Average Salary in Vietnam and Its Benefits for Outsourcing

The average monthly wage in Vietnam is 10 million VND (about USD 420) in 2024, reflecting the country’s evolving economic landscape. Understanding how this figure varies across roles, industries, and cities is crucial for both employees and employers. Whether you’re planning a career move, negotiating a raise, or exploring investment opportunities, having a clear picture of salary trends can help you make informed decisions. In this blog, we’ll delve into the latest salary data, offering insights into what drives earnings in Vietnam and how you can leverage this information to align your career goals with financial growth.

What is the Average Salary in Vietnam?

Average Salary in Vietnam

The average monthly wage in Vietnam stood at 10 million VND (about USD 420) in 2024. The cities of Hanoi and Ho Chi Minh are paid relatively more on account of increasing demand and a living cost in these locations. Rural locations will have correspondingly lower wages, compatible with local conditions​.

Median Salary in Vietnam

The median salary in Vietnam is about 14.9 million VND or USD 600 per month. This is the middle of the salary range, and half of the workers will earn more than that and half will earn less. It gives a more realistic view of the usual earnings in the country, free from very high or very low salaries​.

Minimum Wage in Vietnam

The Vietnamese government frequently updates and modifies the minimum wage so that workers will have an opportunity to meet their most basic needs. The country’s wages are divided into four regions and are according to the local cost of living with higher urban centers and less rural. As of July 1, 2024, Decree 74/2024/ND-CP increases minimum wage rates so workers can cope with high living expenses.

Region	Minimum Monthly Salary	Minimum Hourly Salary	Key Cities
Region I	VND 4,960,000	VND 23,800	Hanoi, Ho Chi Minh City, Hai Phong, Bien Hoa, Thu Dau Mot, Vung Tau
Region II	VND 4,410,000	VND 21,200	Ha Long, Ninh Binh, Danang, Nha Trang, Hue, Da Lat, Can Tho, Rach Gia
Region III	VND 3,860,000	VND 18,600	Hai Duong, Quang Ninh, Lam Dong, Kon Tum, Ca Mau
Region IV	VND 3,450,000	VND 16,600	Rural areas and smaller towns

This initiative falls in line with the broader effort of Vietnam to promote better living standards, fairer practices nationwide, and fair labor practices throughout the country. Furthermore, regular revisions help address economic changes and inflation, thereby keeping workers’ incomes sustainable.

How Do Vietnamese Salaries Vary Across Different Factors?

Salaries in Vietnam are affected by so many factors-education, experience, type of work, location, and profession. Knowing these factors can affect how well people can navigate salary expectations and the planning of careers.

Salaries Based on Education

Higher levels of education have a strong effect on earnings in Vietnam. More importantly, individuals holding a doctorate or master’s degree are drastically higher in earnings than those holding lower qualifications.

Education Level	Average Annual Salary
Doctorate Degree	583,387,031 VND
Master’s Degree	512,237,224 VND
Bachelor’s Degree	369,017,765 VND
Any College Degree	287,680,703 VND
High School Diploma	267,467,167 VND
Below High School	116,245,080 VND

Source: Averagesalarysurvey.com

Salaries Based on Experience

Salary increments for employees in Vietnam strongly follow experience years. The highest earner is above 20 years of experience, and the lowest is an entry-level employee. It strongly emphasizes the importance of experience in wage determination.

Years of Experience	Average Annual Salary
20+	604,037,493 VND
16-20	704,001,363 VND
12-16	600,059,175 VND
8-12	564,438,279 VND
4-8	412,549,306 VND
2-4	263,005,931 VND
1-2	178,495,413 VND
0-1	139,517,092 VND

Source: Averagesalarysurvey.com

Salaries Based on Work Type

Different work arrangements influence earnings. Independent and permanent employees are better paid than part-time and contract employees due to the stability and the extent of these positions.

