Circular No. 37/2017/TT-BQP guiding the management of compulsory social insurance revenue and expenditure in the Ministry of National Defense

CIRCULAR

Guidelines for managing the collection and expenditure of mandatory social insurance within the Ministry of National Defense

___________

Pursuant to Resolution No. 104/2023/QH15 dated November 10, 2023 of the National Assembly on the state budget estimate for 2024;

Pursuant to Decree No. 35/2013/NĐ-CP dated April 22, 2013, of the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of National Defense;

Pursuant to Decree No. 115/2015/NĐ-CP dated November 11, 2015 of the Government detailing certain provisions of the Law on Social Insurance regarding mandatory social insurance;

Pursuant to Decree No. 33/2016/NĐ-CP dated May 10, 2016 of the Government detailing and guiding the implementation of certain provisions of the Law on Social Insurance concerning mandatory social insurance for military personnel, public security officers, and individuals engaged in confidential work with salaries equivalent to those of military personnel;

Pursuant to Decision No. 60/2015/QĐ-TTg dated November 27, 2015 of the Prime Minister on financial management mechanisms for social insurance, health insurance, unemployment insurance, and administrative costs for social insurance, health insurance, and unemployment insurance;

At the proposal of the Director of the Financial Department of the Ministry of National Defense,

The Minister of National Defense issues this Circular to guide the management of the collection and expenditure of mandatory social insurance within the Ministry of National Defense.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular guides the management of the collection and payment of mandatory social insurance (BHXH); the management of expenditures for mandatory social insurance; accounting for the collection and expenditure of mandatory social insurance, and the responsibilities of agencies, units, and enterprises under the Ministry of National Defense.

Article 2. Applicability

1. Workers in the Ministry of National Defense who are subject to mandatory social insurance include:

a) Officers (SQ), professional soldiers (QNCN), and individuals engaged in confidential work with salaries equivalent to those of military personnel (hereinafter referred to as individuals engaged in confidential work);

b) Non-commissioned officers, soldiers (HSQ, BS), and students engaged in confidential work receiving living expenses (hereinafter referred to as students engaged in confidential work);

c) Defense workers and civil servants (CN, VCQP), civil servants, and other individuals working in confidential organizations that are not military personnel;

d) Workers employed under indefinite-term labor contracts, fixed-term labor contracts, seasonal labor contracts, or specific job labor contracts with durations from three months to less than twelve months, including labor contracts signed between employers and legal representatives of individuals under fifteen years old as stipulated by labor laws, and workers employed under labor contracts with durations from one month to less than three months (hereinafter collectively referred to as contractual workers).

2. Individuals entitled to spousal benefits at overseas representative offices of Vietnam as specified in Clause 4, Article 123 of the Social Insurance Law.

3. Workers specified in Clause 1 of this Article during their time studying, training, working, researching, or recuperating abroad while still receiving domestic salaries, rank allowances, or living expenses and paying social insurance according to regulations shall be entitled to social insurance benefits as prescribed by the law on social insurance.

4. Agencies, units, enterprises, and public service units under the Ministry of National Defense (hereinafter collectively referred to as units).

Chapter II

MANAGEMENT OF THE COLLECTION AND PAYMENT OF MANDATORY SOCIAL INSURANCE

Article 3. Contribution Levels and Obligations for Mandatory Social Insurance Contributions

1. The monthly contribution level for mandatory social insurance for workers receiving salaries as specified in Clauses 1 and 3 of Article 2 of this Circular and for employers (individuals) using such workers is 26% of the monthly salary subject to social insurance contributions (of which: the employer contributes 18% of the monthly salary subject to social insurance contributions and the worker contributes 8% of the monthly salary subject to social insurance contributions).

2. The monthly contribution level for mandatory social insurance for workers receiving rank allowances or living expenses as specified in Clauses 1 and 3 of Article 2 of this Circular is 23% of the base salary and is paid by the employer (individual) using such workers.

3. For individuals specified in Clause 2 of Article 2 of this Circular who are permitted by competent authorities to go abroad under spousal benefit programs at overseas representative offices of Vietnam, the monthly contribution rate to the pension and death benefit fund is as follows:

a) Equal to 22% of the monthly salary subject to mandatory social insurance contributions of the worker in the immediately preceding month before going abroad for those who have previously participated in mandatory social insurance;

b) Equal to 22% of twice the base salary for workers who have not participated in mandatory social insurance or have participated but received a lump-sum social insurance benefit.

