Korea salary after tax
Enter your gross annual salary and see what actually lands in your account each month, with each deduction your employer withholds shown separately.
How it works
Four social insurances come off first: national pension 4.5% (capped by a monthly income ceiling), health insurance 3.595%, long-term care at 12.95% of the health premium, and employment insurance 0.9%.
Income tax is computed annually: gross pay minus the earned-income deduction, the basic personal allowance (KRW 1.5M for you plus 1.5M per dependent) and your insurance contributions gives the tax base, taxed at progressive rates of 6–45%. The earned-income tax credit and a standard KRW 130,000 credit are then subtracted. Local income tax adds 10% of the result.
Your employer withholds using a simplified monthly table, so actual payslips can differ by a small amount; the difference settles at year-end tax adjustment.
Assumptions
- National pension 4.5% with monthly income ceiling KRW 6,370,000 and floor 400,000 (Jul 2025–Jun 2026)
- Health insurance 3.595% (2026), long-term care 12.95% of health premium, employment insurance 0.9%
- Earned-income deduction, tax brackets and tax credit follow the 2025 tax-year rules
- Standard tax credit of KRW 130,000 applied; no itemized deductions (cards, medical, housing)
- Non-taxable allowance excluded from both insurance and tax bases
FAQ
Why does my payslip differ from this?
Employers withhold using a simplified monthly tax table, and year-end adjustment adds deductions for credit-card spending, insurance and housing. This estimate applies only the basic allowances.
Is there a flat-rate option for foreigners?
Yes. Foreign employees in Korea can elect a flat 19% income tax rate instead of progressive rates, which can be favorable at higher salaries.
Does this include severance?
No. Statutory severance pay (one month per year of service) is paid separately when you leave and is taxed differently.
What comes out of a Korean salary, 2026
For a KRW 48M salary with no dependents, deductions run about KRW 440k a month, or 11%. At KRW 60M they reach 16%, and at KRW 100M about 20%, because income tax dominates once the 24% and 35% brackets are reached.
| Deduction | Rate (employee share) | Ceiling | Notes |
|---|---|---|---|
| National Pension | 4.5% | Monthly income capped at KRW 6.37M (≈ 286,650/month) | Employer pays another 4.5%; rate rising 0.5pt a year toward 9% total by 2033 |
| Health insurance | 3.595% | Very high cap (≈ 127M/month) | Employer matches |
| Long-term care | 12.95% of health premium | — | ≈ 0.47% of salary |
| Employment insurance | 0.9% | None | Employer pays 1.15–1.75% |
| Income tax | 6–45% progressive after deductions | — | Withheld monthly by the simplified table; settled in the February year-end adjustment |
| Local income tax | 10% of income tax | — |
Three salaries, side by side
Figures assume a KRW 200k monthly non-taxable meal allowance and no dependents. Your payslip will differ slightly because the monthly withholding table (간이세액표) is a rough estimate that the year-end adjustment corrects.
| Gross annual | Monthly gross | Pension | Health + care | Employment | Income + local tax | Take-home |
|---|---|---|---|---|---|---|
| KRW 36,000,000 | 3,000,000 | 126,000 | 113,700 | 25,200 | ≈ 61,400 | ≈ 2,673,700 |
| KRW 60,000,000 | 5,000,000 | 216,000 | 194,900 | 43,200 | ≈ 334,900 | ≈ 4,211,000 |
| KRW 100,000,000 | 8,333,333 | 286,650 | 330,300 | 73,200 | ≈ 1,022,400 | ≈ 6,620,800 |
The year-end adjustment (연말정산)
Korean employers withhold an approximation of income tax each month; every February the actual tax is computed with your deductions — credit-card spending, insurance premiums, medical costs, rent, pension savings, donations — and the difference is refunded or collected in the March pay. Most employees receive a refund of a few hundred thousand won. Foreigners on the 19% flat-tax election skip most deductions; the flat-tax comparison calculator shows when that election is worth it.
Foreign employees: three specific points
- Flat tax option: a foreign worker can elect a flat 19% (plus 1.9% local) on gross salary for up to 20 years from starting work in Korea, instead of progressive rates and deductions. It usually wins above roughly KRW 100–120M of salary or when housing is employer-provided.
- Pension refund: nationals of countries with a social-security agreement (US, Canada, Australia, Germany, China and others) or with reciprocity can claim a lump-sum refund of national pension contributions when they leave Korea permanently.
- Severance: after one year of service you accrue about one month's pay per year, paid on leaving and taxed separately at favourable rates — see the severance calculator.
Common misreadings
'Annual salary' in Korean offers usually includes the employer's severance accrual only if stated (퇴직금 포함); if it says 별도, add about 8.3% to the real cost to the employer, not to your pay. Bonuses and overtime are taxable when paid, which can push a single month into a higher withholding band that the year-end adjustment later smooths. The non-taxable meal allowance rose to KRW 200k a month in 2023; childcare allowance is also KRW 200k tax-free.