Circular No. 39-TC/CNXD guiding the implementation of increasing bonus funds and welfare funds for enterprises in 1975

CIRCULAR

Guidelines for Implementing the Increase in Bonus Funds and Welfare Funds for Enterprises in 1975

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Circular No. 28-LĐ/TT dated November 11, 1975 of the Ministry of Labor has provided guidelines for implementing Decision No. 341-TTg dated November 4, 1975 of the Prime Minister on increasing bonus funds and welfare funds for enterprises in the production sector in 1975. To ensure that enterprises can promptly carry out awards and increase welfare funds, while ensuring clear accounting and compliance with regulations, the Ministry of Finance provides below the method of withdrawing the additional amount mentioned above and the accounting methods for additional expenditures:

1. Regarding the additional bonus money: As reiterated in the aforementioned Circular No. 28-LĐ/TT of the Ministry of Labor, enterprises are allowed to increase their planned wage fund for the third and fourth quarters of 1975 to spend more on bonuses based on the degree of completion of production plans for each quarter and according to the management and control regulations of the wage fund in the material production sector.

The additional amount is withdrawn together with wages to be spent on additional bonuses included in the wage fund already stipulated for each enterprise, aiming to further encourage collectives and individuals who have achieved results in completing the production plan for the third and fourth quarters of 1975 of the enterprise.

After distributing bonuses according to the current regulations, the enterprise shall not use any surplus in the year-end wage fund for other bonuses that overlap with the three-fund bonus system, or establish separate funds for meals and celebrations (See Directive No. 33-TTg dated February 5, 1972 of the Prime Minister and Circular No. 530-VP/KSTL dated December 23, 1971 of the State Bank). The Enterprise Director is responsible for strictly adhering to this regulation.

Therefore, this bonus within the wage is accounted for in the total expenditure on the wage fund of the material production sector in 1975, and there is no need for budget allocation.

2. Additional amount for welfare funds consistent with the nature of the current welfare fund, which is established from enterprise profits, enterprises can withdraw this additional amount by deducting it from the profit paid to the state budget (if the enterprise has a profit) or receiving additional budget support to cover losses (if the enterprise incurs a loss) in 1975.

3. On Accounting Methods:

a) For the additional bonus amount, enterprises base their monthly accounting on actual expenditures and record it like regular wages:

Debit Account 20 Main Production

Debit Account 23 Auxiliary Production

Credit Account 96 Payment to Workers and Staff.

b) For the additional welfare fund contribution, accounting is conducted according to the guidance for Accounts 80 and 99 in the unified account system.