Article 4. Monthly salary serving as the basis for mandatory social insurance contributions

1. For workers specified in Points a, c, and d Clause 1 Article 2 of this Circular who implement state-prescribed salary systems, the monthly salary for social insurance contributions shall be the level of salary according to military rank or grade and step, and allowances for position, seniority in profession, seniority beyond the framework (if applicable), and differential retention coefficient (if applicable).

The monthly salary for social insurance contributions shall be calculated based on the minimum wage level prescribed by the Government at each stage.

2. In cases where workers specified in Point a Clause 1 Article 2 of this Circular are assigned by competent authorities to work in agencies and organizations outside the Military and State Security Services while still being managed by their original units, the monthly salary for social insurance contributions shall be implemented according to the provisions of Clause 1 of this Article.

3. In cases where workers specified in Point a Clause 1 Article 2 of this Circular hold leadership positions in agencies and units within the Military and State Security Services, and are concurrently elected or appointed to leadership positions in other agencies and units (both within and outside the Military and State Security Services), they shall enjoy the allowance for concurrent positions as stipulated by laws on salaries. The monthly salary for social insurance contributions shall be implemented according to the provisions of Clause 1 of this Article.

4. For workers specified in Point b Clause 1 Article 2 of this Circular, the monthly salary for social insurance contributions shall be the minimum wage level prescribed by the Government at the time of contribution.

5. For workers specified in Point d Clause 1 Article 2 of this Circular who receive salaries determined by their employers, the monthly salary for social insurance contributions shall be defined as follows:

a) From January 1, 2016 to December 31, 2017, the monthly salary for social insurance contributions shall be the salary and wage allowances recorded in the labor contract as stipulated by laws on labor, specifically including: the salary calculated based on time spent on work or job title according to the salary scale established by the employer in accordance with labor laws that both parties have agreed upon, or the salary calculated based on time to determine unit prices or piece-rate wages (for workers receiving piece-rate or lump-sum wages); and wage allowances to compensate for factors such as working conditions, complexity of tasks, living conditions, and the attractiveness of the job that are not fully covered by the agreed-upon salary in the labor contract, such as position allowances, responsibility allowances, hazardous work allowances, seniority allowances, regional allowances, mobility allowances, attraction allowances, and similar allowances;

b) From January 1, 2018 onwards, the monthly salary for social insurance contributions shall be the salary and wage allowances as stipulated in Point a of this Clause and additional amounts that can be specifically determined together with the agreed-upon salary in the labor contract, paid regularly or during each pay period as stipulated by laws on labor;

c) The monthly salary for mandatory social insurance contributions does not include other benefits and welfare, such as bonuses as stipulated in Article 103 of the Labor Code, innovation bonuses; meal allowances during work breaks; allowances for transportation, telephone, travel, housing, childcare, and other support payments when employees have family members who pass away, get married, or celebrate birthdays, and assistance for employees facing difficulties due to workplace accidents or occupational diseases, and other support and assistance payments listed separately in the labor contract agreed upon by both parties;

d) The monthly salary for social insurance contributions for business managers who receive salaries is the salary determined by the enterprise, excluding specialized management officials in a single-member limited liability company owned by the state;

e) The monthly salary for social insurance contributions for non-specialized state capital representatives in economic groups, corporations, and state-owned enterprises after privatization; limited liability companies with two or more shareholders (hereinafter referred to as economic groups, corporations, and companies) is the salary according to the salary system of the agency or organization where they worked before being appointed as state capital representatives;

The monthly salary for social insurance contributions for specialized state capital representatives in economic groups, corporations, and companies is the salary according to the salary system decided by the economic group, corporation, or company;

g) During periods when workers are temporarily unemployed as prescribed by laws on labor but continue to receive salaries, workers and employers shall make mandatory social insurance contributions based on the salary received by the worker during the period of unemployment;

h) The lowest monthly salary for social insurance contributions for workers shall be equal to the minimum regional wage prescribed by the Government at each stage.

6. If the monthly salary exceeds twenty times the minimum wage level, the monthly salary for social insurance contributions shall be twenty times the minimum wage level.

