Vietnam Payroll Localization Supports
1. Income Tax Calculation
Supports Vietnam’s progressive Personal Income Tax (PIT) structure (5% → 35%).
Probation contracts: 10% flat withholding for income above 2,000,000 VND with no insurance deductions.
Definite service contracts: 20% flat withholding with no SI/HI/UI applied.
Automatically detects the contract type and applies the correct tax logic for each employee.
2. Social / Health / Unemployment Insurance (SI / HI / UI)
Automatically calculates both employer and employee contributions for Social Insurance (Bảo hiểm xã hội – BHXH), Health Insurance (Bảo hiểm y tế – BHYT), Unemployment Insurance (Bảo hiểm thất nghiệp – BHTN), and Trade Union (Kinh phí công đoàn).
If an employee works fewer than 14 working days in a month, the system automatically sets all insurance contributions to 0 for that period.
Better HR automatically applies the government-defined capped salary base according to the latest regional minimum wages.
Full breakdowns of employer and employee contributions are displayed clearly in the monthly payslip.
3. Overtime (OT) Handling
Overtime pay is automatically split into taxable and non-taxable portions in accordance with government regulations.
Non-taxable OT (within regulated rates for weekday, weekend, and holiday work) is excluded from PIT, while taxable OT beyond limits is added to taxable income.
4. Tax Reliefs & Allowances
Supports personal (11 million VND/month) and dependent (4.4 million VND/month) deductions.
Allows tax-exempt allowances such as meal, phone, and transport up to 730,000 VND/month.
Tax-relieved allowances can be configured per item, and the system automatically applies the deduction during PIT calculation.
5. Compliance & Reporting
Auto-generates official statutory reports including D02-LT, D01-TS, TK3-TS, and 05-KK-TNCN
Payslips are available in Vietnamese, showing detailed breakdowns of PIT, SI/HI/UI (employer + employee), and all earnings/deductions.
6. Bank Support & Salary Disbursement
Better HR Vietnam allows employee bank account information to be securely stored within their profiles, supporting major Vietnamese banks such as the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), Vietnam Technological and Commercial Joint Stock Bank (Techcombank), Military Commercial Joint Stock Bank (MB Bank), Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank), and the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) and many more
