1. Legal Risks Arising from Outdated Wage Regulations
With legal policies changing across the board in 2026, businesses continuing to use the old regulations will face significant risks. The Tax Authority may disallow invalid salary and bonus expenses, and businesses could easily become embroiled in labor disputes due to non-compliance with current regulations.
2. Key Legal Updates 2026
– The model regulations are standardized and continuously updated according to the latest legal documents, including:
– Regional minimum wage levels for 2026: Based on Decree 293/2025/ND-CP (applicable to all 4 regions, detailed by both monthly and hourly wage).
– Salary used as the basis for social insurance contributions: Complies with the Social Insurance Law No. 41/2024/QH15.
– Personal Income Tax: Updated personal allowance rates (VND 15,500,000/individual and VND 6,200,000/dependent) along with a 5-tier progressive tax rate schedule according to Tax Law No. 109/2025/QH15.
3. Structure of the Regulations and Control System for Tax "Hot Spots"
The professionally structured document comprises 10 chapters, 60 articles, and 7 appendices; it includes the issuance decision, table of contents, and all operational forms (salary scale, payslip, KPI evaluation form).
The main content includes:
– Transparent bonus mechanism: Detailed regulations on the conditions for receiving a 13th-month salary and a bonus awarding mechanism based on KPI evaluation results (A/B/C/D rating).
– Corporate income tax risk control: Detailed guidance on expenditure limits to avoid disallowance, specifically:
– The portion of meal allowance exceeding 730,000 VND/person/month.
– The maximum clothing allowance in cash shall not exceed 5,000,000 VND per person per year.
– The maximum welfare fund expenditure shall not exceed one month's average actual salary paid during the year.
Recommended application:
The 2026 Salary and Bonus Regulations are designed to be flexible and suitable for many types of businesses. Accountants and the Board of Directors only need to fill in the legal information and establish a detailed salary scale to complete the document, submit it for signing and issuance, and implement it immediately.
