How to access lump-sum social insurance withdrawal service

Lump-sum social insurance is a state security regime, which allows people to participate in compulsory or voluntary social insurance can apply for benefits when needed. Statistics show that in the period 2016 – 2022, Vietnam had more than 4.9 million workers requesting and receiving lump-sum social insurance benefits. The number of people receiving lump-sum social insurance next year is always higher than the previous year with an average annual growth rate of about 10%/year.

Due to the difficult production and business situation, especially during the COVID-19 pandemic period, many businesses have stopped operating, narrowed the scale of production and business, and employee reduction. Workers are underemployed and lose their jobs, which causes a major impact on their income and financial burden, making life difficult, and forcing them to conduct procedures to access lump-sum social insurance benefits.

Receiving lump-sum social insurance benefits, workers lose many long-term benefits such as not receiving a monthly pension when old and losing money to buy health insurance cards. When employees die, their relatives will not receive funeral or survivorship allowance benefits. Therefore, employees need to consider carefully before applying for benefits.

Viet An Tax Agent provides lump-sum social insurance procedures with reasonable costs and accurate procedures to help workers quickly receive large sums of money to reduce financial pressure.

Subjects are entitled to enjoy lump-sum social insurance in Vietnam

According to Points a, b, Clause 1, Article 8, Decree 115/2015/ND-CP, and Article 60 of the Law on Social Insurance 2014. ​To enjoy lump-sum social insurance, employees must belong to one of the following cases:

• Full pension age but less than 20 years of social insurance payment (according to Clause 3, Article 54 of the 2014 Law on Social Insurance).
• Female workers working full-time or part-time in communes, wards, or towns have reached retirement age but have not paid social insurance for 15 years upon retirement and do not continue to participate in voluntary social insurance.
• Go abroad to settle down permanently.
• People suffering from life-threatening diseases such as cancer, polio, cirrhosis, ascites, leprosy, severe tuberculosis, and HIV that have progressed to AIDS and other diseases according to regulations of the Ministry of Health.
• Police and soldiers who serve, demobilize, or quit their jobs are not eligible to receive pensions.
• People participating in compulsory social insurance after 01 year of quitting their job or participating in voluntary social insurance after 01 year of not continuing to pay but less than 20 years of paying social insurance (according to Article 1 of Resolution 93/2015/QH13).

How is the lump-sum social insurance benefit level determined?

The lump-sum social insurance amount is calculated based on the number of years of social insurance payment and the average monthly salary paid for social insurance.

The calculation formula is as follows:

Benefit level = (1.5 x Mbqtl x Time to pay social insurance before 2014) + (2 x Mbqtl x Time to pay social insurance after 2014)

In which: Mbqtl is the average monthly salary paid for social insurance.

Mbqtl = (Number of months paying social insurance x Monthly salary paying social insurance x Annual adjustment) / (Total number of months paying social insurance).

If the social insurance payment period has any excess months, from 01 to 06 months is counted as half of a year, and from 07 to 11 months is counted as 01 year. In the case before January 1, 2014, if the social insurance payment period has excess months, those will be transferred to the social insurance payment period from January 1, 2014, onwards.

In case you have not paid for 1 full year, the benefit level is equal to the amount paid, and the maximum level is equal to 02 months’ average salary.

Note: The lump-sum social insurance withdrawal benefit does not include the amount of money the State supports paying for voluntary social insurance, except in cases of serious illness.

Dossier for lump-sum social insurance benefits in Vietnam

• Original copy of Social Insurance Book.
• Original Application (Form No. 14-HSB).
• For people going abroad to settle, they must also submit a copy of the competent authority’s confirmation of renunciation of Vietnamese nationality or an authenticated or notarized Vietnamese translation of one of the following documents:
• Passport issued by foreign country.
• Visa issued by a competent foreign agency confirming permission to enter the country for the reason of residing abroad.
• Documents certifying that you are applying for foreign citizenship; Confirmation documents or permanent residence card, valid for 5 years or more issued by a competent foreign agency.
• In case of life-threatening diseases such as cancer, polio, cirrhosis, ascites, leprosy, severe tuberculosis, or HIV infection that has progressed to AIDS, a copy/summary of the physical medical record is required. currently unable to self-service; If suffering from other diseases, replace it with the Minutes of assessment of a decline in working capacity of 81% or more from the Medical Examination Council showing the state of inability to self-serve.
• In case of payment of medical assessment fee, there must be additional invoices and documents for collection of assessment fee along with the original list of assessment contents from the facility performing the medical assessment.
• Original personal declaration about time and location of service in the Army with regional allowances (Form No. 04B – HBQP issued with Circular No. 136/2020/TT-BQP dated October 29, 2020) for people who served in the Army before January 1, 2007, in areas receiving regional allowances but the social insurance book does not show complete information as a basis for calculating regional allowances.
• Power of Attorney or notarized authorization contract.

How to access lump-sum social insurance withdrawal in Vietnam

Step 1: Submit application

Employees submit applications in one of the following forms:

• Via national electronic portal services: Employees register to receive an authentication code and send electronic records to the Vietnam Social Insurance Electronic Information Portal or via I-VAN Organization (if they have registered to use the I-VAN); In case of not converting paper documents to electronic format, send all paper documents to the social insurance agency via public postal service;
• Through public postal services;
• Directly at the social insurance agency.

Step 2: Get results

Related documents: in registered form (directly at the social insurance agency or through public postal services or via electronic transactions);

Allowance:

• Directly at the social insurance agency through public postal services or personal accounts;
• In case of authorizing another person to receive payments on your behalf, follow the provisions of the procedure “Authorization to receive payments on behalf of social insurance and unemployment benefits” or the original authorization contract according to the provisions of law.

Resolution deadline

Maximum 05 working days from the date the social insurance agency receives complete documents according to regulations.

Customers who want to use the lump-sum social insurance withdrawal service in Vietnam of Viet An Tax Agent, please contact us via Hotline: (+84) 988 856 708 for advice and support.