Article 5. Establishing Social Insurance Revenue Plans

1. For budgetary units

a) Annually, units at the Brigade level (or equivalent) and above shall base their social insurance revenue plans for the following year on the number of personnel, the salary fund for social insurance contributions of their unit, and the prescribed contribution rate (using form number 08/BHXH) and submit to the financial authority of the direct superior unit. In cases where there are parts within the unit that self-account for salaries, the unit's social insurance revenue plan shall consist of two parts: the part for units receiving salaries from the state budget and the part for the self-accounting section.b) Units at the Brigade level and above shall aggregate the social insurance revenue plans of subordinate units into their own social insurance revenue plan and submit it to the financial authority of the direct superior unit up to the level directly under the Ministry for consolidation, and send the revenue plan to the Financial Department of the Ministry of National Defense and the Social Insurance Department of the Ministry of National Defense before June 20 each year. In cases where there are parts within the unit that self-account for salaries, the social insurance revenue plan will also be divided into two parts as specified in Point a of this Clause.

2. For enterprises and public service units (hereinafter referred to collectively as enterprises)

Annually, enterprises shall base their social insurance revenue plans on the number of personnel, the salary fund for social insurance contributions, and the prescribed contribution rate, and submit them to the financial authority of the direct superior unit; simultaneously send to the Financial Department of the Ministry of National Defense and the Social Insurance Department of the Ministry of National Defense before June 20.

3. The Social Insurance Department of the Ministry of National Defense shall take the lead, coordinate with the Financial Department of the Ministry of National Defense and relevant agencies to consolidate the social insurance revenue plans of units for the year, establish the social insurance revenue plan for the Ministry of National Defense for the year, submit it for approval by the head of the Ministry of National Defense, and send it to the Vietnam Social Security. and submit to the financial authority of the direct superior unit. In cases where there are parts within the unit that self-account for salaries, the unit's social insurance revenue plan shall consist of two parts: the part for units receiving salaries from the state budget and the part for the self-accounting section.4. Establishing Plans

a) For salaried personnel

Annual social insurance revenue plan amount

Planned annual salary fund for calculating social insurance revenue

b) For non-commissioned officers, conscripts, and cadets in confidential training

Average monthly number of non-commissioned officers, conscripts, and cadets in confidential training

Article 6. Allocation and Assignment of Social Insurance Revenue Budget Estimates

and submit it to the Financial Department of the Ministry of National Defense (within 15 days from the date of receipt of the Decision assigning budget estimates from the General Director of the Vietnam Social Security) for review.

2. The Financial Department of the Ministry of National Defense shall take the lead, coordinate with relevant agencies to review, and submit to the Minister of National Defense for approval of the assignment of social insurance revenue budget estimates to units. 3. Within 15 days from the date the Minister signs the Decision assigning social insurance revenue budget estimates, the Social Insurance Department of the Ministry of National Defense shall have the responsibility to notify units to implement. 4. In cases where adjustments or supplements to the social insurance revenue budget estimates are required during the year, units shall submit written requests to the financial authority of the direct superior unit up to the Financial Department of the Ministry of National Defense and the Social Insurance Department of the Ministry of National Defense for consolidation and reporting to the Ministry for consideration and decision.

2. The Department of Finance under the Ministry of National Defense shall take the lead and coordinate with relevant agencies to review and submit to the Minister of National Defense for approval the budget estimate for social insurance revenue allocation to units.

3. Within fifteen days from the date the Minister signs the Decision on allocating the social insurance revenue budget of the Minister of National Defense, the Social Insurance Department of the Ministry of National Defense shall be responsible for notifying the units to implement.

4. In cases where it is necessary to adjust or supplement the social insurance revenue budget during the year, the units shall submit written requests to their superior financial authorities up to the Department of Finance under the Ministry of National Defense and the Social Insurance Department of the Ministry of National Defense for consolidation and reporting to the Ministry for consideration and decision.

Article 7. Social Insurance Collection Procedure

1. For units receiving salaries from the state budget

a) Monthly, the financial department of the unit shall base on the payroll list to calculate the amount of social insurance contributions (the portion paid by the employee) and deduct it from each employee's salary when distributing monthly salaries (according to form number 02/BHXH). (in accordance with form number 02/BHXH).

After distributing monthly salaries, the financial department shall aggregate the amount of social insurance contributions due from employees and calculate the amount of social insurance contributions (the portion paid by the employer) to be submitted to the higher-level financial department up to the level directly under the Ministry. Units at the level directly under the Ministry shall be responsible for submitting the social insurance contributions to the dedicated account of the Social Insurance of the Ministry of National Defense no later than the last day of the month.

b) For employees working under labor contracts signed by the head of the unit, monthly, the unit shall be responsible for calculating the amount of social insurance contributions to be submitted (including two parts: the portion paid by the employer and the portion paid by the employee) and submit it to the higher-level financial department up to the level directly under the Ministry to deposit into the dedicated account of the Social Insurance of the Ministry of National Defense no later than the last day of the month.

