Q&A: Salary-reform fund contribution rates for 2025 applicable to Group 3 public service units
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The Ministry of Finance guides a public college classified as Group 3 on 2025 salary-reform fund contribution rates under Point g, Clause 3, Article 4 of Circular 88/2024/TT-BTC: at least 40% of retained revenue after deducting directly related costs; at least 35% for healthcare revenue; at least 40% of the revenue-over-expenditure surplus for service fees (including tuition), joint ventures, and other income. The repeal of Decree 60/2021/ND-CP Article 16(1)(b) by Decree 111/2025/ND-CP does not remove the salary-reform contribution obligation under Circular 88/2024/TT-BTC, which has a separate legal basis.
Background
A public college classified as Group 3 (partly state-funded for recurrent expenditure) asks: after Decree 111/2025/ND-CP repealed Article 16(1)(b) of Decree 60/2021/ND-CP, is the unit still required to contribute to the salary-reform fund in 2025, and what are the rates, usage rules, and reversal mechanism?
Ministry of Finance Response
Under Point g, Clause 3, Article 4 of Circular 88/2024/TT-BTC (24 December 2024), partly state-funded and fully state-funded public service units must contribute to the 2025 salary-reform fund as follows:
Fee revenue (under the schedule of fees and charges)
- Minimum 40% of retained revenue after deducting costs directly related to service delivery and fee collection (including costs incurred at the VND 2.34 million/month base salary), excluding collection costs already covered by the state budget.
Healthcare service revenue
- Minimum 35% of retained revenue after deducting costs built into the service price (medicine, chemicals, supplies, utilities, equipment maintenance, and salary/allowances already in the price).
Service fee revenue (including tuition), joint ventures, and other income
- Minimum 40% of the revenue-over-expenditure surplus (after meeting state obligations).
Applicable Regulations
- Circular 88/2024/TT-BTC dated 24 December 2024 (state budget implementation 2025).
- Decree 60/2021/ND-CP dated 21 June 2021.
- Decree 111/2025/ND-CP.