Cost of hiring an employee
Beyond salary, Korean employers pay their own share of four social insurances — typically about 10% on top of gross pay.
KRW
%
By industry 0.7–18.6%; office work ~0.7%, all-industry average ~1.5%
How it works
Pension 4.5%, health 3.595%, long-term care (12.95% of health), and employment insurance 0.9% are split equally between employer and employee. Employers alone pay the employment-stabilization levy (0.25–0.85%) and industrial accident insurance (rate varies by industry).
After one year of service, statutory severance (one month's pay per year) accrues, so the annual figure includes it.
Assumptions
- 2026 rates; pension ceiling 6.37M
- Accident rate as entered — check your industry code
- Small-business subsidy (Durunuri) not applied
- No non-taxable allowances assumed
FAQ
Do these apply when hiring a foreign employee?
Yes for health, employment (most visas) and accident insurance. National pension depends on a reciprocity agreement with the employee's country.