2. For enterprises

Monthly, the enterprise shall base on the list of employees and the social insurance contribution fund of each employee to calculate the amount of social insurance contributions to be submitted (including two parts: the portion paid by the employer and the portion paid by the employee), aggregate the amount of social insurance contributions to be deposited into the dedicated account of the Social Insurance of the Ministry of National Defense no later than the last day of the month. Specifically:

a) The portion paid by the employee: Based on the list of employees and the social insurance contribution fund, the financial department shall calculate the social insurance contribution of each individual and deduct it from their salary (according to form number 03/BHXH). (in accordance with form number 03/BHXH);

b) The portion paid by the employer: Based on the monthly wage fund for social insurance contributions and the prescribed contribution rate, the financial department shall allocate the amount of social insurance contributions to be submitted and record it as part of the enterprise's production and business expenses.

3. The unit directly managing employees with spouses or partners as stipulated in Clause 2, Article 2 of this Circular shall be responsible for collecting the mandatory social insurance contributions of the spouse or partner according to the prescribed rate in Clause 3, Article 3 of this Circular and depositing them into the dedicated account of the Social Insurance of the Ministry of National Defense no later than the last day of the month.

Article 8. Recovery, Supplemental Payment, and Refund of Social Insurance Contributions

1. Situations requiring recovery and supplemental payment of monthly wages subject to mandatory social insurance contributions for employees and employers include:

a) Adjusting an increase in the monthly wage already contributed to social insurance for employees;

b) Paying back the period not contributed during employment abroad under a labor contract;

c) Evading, delaying, or misappropriating social insurance contributions of employees.

2. The amount of recovered and supplemental social insurance contributions shall be calculated as follows:

a) In cases specified in Point a and Point b of Clause 1 of this Article, interest on late payments shall not be charged.

If recovery of social insurance contributions is carried out more than six months after the decision to adjust the monthly wage for social insurance contributions for employees or terminate the labor contract and return to the country takes effect, the amount of recovered social insurance contributions shall include the amount of mandatory social insurance contributions due and interest on late payments calculated on the amount due. The interest rate for late payments shall be equal to the average investment yield of the social insurance fund in the preceding year of the year in which recovery is calculated.

b) In cases specified in Point c of Clause 1 of this Article, they shall be implemented in accordance with Clause 3, Article 122 of the Social Insurance Law; Clause 3, Article 6 of Decision No. 60/2015/QĐ-TTg dated November 27, 2015 of the Government on the financial management mechanism for social insurance, health insurance, unemployment insurance, and management costs for social insurance, health insurance, and unemployment insurance; and Article 5 of Circular No. 20/2016/TT-BTC dated February 3, 2016 of the Ministry of Finance guiding the implementation of the financial management mechanism for social insurance, health insurance, unemployment insurance, and management costs for social insurance, health insurance, and unemployment insurance.

3. Employers shall be responsible for fully paying mandatory social insurance contributions, including late payment interest as prescribed, for employees eligible for social insurance benefits or whose labor contracts have been terminated, to promptly resolve social insurance entitlements for employees.

4. In cases where military personnel who have been demobilized or discharged have received a lump-sum social insurance payment from the social insurance fund within twelve months from the date the demobilization or discharge decision took effect, if they wish to retain the time of social insurance contributions, they may return the lump-sum social insurance payment to the Social Insurance of the Ministry of National Defense, and the Social Insurance of the Ministry of National Defense shall confirm and retain the time of social insurance contributions on the social insurance book.

5. The Social Insurance of the Ministry of National Defense shall refund social insurance contributions to employees and employers in cases where the social insurance contributions paid by employees and employers exceed the amount due as prescribed.

Article 9. Settlement and Finalization of Social Insurance Revenue

1. Quarterly, units shall base on the amount due for social insurance for the quarter and the total amount of social insurance paid for the quarter to prepare the Quarterly Report on Collection and Payment of Social Insurance (in accordance with Form No. 09/BHXH) and send it to the financial authority of the superior unit up to the level directly under the Ministry for review, confirmation, and consolidation to be sent to the Financial Department of the Ministry of National Defense (one copy) and the Social Insurance of the Ministry of National Defense (two copies).

Enterprises shall send the Quarterly Report on Collection and Payment of Social Insurance to the direct superior financial authority (one copy), the Financial Department of the Ministry of National Defense (one copy), and the Social Insurance of the Ministry of National Defense (two copies).

