The aim of this study is to analyze the determinant factors of household savings in Vietnam. Based on thepermanent income hypothesis formulated by Milton Friedman in 1957 andthe life cycle hypothesis of saving developedby Ando and Modigliani in 1963, factors affecting household savings are proposed in this paper. The study uses datacollected from 257 randomly selected households through a survey questionnaire. The Tobit regression modelisemployed to test the hypotheses. The research results show that the square of the age of the householder, the educationlevel of the household head, the household debt, and the number of household members negativelyinfluence householdsavings.Meanwhile, the age, the income of the household head, the proportion of dependents, and living area havepositive and statistically significant effects on household savings. The study also finds an inverted U-shaped nonlinearrelationship between the age squared of the household head and the savings-to-income ratio of the household. Based onthe research results, several recommendations are suggested, focusing on two dimensions: promoting the role ofassociations and encouraging forms of official savings in order to raise the effective savings rate as well as to contributeto the development and general economic growth of the locality in the upcoming time.