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Sohaib Ikram
Sohaib Ikram serves as the Director of Emerhub in Malaysia.
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Andi Refandi
Andi serves as a Senior Account Executive on Emerhub’s global team.
Understanding the average salary in Vietnam allows you to stay competitive when it comes to attracting talent. At the same time, complying with payroll laws and reporting requirements protects your business from penalties and ensures smooth operations.
In this Vietnam salary guide, we’ll give you a clear overview of the minimum wage, statutory contributions, and compliance essentials for you to understand your responsibilities as an employer in Vietnam.
Understanding Vietnam’s Labor and Salary Framework
Vietnam applies a region-based minimum wage system, which means that salary requirements vary depending on the location of employment. As an employer planning to hire employees in Vietnam, you must ensure that salaries meet or exceed the applicable minimum wage as stipulated below:
| Region | Coverage | Monthly Minimum Wage (VND) |
| Region I | Urban districts of Hanoi and Ho Chi Minh City. | VND 4,680,000 |
| Region II | Suburban areas of Hanoi and Ho Chi Minh City, Hai Phong, Da Nang, and Can Tho. | VND 4,160,000 |
| Region III | Provincial cities and major towns. | VND 3,640,000 |
| Region IV | Remaining rural areas and districts. | VND 3,250,000 |
Employment contracts are mandatory and must comply with the Vietnam Labor Code. These contracts must outline key employment terms, including salary, benefits, probation periods, job descriptions, and working hours. There are three types of employment contracts:
- Indefinite-term contracts with no expiry date.
- Fixed-term employment contracts that last up to 36 months.
- Seasonal or project-based contracts for employment that are less than 12 months.
Additionally, employers are required to register all new employees with the Vietnam Social Insurance (VSI) agency within 30 days of their contract commencement. This registration is essential to enroll both the employer and employees into Vietnam’s statutory contribution schemes. Local payroll experts like Emerhub can manage the process for you, from employee enrollment to insurance contributions and filings.
Average Salary Benchmark in Vietnam
It is essential to have a clear understanding of average salary rates when planning to hire in Vietnam. This enables you to remain competitive in attracting and retaining talent, ensuring your compensation packages align with market expectations across industries, regions, and experience levels.
The following tables provide insight into how salaries in Vietnam vary by industry, region, experience level, and roles, giving you a practical reference point for structuring your salary packages when hiring in Vietnam:
A. Average Salary in Vietnam by Industry
| Industry | Average Salary Range (VND) |
| Technology and IT | VND 15,000,000 to VND 30,000,000 |
| Finance and Banking | VND 12,000,000 to VND 25,000,000 |
| Healthcare | VND 20,000,000 to VND 40,000,000 |
| Manufacturing | VND 7,000,000 to VND 15,000,000 |
| Retail and Services | VND 6,000,000 to VND 12,000,000 |
| Business Process Outsourcing (BPO) | VND 15,000,000 to VND 25,000,000 |
| Engineering and Construction | VND 18,000,000 to VND 30,000,000 |
B. Average Salary in Vietnam by Region
| Region | Average Salary Range (VND) |
| Ho Chi Minh City | VND 12,000,000 to VND 25,000,000 |
| Hanoi | VND 10,000,000 to VND 20,000,000 |
| Da Nang | VND 8,000,000 to VND 15,000,000 |
| Rural Areas | VND 5,000,000 to VND 8,000,000 |
C. Average Salary in Vietnam by Experience Level
| Experience Level | Average Salary Range (VND) |
| Entry-Level | VND 7,000,000 to VND 15,000,000 |
| Mid-Level | VND 15,000,000 to VND 30,000,000 |
| Senior-Level | VND 30,000,000 to VND 50,000,000 |
| Manager or Executive | VND 50,000,000 to VND 80,000,000 |
D. Average Salary in Vietnam by Role
| Role | Average Salary (VND) |
| Software Engineer | VND 22,700,000 |
| Finance Manager | VND 47,987,000 |
| Marketing Manager | VND 31,200,000 |
| Digital Marketing Manager | VND 30,700,000 |
| HR Manager | VND 34,500,000 |
| Sales Manager | VND 30,700,000 |
| Account Manager | VND 28,000,000 |
| Senior Accountant | VND 25,000,000 |
| Operations Manager | VND 35,000,000 |
| Senior Legal Officer | VND 40,000,000 |
Salary Structure and Compensation Practices
In Vietnam, compensation packages for employees usually extend beyond base pay to include common allowances such as housing, transportation, meals, and even relocation support. Salaries are paid monthly, although some employers opt for bi-weekly or advance payments to accommodate their workforce’s needs.
