Services to increase and decrease social insurance in Vietnam

Social Insurance increase and decrease procedure is a guarantee to replace or compensate part of the employee’s income when they have a change of income due to illness, maternity, occupational accident, occupational disease, expiration of working age or death, etc  on the basis of payment into the social insurance fund. Participating in social insurance is a right and an obligation of employees and employers. Therefore, units need to understand the provisions of the Law on Social Insurance to ensure the rights and interests of employers and employees. Specifically, in case of increasing or decreasing social insurance, the employer needs to carry out the necessary procedures to notify the social insurance agency when there is a change in social insurance participation information. By the article below, Viet An Tax Agent will help clients to learn how to implement this regulation effectively and reliably.

Cases of application of procedures for reporting increase or decrease in social insurance

Procedures for reporting an increase or decrease in social insurance shall apply to the following cases:

• Increase in new workers
• Notification of labor reduction for cases of employees moving, quitting their jobs, terminating labor contracts, working contracts
• Report of reduction due to leave to enjoy social insurance benefits (retirement, reserve, sickness, maternity)
• Reporting a decrease due to unpaid leave, suspension of labor contracts, suspension of unpaid work for 14 working days or more in a month

The procedure for reporting the increase and decrease of social insurance is a necessary procedure in the process of participating in social insurance that enterprises or employers are responsible for implementing.

Enterprises need to report an increase in social insurance when:

Enterprises need to report a reduction in social insurance when:

• Cases where employees transfer, take leave, or terminate their labor contracts or employment contracts.
• Employees who are on social insurance benefits (retirement, preservation, sickness, maternity).
• Employees who are on unpaid leave, have suspended their labor contracts, or have stopped working without pay for 14 or more working days in a month.

Components of the dossier for reporting the increase or decrease in social insurance

The dossier of adjustment of social insurance premiums needs to be prepared according to the provisions of Article 23 of Decision 595/QD-BHXH in 2017 (amended and supplemented by Clause 16, Article 2 of Decision 490/QD-BHXH in 2023, including:

For Employees

• Declaration of participation and adjustment of social insurance and health insurance information (Form TK1-TS)

For employers

• Declaration of units participating in and adjustment of social insurance and health insurance information (Form TK3-TS)
• List of employees participating in social insurance, health insurance, unemployment insurance, occupational accident and occupational disease insurance (Form D02-LT)

Order of implementation of how to report an increase or decrease in social insurance

The order of reporting increases and decreases has been concretized to help units carry out legal procedures more simply and quickly. Specifically, as follows:

Step 1: Prepare the dossier

For employees:

• In case of having a social insurance code, provide the social insurance code to the unit
• In case there is no social insurance code, the employee needs to supplement and make a declaration according to the form TK1-TS

For employers:

• Form D02-LT
• Making Form TK3-TS

Step 2: Submit the application

The employer may choose one of the following forms of dossier submission:

• Make electronic documents, digitally sign and send them to the Public Service Portal of Vietnam Social Security or through the I-VAN organization or through the National Public Service Portal
• By Mail
• Submit directly at the dossier receiving section of the provincial or district-level social insurance agency or at the HCC Service Center at all levels

Step 3: The social insurance agency receives the dossier

The social insurance agency will receive the dossier of the employer and consider the request to report the increase and decrease of social insurance of the enterprise

Step 4: The unit receiving the resolved result

The employer will receive the settlement result in the previously registered form. This will help the reception regulations become more flexible, effective and convenient.

Time limit for settling requests for notification of increase and decrease in social insurance

• In case of adjustment of salary increase for which social insurance premiums have been paid: No more than 03 working days from the receipt of a complete and valid dossier.
• In other cases: Within 05 working days from the date of receipt of a complete and valid dossier

Results of settlement of requests for reporting of increase and decrease in social insurance

• In case of increase or decrease in employees participating in social insurance: proceed with the issuance of social insurance books
• In case of adjustment of salary increase or decrease for which social insurance premiums have been paid: The social insurance agency shall record the result in the database

Time limit for reporting increase and decrease in social insurance

Time limit for reporting the increase in social insurance

According to Point a, Clause 1, Article 90 of the Law on Social Insurance 2014, it is clearly stated: Within 30 days from the date of signing the labor contract, working contract or recruitment, the employer shall submit a dossier to the social insurance agency. Thus, in case of an increase in employees paying social insurance premiums, the employer must notify the increase to the social insurance agency within 30 days from the date of occurrence

Time limit for reporting reduction of social insurance

According to Point 2.1, Clause 2, Article 50 of Decision 595/QD-BHXH, the unit must pay the health insurance amount of the months reported to be reduced and the health insurance card with a triwj price is used until the end of those months. At the same time, according to Point 10.3, Section 10 of Official Letter No. 1734/BHXH-QLT: When there is a decrease, the unit will report the decrease from 01 of the following month, but must pay the health insurance of the following month. In case of failure to pay additional card value for the next month, the unit may make a dossier to report the next month’s reduction starting from the 28th of the previous month, but after reporting the decrease, it shall not be allowed to report the previous month.

If you have any difficulties or questions related to reporting an increase or decrease in social insurance service, please contact Viet An Tax Agent for the most specific advice.