Formulas for Calculating Civil Servant Salaries Based on the New Basic Salary

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On July 5, 2024, the Minister of Home Affairs issued Circular 07/2024/TT-BNV guiding the implementation of the basic salary level for those receiving salaries and allowances in public agencies, organizations, and units under the Party, State, Vietnam Fatherland Front, political-social organizations, and associations.

Accordingly, Article 3 of Circular 07/2024/TT-BNV guides the calculation of salaries, allowances, and operational fees for those eligible for the new basic salary of 2.34 million VND/month from July 1, 2024, under clauses 1, 2, 3, 4, 5, 8, and 9 of Article 1 of Circular 07/2024/TT-BNV.

The Ministry of Home Affairs guides the calculation of salary, allowances, and the amount of the retention coefficient (if any) based on the current salary coefficient and allowances as prescribed by competent authorities for cadres, civil servants, public employees, and armed forces, and the basic salary level according to Decree 73/2024/ND-CP. Specifically:

- Formula for calculating salary:

Salary from July 1, 2024 = Basic salary 2.34 million/month x Salary coefficient

- Formula for calculating allowances:

+ For allowances calculated based on the basic salary:

Allowance from July 1, 2024 = Basic salary 2.34 million/month x Allowance coefficient

+ For allowances calculated as a percentage of the current salary plus position allowance and seniority allowance (if any):

Allowance from July 1, 2024 = (Salary from July 1, 2024 + Position allowance from July 1, 2024 (if any) + Seniority allowance from July 1, 2024) x Allowance percentage as prescribed

+ For allowances specified as a fixed amount, they remain as currently prescribed.

- Formula for calculating the retention coefficient amount (if any):

Retention coefficient amount from July 1, 2024 = Basic salary 2.34 million/month x Current retention coefficient (if any)

Additionally, Circular 07/2024/TT-BNV also guides the calculation of salaries based on the new basic salary of 2.34 million VND/month for the following subjects:

- Non-specialized activists at commune, village, and residential group levels;

- People working in cipher organizations managed by the Ministry of National Defense and the Ministry of Public Security, and people working in cipher organizations in the Party, State, and political-social organizations (not managed by the Ministry of National Defense and the Ministry of Public Security).

This Circular takes effect from July 5, 2024.

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