2. Upon receiving the quarterly report on collection and payment of social insurance from the unit, the Social Insurance of the Ministry of National Defense shall conduct verification, inspection, confirm the amount of social insurance paid for the quarter, and send the confirmation to the unit.

3. At the latest by the end of the month, quarter, or year, the Social Insurance of the Ministry of National Defense shall be responsible for transferring the entire amount of social insurance revenue for the month, quarter, or year (including any late payment interest, if applicable) to the Vietnam Social Security in accordance with regulations; at the same time, prepare the report on collection and payment of social insurance to be sent to the Vietnam Social Security in accordance with regulations.

4. Annually, units shall base on the amount due for social insurance, the amount collected and paid during the year, check and review, and prepare the annual settlement report on social insurance collection to be sent to the financial authority of the superior unit up to the level directly under the Ministry for review, consolidation, and preparation of the annual settlement report on social insurance collection together with the annual settlement report on social insurance expenditure, to be sent to the Financial Department of the Ministry of National Defense (one copy) and the Social Insurance of the Ministry of National Defense (four copies). Enterprises shall send the annual settlement report on social insurance collection directly to the direct superior financial authority (one copy), the Financial Department of the Ministry of National Defense (one copy), and the Social Insurance of the Ministry of National Defense (four copies).

5. The Social Insurance of the Ministry of National Defense shall take the lead and coordinate with the Financial Department of the Ministry of National Defense and relevant agencies to consolidate and submit to the Minister of National Defense for approval of the annual settlement of social insurance collection for units; at the same time, prepare the annual settlement report on social insurance collection of the Ministry of National Defense to be signed and submitted to the Vietnam Social Security in accordance with regulations.

Chapter III

MANAGEMENT OF COMPULSORY SOCIAL INSURANCE EXPENDITURE

Article 10. Payment of Social Insurance Benefits

1. For SQ, QNCN, personnel engaged in confidential work, CN, VCQP, and other salary recipients:

a) Sickness benefit, including:

- Sickness allowance (for personal sickness, child's sickness);

- Health recovery after sickness.

b) Maternity benefit, including:

- Maternity allowance (for prenatal examination, miscarriage, abortion, stillbirth or pathological termination of pregnancy; childbirth; male laborer whose wife gives birth; surrogate mother; mother who receives a surrogate child; adoption; insertion of an intrauterine device or implementation of sterilization methods);

- One-time maternity allowance when giving birth or adopting a child;

- Health recovery after maternity.

c) Work injury and occupational disease benefit, including:

- Assessment of the degree of loss of working capacity;

- One-time or monthly work injury and occupational disease allowance;

- Allowance for living aids and orthopedic devices;

- Service allowance;

- One-time death allowance due to work injury or occupational disease;

- Health recovery after work injury or occupational disease (at home; at a centralized location).

d) Retirement benefit, including:

- One-time retirement allowance;

- One-time social insurance allowance upon discharge;

- One-time social insurance allowance upon resignation;

- One-time allowance for the period of social insurance contribution that includes regional allowances upon retirement, discharge, or resignation (if applicable).

đ) Funeral and survivor benefit, including:

- Funeral allowance;

- One-time survivor allowance;

- One-time allowance for the period of social insurance contribution that includes regional allowances (if applicable).

2. For non-commissioned officers, conscripts, and students in confidential training:

a) Work injury and occupational disease benefit, including:

- One-time or monthly work injury and occupational disease allowance;

- One-time or monthly work injury and occupational disease allowance;

- Service allowance;

- One-time death allowance due to work injury or occupational disease;

- Allowance for service personnel.

b) Discharge benefit: One-time social insurance allowance upon discharge.

đ) Funeral and survivor benefit, including:

c) Funeral and survivor benefit, including:

Article 11. Contributions to Health Insurance

The Social Insurance of the Ministry of National Defense shall allocate from the sick leave and maternity fund to contribute to health insurance for workers in accordance with the laws on health insurance during the period when workers are on sick leave receiving sickness benefits due to diseases listed in the Catalogue of Diseases Requiring Long-term Treatment issued together with Circular No. 14/2016/TT-BYT dated May 12, 2016 of the Ministry of Health guiding detailed implementation of certain provisions of the Social Insurance Law in the field of health; or during the period when workers are on maternity leave.