It is mandatory to provide detailed payslips that clearly break down all the components of employee compensation, including base salary, allowances, overtime pay, deductions, and the final net salary. In compliance with labor regulations and Vietnamese payroll practices, all salary payments must be made in Vietnamese Dong (VND).
Statutory Contributions and Applicable Taxes
Both employers and employees are required to make the following statutory contributions based on the employee’s salary:
- Social Insurance: 17.5% for Employers, 8% for Employees
- Health Insurance: 3% for Employers, 1.5% for Employees
- Unemployment Insurance: 1% for Employers and Employees
Note that as of 1 July 2025, the contribution base for statutory benefits is capped at 20 times the reference level set by the government.
When it comes to taxes, employers are required to withhold personal income tax (PIT), which is set at a progressive rate ranging from 5% to 35% for locals and a flat 20% rate on Vietnam-sourced income for foreign employees that are not classified as tax residents.
Payroll Reporting Obligations
Timely filing and payment of contributions and taxes are mandatory to avoid hefty penalties or suspension of business operations. The tax filing requirements you should keep in mind include:
Monthly Reports:
- Declare and remit social, health, and unemployment insurance contributions to the Vietnam Social Insurance Authority (VSIA) by the last day of the month.
- PIT filing on the 20th of the following month, but only if the total PIT withheld in the previous year exceeds VND 50 million.
Quarterly Reports:
- If monthly PIT filings are not required, file quarterly instead, with a deadline on the 30th day of the first month of the following quarter.
Annual Reports:
- Submit PIT finalization reports for employees within 90 days after year-end (typically by March 31).
- File the annual Social Insurance Year-End Report.
Overtime Pay and Bonuses
All employees working beyond standard hours are entitled to overtime pay based on when the work is performed:
- Weekdays: 150% of the normal hourly rate
- Weekends: 200% of the normal hourly rate
- Public holidays: 300% of the normal hourly rate
- Night Shift Pay (10 PM to 6 AM): An additional 30% of the applicable hourly wage
In terms of bonuses, the common practice is providing a 13th-month salary, paid at the end of the year during the Tet holidays (New Year), although it is not legally mandated. Adding to this, certain companies offer performance-based bonuses that reward individual, team, or company achievements to motivate their employees and support retention.
How Emerhub Helps You Hire and Pay Employees in Vietnam
Hiring for your workforce in Vietnam can be challenging, with strict payroll regulations and complex local tax rules. To avoid any mistakes that lead to heavy penalties, Emerhub offers tax and payroll services to keep calculations accurate and meet tax deadlines.
Our tax and payroll services include:
- Payroll Processing: Accurate calculation of salaries, overtime, allowances, and bonuses.
- Tax Compliance: Withholding and filing of personal income tax in line with Vietnam’s progressive tax system.
- Statutory Contribution Management: Ensuring both employer and employee contributions are correctly calculated and remitted.
- Reporting and Recordkeeping: Timely preparation of monthly and annual payroll reports to keep your business compliant.
- Localized Expertise: Guidance on Vietnam’s payroll laws and regulations so you can focus on running your business.
Don’t let payroll compliance slow down your expansion. Get in touch with our accountants and business experts for accurate payroll and salary management.
FAQs on Average Salary in Vietnam
An individual is a tax resident if they have stayed in Vietnam for 183 days or more within 12 months, or have a permanent residence in Vietnam.
Employers must maintain detailed payroll records, including contracts, payslips, tax withholdings, and insurance contributions for at least 10 years. These may be inspected during labor or tax audits.
Yes, but stock options and equity-based compensation are less common and more complex. They are generally taxed as personal income at the time of exercise or sale. Employers should seek legal and tax advice before structuring any equity schemes.
Employees with at least 12 months of service who resign or are terminated (not for misconduct) will receive severance pay equal to half a month’s salary for each year of service, based on average earnings from the last six months.
Part-time employees are entitled to the same benefits and protections as full-time staff, but on a pro-rated basis. Their salary, leave, and contributions are calculated proportionally to their working hours.