Work Type	Average Annual Salary
Self-Employed	436,557,192 VND
Full-Time	416,297,664 VND
Contract	327,693,847 VND
Part-Time	171,481,615 VND

Source: Averagesalarysurvey.com

Salaries Based on City

Salaries differ by city in Vietnam. Urban cities such as Hanoi and Ho Chi Minh City tend to pay better than the smaller cities because the economic activity is higher, and so are the living costs.

City	Average Annual Salary
Hanoi	295,927,293 VND
Ho Chi Minh City	281,614,084 VND
Haiphong	254,739,112 VND

Source: NICVN.com

Salaries Based on Profession

The profession is one of the most effective determinants of salary variations. Specializations attract better pay as observed from the high-demand areas for instance dentists, engineering, and technology professions.

Professions	Average Annual Salary
Dentist	775,633,674 VND
Human Resources Manager	523,705,126 VND
JavaScript Developer	516,559,063 VND
Electrical Engineer	512,670,713 VND
Project Manager	482,558,759 VND
Financial Analyst	479,134,485 VND
Business Development Analyst	450,939,128 VND

Source: Salaryexpert.com

What is the Gender Pay Gap in Vietnam?

• Vietnam ranks 72nd in the 2024 World Economic Forum’s Global Gender Gap Report with a gender parity score of 71.5%. This surpasses both the global and regional averages for East Asia and the Pacific.
• Despite all the progress, the gender pay gap persisted. In 2021, women received average salaries that were 29% lower than their male counterparts; the gap is sharper among older workers and in agriculture.
• Vietnamese women have a continuing burden of household chores that hampers their ability to enter formal employment and consequently leads to a higher income disparity.
• The economic parity for women to men from 2023 to 2024 rose from 74.9% to 75.1%.

To address these issues, Vietnam has implemented initiatives aimed at:

• Increasing the role of women in the education and training processes.
• Encouraging the creation of businesses by women.
• Promoting equal opportunities for women to get into leadership positions.

How Often Do Employees in Vietnam Get a Salary Increment?

In Vietnam, salary increments on an annual basis are based on experience, industry standards, and company performance. The increment scale is not fixed; it increases when organizations are looking for ways through which they can motivate competent staff.

Increment Trends by Experience

In Vietnam, increments are driven highly by experience. It is a 5 to 10% annual raise for people who have experienced 2 to 5 years, while employees who have served for over 10 years receive high increments that fall between 15 and 20%, depending on the business or role. Highly experienced senior professionals and management roles would get more adjustment since they play a great role in business outputs.

Increment Trends by Industry

Salary growth trends vary between sectors. Generally, the increments offered would be higher, that is about 10-15% within industries such as technology, finance, and engineering due to constant demand for the relevant skill sets. The industry types such as manufacturing and retail, being relatively constraint-oriented in costs, often present lower increments at approximately 5-8%. Currently, high-growth sectors are IT and digital marketing. High salaries are paid in many such fields for talent acquisition and retention​.

What Is the Cost of Living in Vietnam?

Living costs remain comparatively cheaper in Vietnam than in most countries despite the differences in region and personal demeanor. Here’s an overview of key expenses.

Housing

Rent is considered the highest expense. Average rents for a mid-range apartment range between $315-$615 per month, in bigger cities such as Hanoi and Ho Chi Minh City. For small towns or outer cities, the price of renting will go down to as little as $150-$250 per month​.

Food

Dining out is relatively inexpensive. A street food meal costs between $2 and $5. A mid-range restaurant meal will cost $10-$20. It’s even cheaper to cook at home, especially if groceries are sourced from local markets​.

Transportation

Public transport is very budget friendly. Local bus fare costs $0.30 – $0.50 when as for metro, a single ride would cost $0.50 -$1. Taxi-hailing services like Grab costs between $0.80-$1 per kilometer.