Article 12. Management Costs of Social Insurance

Management costs of social insurance shall be implemented in accordance with Decision No. 60/2015/QĐ-TTg dated November 27, 2015 of the Prime Minister on the financial management mechanism for social insurance, health insurance, unemployment insurance, and management costs of social insurance, health insurance, and unemployment insurance, and Circular No. 20/2016/TT-BTC dated February 3, 2016 of the Ministry of Finance guiding the implementation of the financial management mechanism for social insurance, health insurance, unemployment insurance, and management costs of social insurance, health insurance, and unemployment insurance, including the following expenditure items:

a) Regular expenditure for contractual labor;

b) Special regular expenditure;

c) Irregular expenditure.

Article 13. Preparation of Social Insurance Expenditure Plan

1. Annually, based on the manpower plan, the benefit level of each category, and the actual implementation of social insurance expenditure in the previous year, units at the Brigade level (or equivalent) and above shall prepare the annual social insurance expenditure plan, submit it to the finance department of the superior unit up to the level directly under the Ministry for consolidation, and send it to the Financial Department of the Ministry of National Defense and the Social Insurance of the Ministry of National Defense before June 20.

In cases where units receiving salaries from the state budget have self-accounting departments, the social insurance expenditure plan of the unit shall include two parts: the social insurance expenditure part of units receiving salaries from the state budget and the social insurance expenditure part of the self-accounting department.

2. Enterprises shall base their annual social insurance expenditure plan on the manpower plan, the benefit level of each category, and the actual implementation of social insurance expenditure in the previous year, submit it to the finance department of the directly superior unit; simultaneously send it to the Financial Department of the Ministry of National Defense and the Social Insurance of the Ministry of National Defense before June 20 annually.

3. The social insurance expenditure plan must fully reflect each expenditure item stipulated in Articles 10, 11, and 12 of this Circular for each group of beneficiaries and benefit levels, accompanied by explanations about the number of current beneficiaries, anticipated increases and decreases in beneficiaries, and other expenditure needs for the year. (in form 06a/BHXH, 06b/BHXH).

4. The Social Insurance of the Ministry of National Defense shall take the lead and coordinate with the Financial Department of the Ministry of National Defense and relevant agencies to consolidate the annual social insurance expenditure plans of units, prepare the annual social insurance expenditure plan of the Ministry of National Defense, submit it for approval by the head of the Ministry of National Defense, and send it to the Vietnam Social Security in accordance with regulations.

Article 14. Allocation and Assignment of Social Insurance Expenditure Budget

1. Annually, based on the social insurance expenditure budgets prepared by units, the Decision assigning the social insurance expenditure budget of the Vietnam Social Security, the Social Insurance of the Ministry of National Defense shall propose the allocation of the social insurance expenditure budget along with the draft Decision of the Minister assigning the social insurance expenditure budget to units. 3. Within 15 days from the date the Minister signs the Decision assigning social insurance revenue budget estimates, the Social Insurance Department of the Ministry of National Defense shall have the responsibility to notify units to implement. 4. In cases where adjustments or supplements to the social insurance revenue budget estimates are required during the year, units shall submit written requests to the financial authority of the direct superior unit up to the Financial Department of the Ministry of National Defense and the Social Insurance Department of the Ministry of National Defense for consolidation and reporting to the Ministry for consideration and decision.

2. The Financial Department of the Ministry of National Defense shall take the lead and coordinate with relevant agencies to review and submit the Decision assigning the social insurance expenditure budget to units for approval by the Minister of National Defense.

3. Within 15 days from the date the Minister signs the Decision assigning the social insurance expenditure budget of the Minister of National Defense, the Social Insurance of the Ministry of National Defense shall be responsible for notifying units to implement it.

4. In cases where adjustments or supplements to the social insurance expenditure budget are required during the year, units shall submit written requests to the finance department of the superior unit up to the Financial Department of the Ministry of National Defense and the Social Insurance of the Ministry of National Defense for consolidation and reporting to the Ministry for consideration and decision.

5. The allocation of the social insurance expenditure budget must ensure that the total assigned budget for units does not exceed the budget already announced by the Vietnam Social Security to the Ministry of National Defense.

Article 15. Allocation of Social Insurance Funds

Every quarter, based on the social insurance expenditure tasks assigned by the Ministry of National Defense to units, the Social Insurance Department under the Ministry of National Defense shall implement the allocation of funds for these units to use.

