[Webinar recap] Labor, Payroll & Employment Tax in Vietnam 2026

Foreign employees: The rules have changed 

Under Decree 219/2025/ND-CP, the framework for employing foreign nationals in Vietnam has been updated, and the classification of your hire determines everything: which work permit pathway applies, what documents are required, and what timelines you are working against. 

The three pathways: Work Permit, Certificate of WP Exemption, and Notice Obligation are not interchangeable. Employing foreign employees to work in Vietnam without the valid working permit & relevant documents mentioned above can result in fines of up to VND 150 million for employers and deportation risk for employees. 

Payroll costs are going up in July 2026

Employers should be aware of one immediate action item: the salary cap for Social Insurance, Health Insurance, and Trade Union contributions will increase from VND 46.8M to VND 50.54M effective July 2026. 

Combined with the total employer statutory contribution rate of 23.5%, this change will affect payroll cost projections for the second half of the year. Now is the time to review your compensation structures, and to ensure that PIT-exempt and SHUI-exempt components are being applied correctly. 

Compliance deadlines leave no room for error

From monthly Social Insurance registrations to annual PIT finalization by 31 March, the compliance calendar in Vietnam is dense. Late payment and late registration on insurance contribution attract interest at 0.03% per day, a cost that compounds quickly if processes are not in place. 

Whether you are setting up a new entity, onboarding expatriate staff, or reviewing existing HR policies, employment compliance in Vietnam is not a one-time exercise. It requires ongoing attention to regulation updates, correct documentation, and timely filings across multiple authorities. 

Need support with employment compliance in Vietnam?

Our team provides end-to-end advisory and outsourcing services, from work permit applications and legal structuring to full payroll management and ongoing compliance. 

🔹 Looking for hands-on support with work permits, employment contracts, and immigration? Explore our Labour, Employment & Immigration Advisory. 

🔹 Let us handle the payroll cycle, statutory contributions, and PIT filing through our HR & Payroll Outsourcing service, so your team can focus on the business. 

📥 Download Labor, Payroll & Employment Tax Obligations in Vietnam 2026 Webinar Key Takeaways below.