Utilities and Internet

Monthly utility costs (electricity, water, etc.) are about $50-$80 for small apartment working. Internet, almost ubiquitously accessible, is about $10 a month and that’s often included in your apartment rental agreement.

Health and Education

Healthcare is affordable and most of the expenses can be paid through insurance. Local schools will cost around $300 – $800 a year while international schools cost a minimum of $5,000 up to $20,000 annually. ​

Entertainment and Services

Movie tickets are said to cost $3 to $5 while personal service such as hair cutting costs $5 to $15. Luxury services are pricier but still cheaper than in Western countries​.

Benefits of Outsourcing to Vietnam

Outsourcing to Vietnam has gained significant momentum recently because of its unique blend of affordability, skilled human resources, and business environment. Here’s an in-depth look at how businesses around the world make Vietnam a key outsourcing site.

Cost-Effective Solutions

Vietnam offers less costly labor compared to other known sourcing destinations like China and India. With average pay relatively much lower, any organization can save a big portion of the budget without undermining the quality. This alone places Vietnam as a strong preference for companies looking at reducing costs in software development, manufacturing, and even BPO.

Skilled and Young Workforce

With a workforce of over 70% under 35, the country is more youthful and tech-savvy, making it an ideal. Government investment in STEM (Science, technology, engineering, and mathematics) education produces the skilled professionals that support the country’s IT and software development industries. Companies such as IBM and Microsoft are looking for their next talent pool. Increased proficiency in the English language also increases this advantage with international clients.

Thriving Tech Industry

Vietnam’s tech sector is booming because of government support and private investments. Cities like Hanoi and Ho Chi Minh City are turning out to be the main hubs for innovation and startups. Tax incentives and a business-friendly policy attract people to invest in the IT and tech sectors. Since the country is focused on digital infrastructure, it brings modern technology and reliable connectivity together.

Diverse Outsourcing Options

Vietnam excels in the following outsourcing sectors.

• Manufacturing: Vietnam is home to a variety of electronic, textile, and furniture-making sectors.
• IT Services: The country provides various kinds of IT services starting from app development to AI solutions.
• Customer Support: Vietnam offers affordable customer support services due to the increasing BPO sector.

How Can Time Champ Optimize Outsourcing to Vietnam?

One such software that can play a very important role in the optimization of outsourcing operations in Vietnam is Time Champ – a leading productivity and employee monitoring software. The powerful features of this application will help businesses enhance efficiency while keeping things transparent and yielding better outcomes. Here’s how:

Seamless Communication and Collaboration

Time Champ ensures that each team is coordinated seamlessly by monitoring the flow of a project and creating effective communication. This eliminates delays and bridged gaps between time zones.

Enhanced Productivity Tracking

With detailed analytics and real-time monitoring, Time Champ measures employee productivity precisely for businesses to ensure outsourced teams can meet deadlines and maintain their high performance.

Cost and Resource Management

Time Champ’s all-inclusive reporting tools show the time spent on various tasks, which helps a business allocate its resources to reduce operational costs.

Transparency and Accountability

Time Champ builds trust through the visibility of outsourced projects so that companies can track work quality and ensure that the deliverables are met to the agreed standards.

With Time Champ in place, companies outsourcing to Vietnam can enhance the effectiveness of operations, achieve greater efficiency, and create close, transparent partnerships with their outsourced teams.

Conclusion

Vietnam’s average salary levels provide strategic competitiveness for the benefit of businesses outsourcing at low costs without sacrificing quality. Along with a skilled workforce and rising infrastructure, Vietnam has become a preferable outsourcing destination for companies looking to outsource globally but want sustainability in service quality.

Thasleem Shaik

Content Writer

Thasleem enjoys writing content that's simple, engaging, and easy to understand. Always on the lookout for something new to learn, she brings a spark of curiosity and creativity to every piece. Outside of writing, she loves books, documentaries, and quiet moments with music and tea. Fiercely competitive at board games and always on a quest for the perfect cup of chai.