Article 16. Organization of Payment of Social Insurance Benefits

1. Based on the application files and lists of individuals entitled to social insurance benefits transferred by personnel agencies, financial agencies shall review and prepare payment schedules for social insurance (according to forms number 04/BHXH and number 05/BHXH), submit them for approval by the unit head, and organize the payment of social insurance benefits to each individual; in which: (in accordance with form numbers 04/BHXH and 05/BHXH)a) Days during which sickness allowance or maternity allowance has been received shall not be eligible for salary (except in cases where work resumes before the end of the childbirth period stipulated in Article 40 of the Social Insurance Law). Therefore, in the monthly salary payment schedule, the salaries of days off without pay due to receipt of sickness or maternity allowances from the social insurance fund must be deducted.

b) In cases where employees do not work and do not receive wages for 14 working days or more in a month, they will not contribute to social insurance for that month. This period will not be counted towards social insurance benefits, except in cases of leave for maternity benefits.

c) In cases where employees suffer from long-term illness but continue to work and receive wages (without receiving sickness allowance from the social insurance fund) while still participating in social insurance contributions, this period will be counted towards their social insurance contribution period.

d) In cases where employees are sick and must take leave for hospitalization treatment or outpatient treatment, upon discharge or return to work, the unit shall base on the discharge certificate or the sick leave confirmation for outpatient treatment to pay sickness allowance instead of salary corresponding to the treatment period. If the number of sick leave days can only be calculated at the end of the month, the payment of sickness allowance and deduction from salary will be carried out in the following month after discharge or return to work.

Example 1: Comrade Colonel Nguyen Van A was hospitalized from August 18, 2016 to August 31, 2016. Upon discharge and returning to the unit, the payment of sickness allowance and recovery of salary for sick leave days in August 2016 for Comrade A was implemented in September 2016.

Example 2: Comrade Major Civil Servant Nguyen Thi B was hospitalized from August 18, 2016 (received full salary for August 2016 at the unit) until September 9, 2016 (received September 2016 salary at the hospital). Upon discharge and returning to the unit, the payment of sickness allowance (for August and September 2016) and recovery of salary for sick leave days (for August and September 2016) for Comrade B was implemented in October 2016.

d) For employees of enterprises (military personnel within the establishment) who undergo treatment at military hospitals or clinics, enterprises and public service organizations do not need to transfer financial supply certificates to the hospitals or clinics. The enterprises ensure the payment of wages to employees during working days in the month of sick leave or maternity leave.

e) The payment of social insurance benefits from the social insurance fund to employees directly managed by the unit shall be carried out by the unit itself. Military hospitals and clinics do not make payments of social insurance benefits (sickness allowance; maternity allowance; convalescence and health recovery after sickness or maternity; occupational accident and occupational disease; funeral expenses) to employees managed by other units who are patients undergoing inpatient treatment. Personnel, Military Affairs, Military Health, and Financial agencies at the unit shall closely cooperate, prepare application files, and organize timely, accurate, and complete payment of social insurance benefits according to regulations.

2. When implementing the payment of social insurance benefits, financial agencies must base on the social insurance books and payment application files in accordance with the prescribed regulations.

2. When disbursing social insurance benefits, the financial agency must base its actions on the social insurance books and the disbursement documents in accordance with the prescribed regulations.

Article 17. Settlement of Social Insurance Expenditure

1. Every quarter and year, units shall base on the payment tables for social insurance allowances, expenditure vouchers for social insurance management costs each month, conduct inspections, reviews, and prepare reports for the settlement of social insurance expenditure (in accordance with form number 07a/BHXH), reports for the settlement of social insurance management expenditure (in accordance with form number 07b/BHXH) to be submitted to the higher financial authority up to the Department of Finance under the Ministry of National Defense (one copy), the Social Insurance of the Ministry of National Defense (two copies for quarterly reports; four copies for annual reports) together with the time of submitting the report on the settlement of defense budget expenditure.

2. The quarterly and annual reports on the settlement of social insurance expenditure shall be carried out strictly according to the prescribed forms (in accordance with form number 07a/BHXH, 07b/BHXH).

3. Annually, the Social Insurance of the Ministry of National Defense shall take the lead, coordinate with the Department of Finance under the Ministry of National Defense and relevant agencies to review and submit to the Minister of National Defense for approval the annual settlement of social insurance expenditure for units; at the same time, prepare the annual report on the settlement of social insurance expenditure of the Ministry of National Defense to be sent to the Vietnam Social Security in accordance with regulations.

Chapter IV

SOCIAL INSURANCE INCOME AND EXPENDITURE ACCOUNTING AT THE UNIT

Article 18. General Principles

1. All activities related to income and expenditure of social insurance at the unit must be fully, accurately, and truthfully reflected in the unit's accounting books.

