the fund for a minimum of 20 years. Furthermore, foreign employees who do not benefit from the pension scheme can receive a lump sum payment of the entire pension insurance amount paid by them and their employer.
The standard retirement age in Vietnam is 60 for men and 55 for women. However, recent changes propose a gradual increase in retirement age to 62 for men and 60 for women by 2035.
Yes, effective from 2018, foreign employees with a minimum of a year contract are mandated to participate in Vietnam's social insurance scheme.
Pension schemes outside of the mandatory state pension are fairly limited in Vietnam and are typically offered by international insurers. Thus, state pensions tend to be the principal retirement plan for most Vietnamese people and foreign employees.
Several issues can arise regarding pensions including disagreements over entitlements, trouble accessing pensions, contract registrations, and much more. In such situations, legal assistance can be vital.
Generally, upon reaching the stipulated retirement age and meeting the contributing years' requirement, eligible parties can apply to withdraw their pension. Receiving pensions then occurs monthly via a bank transfer or in cash.
The Vietnamese Social Security (VSS) is the government institution in charge of pensions. The Ministry of Labor, Invalids, and Social Affairs (MoLISA) also provides valuable information about pension schemes and labor contract laws.
Start by conducting your own research about the pension system in Da Nang, Vietnam. If you suspect that you would need legal help, then consult with a lawyer who specializes in pension law. Remember, understanding your rights and obligations can ensure you gain the most from your pension plan.
