Check Your Paystub: National Pension Contributions Are Increasing

"National pension contributions are going up."

You should take a close look at your paystub this month.

There is news that national pension premiums are rising.

From this month until June of next year, the upper limit for the monthly standard income used to calculate national pension premiums will be adjusted from 6.37 million won to 6.59 million won, and the lower limit will be adjusted from 400,000 won to 410,000 won.

The group most affected by this adjustment is high-income subscribers who earn 6.37 million won or more per month.

Along with the increase in the upper limit, the pension reform has raised the premium rate from the existing 9% to 9.5%, resulting in a monthly premium increase of 20,900 won.

However, for workplace subscribers, the company covers half of the premium.

Therefore, the actual personal burden will increase by about 10,450 won per month.

Subscribers in the monthly income bracket of 410,000 won to 6.37 million won, who account for approximately 86% of all subscribers, are not directly affected by the adjustments to the upper and lower limits; only the increase in the premium rate will be reflected.

While the premium burden is increasing, the pension received in retirement will also grow accordingly.

The national pension income replacement rate, which was 41.5% last year, has been raised to 43% starting this year.
※ Please note: This article was translated by AI and may contain errors.