2. Income and expenditure vouchers for social insurance shall be collected in chronological order, by each benefit scheme, bound separately, and preserved and stored together with the unit's accounting vouchers in accordance with current regulations.

Article 19. Accounting for Social Insurance Income and Expenditure

1. For budgetary units

Accounting for social insurance income and expenditure shall be carried out in accordance with the guidance of the Department of Finance under the Ministry of National Defense regarding the accounting system for budgetary units within the military.

2. For enterprises

Accounting for social insurance income and expenditure shall be carried out in accordance with Circular No. 200/2014/TT-BTC dated December 22, 2014, issued by the Ministry of Finance guiding the enterprise accounting system.

Chapter V

IMPLEMENTATION

Article 20. Responsibilities of Agencies and Units

1. The Policy Department of the Political Bureau shall take the lead, coordinate with functional agencies to guide and inspect the implementation and resolution of issues arising during the implementation of the Social Insurance Law within the Ministry of National Defense.

2. The Cadre Department of the Political Bureau and the Military Affairs Department of the General Staff shall take the lead, coordinate with functional agencies to inspect and supervise the recruitment of contractual labor by units; implement joint verification of personnel strength; direct and guide their sectors in implementing social insurance benefits in accordance with state and Ministry of National Defense regulations.

3. The Department of Finance under the Ministry of National Defense shall have the responsibility to coordinate with the Social Insurance of the Ministry of National Defense to develop plans for social insurance income and expenditure; direct and guide their sectors in implementing social insurance benefits in accordance with state and Ministry of National Defense regulations; coordinate to direct, guide, and inspect the implementation and resolution of issues arising during the process.

4. The Department of Military Medicine under the Ministry of National Defense shall have the responsibility to direct and guide their sector in confirming workers' leave due to illness or maternity; medical examination to resolve social insurance benefits.

5. The Social Insurance of the Ministry of National Defense shall take the lead, coordinate with relevant agencies to develop plans for social insurance income and expenditure; be responsible for directing, organizing, and inspecting the implementation of the contents stipulated in this Circular.

6. Units shall organize the implementation of mandatory social insurance benefits in accordance with laws on social insurance; ensure full, accurate, and correct income and expenditure; link the resolution of social insurance policies, issuance of social insurance books with income collection; not use funds from the social insurance fund for other purposes, and vice versa, not aggregate expenditures belonging to the social insurance expenditure content for settlement with the defense budget; manage support expenses within the assigned plan.

7. Heads of units at all levels shall be responsible for directing functional agencies of their units and subordinate units to properly carry out work on attendance marking, fully and accurately record the time workers are absent and conditions for enjoying mandatory social insurance benefits; prepare and collect all relevant files and vouchers for mandatory social insurance income and expenditure at the unit; regularly inspect the implementation of mandatory social insurance benefits by their units and subordinate units.

Article 21. Handling violations related to social insurance

Acts of administrative violation; forms of punishment, fines, authority to impose penalties, measures to remedy consequences, procedures for handling administrative violations in the field of social insurance of workers, employers, and social insurance organizations shall be implemented in accordance with the provisions of laws on handling administrative violations in the field of social insurance.

Article 22. Effectiveness

1. This Circular takes effect from April 2, 2017. Specifically, the subjects regulated by Point d Clause 1 Article 2 of this Circular, which are workers under labor contracts with a duration of at least one month but less than three months, shall implement it from January 1, 2018.

2. Circular No. 42/2009/TT-BQP dated July 30, 2009 of the Ministry of National Defense guiding the management of income and expenditure for mandatory social insurance in the Vietnam People's Army ceases to be effective from the date this Circular takes effect. All previous regulations on the management of income and expenditure for social insurance in the Ministry of National Defense that conflict with the provisions of this Circular are hereby abolished.

3. In cases where legal normative documents or provisions referred to for application in this Circular are amended, supplemented, or replaced by new legal normative documents, the contents referred to for application shall be applied according to those new legal normative documents.

Article 23. Responsibility for Implementation

The Chief of General Staff, the Director of the Political General Department, heads of agencies and units within the Ministry of National Defense, and relevant organizations and individuals are responsible for implementing this Circular. Any difficulties encountered during the implementation process should be reported to the Ministry of National Defense (through the Financial Department) for consideration and resolution.

Any difficulties encountered during the implementation process should be reported to the Ministry of National Defense (through the Financial Department) for consideration and resolution./.