What are the Social Security Contributions in South Korea?



Modified on: Tue, 4 Nov, 2025 at 6:33 PM

TABLE OF CONTENTS


South Korea's social security system includes several types of insurance and contributions designed to provide workers with various benefits. 


Workers Compensation Insurance (WCI)

  • Purpose: Provides coverage for industrial disasters and accidents.
  • 2024 Rate: Ranges from 0.76% to 18.6% of total income, depending on the type of business and industry.


National Health Insurance (NHI)

  • Purpose: Covers general health care costs.
  • 2024 Rate: 3.545% of total income.
  • Maximum Salary Basis: Contributions are calculated based on a maximum salary of KRW 7,047,900 per month.


Long Term Care Insurance

  • Purpose: Part of the National Health Insurance, covering long-term care needs.
  • 2024 Rate: 0.4591% of total income.
  • Contribution: Included within the NHI contributions.


National Pension Fund (NP)

  • Purpose: Provides retirement benefits.
  • 2024 Rate: 4.5% of total income.
  • Maximum Salary Basis: Calculated based on a maximum salary of KRW 6,370,000 per month.

Exemption Conditions for NP: Employees covered by social security in a country with which South Korea has a totalization agreement may be exempt from contributing to the National Pension Fund to avoid double taxation.


Employment Insurance (EI)

  • Purpose: Provides unemployment benefits and other employment-related protections.
  • Contribution rate:
    • The employer contributes approximately 1.15% of total payroll costs.
    • The employee contributes roughly 0.9% of their salary.
    • EI rates can vary by industry and company size, typically ranging from 1.15% to 1.75%.


Coverage for Expatriates & Visa Categories

EI eligibility for foreign workers in Korea depends on their visa type and employment conditions.


Mandatorily Covered

  • F‑2 (Resident)
  • F‑5 (Permanent Resident)
    These visa holders are automatically enrolled in EI.


Voluntarily Eligible

  • F‑4 (Overseas Koreans)
  • C‑4 (Short-term Employee)
  • E‑1 (Professor)
  • E‑10 (Vessel Crew)
    These visa categories may choose to enroll in EI voluntarily.


Exclusions

Migrants in visa categories not listed above, such as D‑2 (Student), are not eligible, unless covered under a bilateral agreement under the Principle of Reciprocity.


Special Provision for F‑4 Visa Holders

Under Article 3‑3 of the Enforcement Decree of the Unemployment Insurance Act, a foreign national with an F‑4 visa is not required to participate in EI, even if employed, but may choose to do so voluntarily.


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