Work and pay guides
Practical explanations of Korean workplace rules, based on official sources. Each guide includes a review date. 43 guides available.
Leave and work
- Annual leave by hire date or fiscal yearKorean employers may track annual leave from each hire anniversary or grant it on January 1. Compare the two methods and the prorated first grant.
- How annual leave accrues in KoreaBefore the first anniversary, one paid day generally accrues for each fully attended month, up to 11. After a qualifying year, 15 days accrue, increasing with service to 25.
- Half-day and hourly annual leaveA half-day typically uses 0.5 of a paid leave day when company rules permit it. Check scheduled daily hours, breaks and the employer’s leave policy.
- Labor Day and Constitution Day as public holidays in 2026The 2026 calendar includes May 1 and July 17 as public holidays. Check how the change affects time off and pay for work on those dates.
- Unused annual leave pay and leave-use promotionUnused statutory leave can become a cash claim, but a valid statutory leave-use promotion procedure may affect the employer’s payment obligation.
- Substitute and temporary public holidays in KoreaA substitute holiday follows a legal calendar rule; a temporary public holiday requires a separate official designation. Check the confirmed yearly calendar.
- Korea’s 52-hour workweek explainedThe usual weekly ceiling combines 40 statutory hours and up to 12 overtime hours. Understand what counts and where exceptions may apply.
Pay and allowances
- Inclusive wage agreements and fixed overtime payA fixed overtime amount does not automatically cover every hour worked. Compare the contract, actual hours and statutory premium pay.
- Tax-free meal allowance on a Korean payslipA cash meal allowance can be exempt from income tax up to KRW 200,000 a month if the stated conditions are met. Amounts above the limit are taxable.
- Minimum wages in Korea for 2026 and 2027The listed hourly minimums are KRW 10,320 for 2026 and KRW 10,700 for 2027. For a standard 40-hour week, monthly equivalents use 209 paid hours.
- Ordinary wage versus average wageOrdinary wage and average wage serve different purposes in Korean labor law. Learn how each is calculated and used for allowances, severance and leave pay.
- Overtime, night and holiday work premiumsKorean premium-pay rules can add 50% or more to ordinary hourly wage for covered overtime, night and holiday work. Overlapping conditions must be checked separately.
- How to read a Korean payslipFollow a payslip from gross pay through tax-free items and social insurance deductions to take-home pay, using a 2026 sample.
- Tax-free allowances on Korean payslipsSome wage items can be excluded from income-tax calculations when their statutory conditions and caps are met. Check each allowance separately.
- Weekly paid rest allowance in KoreaA worker scheduled for at least 15 hours a week who attends all scheduled workdays may qualify for a paid weekly rest day. Estimate the hours and pay.
Social insurance
- Annual health insurance contribution reconciliationKorean employee health insurance contributions are reconciled when actual annual remuneration is confirmed. The difference may be collected or refunded.
- Who can be a health insurance dependent in Korea?Dependent status under employee health insurance depends on family relationship, support, income and property requirements. Review all conditions together.
- National Pension contribution base and limitsNational Pension employee contributions use a reported monthly income base subject to a minimum and maximum, updated each July.
- Employee social insurance rates in 2026Review the employee shares of National Pension, health, long-term care and employment insurance. Industrial accident insurance is employer-funded.
Tax and year-end settlement
- Why tax withholding rises in a bonus monthA bonus or incentive can raise the amount withheld in its payment month. The annual tax is reconciled later through year-end settlement or a tax return.
- Korean income tax brackets and progressive deductionsKorea applies progressive national income tax rates from 6% to 45% to the taxable income base. A higher bracket does not tax all income at its top rate.
- Tax credits for pension savings and IRP contributionsQualifying contributions to pension savings and an individual retirement pension (IRP) can earn a tax credit within annual limits.
- Income tax filing for employees with side incomeYear-end settlement of salary does not always cover business, freelance or other side income. Determine whether a May comprehensive income tax return is needed.
- Korea’s simplified income tax withholding tableEmployers use the National Tax Service table to estimate monthly salary tax withholding. Employees may choose 80%, 100% or 120% of the table amount.
- Korean tax terms: taxable base, calculated tax and refundFollow the path from gross employment pay and deductions to final tax, prepaid withholding and a possible refund or additional payment.
- Income deductions and tax credits at year-end settlementIncome deductions reduce the taxable base; tax credits reduce calculated tax. Cards, medical expenses, education, rent and donations have separate conditions.
- Year-end tax settlement schedule and checklistKorean employees usually submit prior-year deduction records to their employer early in the following year. Missed items may be addressed through a May return or correction.
Resignation and career moves
- A practical resignation checklist in KoreaBefore leaving, confirm the last employment day, annual leave and final pay. Then check insurance status, required documents and statutory settlement deadlines.
- Last employment day, retirement date and timingIn Korean payroll and severance calculations, the last day of employment and statutory retirement date are often one day apart. Timing can affect several results.
- DB, DC and IRP retirement pension plansDefined benefit (DB), defined contribution (DC) and individual retirement pension (IRP) plans differ in who bears investment risk and how retirement benefits are paid.
- How bonuses and unused-leave pay enter severance calculationsEligible prior-year bonuses and pay for certain unused leave are prorated by three twelfths into the three-month wage total used for average wage.
- Statutory severance pay in KoreaWorkers with qualifying service and weekly hours may be owed severance pay. Estimate it from daily average wage, 30 days and length of service.
- Unemployment benefits in Korea: 2026 referenceEligibility generally needs at least 180 insured-unit days in the prior 18 months, a qualifying separation and active job search. Daily and total amounts depend on personal facts.
- Unused annual leave when employment endsUnused eligible leave may be taken before the last employment day or settled as pay. Compare the leave balance, deadlines and actual last working day.
Family and parenting
- Maternity and partner childbirth leave in 2026Maternity leave is generally 90 days, or 120 for multiple births. Paid partner childbirth leave is 20 days, with separate benefit and timing rules.
- Parental leave duration and benefits after the 2025 changesEligible employees can usually take up to one year of parental leave, or 18 months in specified cases. Benefit caps change by month of leave.
Compensation and assets
- Stock option basics for employees in KoreaA stock option lets an eligible recipient buy shares at an agreed exercise price. Exercise gain and later sale gain are separate events.
- Venture stock option exemptions and tax payment optionsQualifying venture stock option exercise gain may be exempt up to KRW 200 million a year and KRW 500 million per company, with separate installment or deferral rules.
Employment contracts
- What to check in a Korean employment contractA written employment contract should clearly state wages, working hours, holidays and leave. Keep your own copy and compare it with payslips.
- Probationary pay and dismissal rules in KoreaA 90% minimum-wage exception is limited to eligible probationary workers for up to three months. Probation does not erase all dismissal or severance protections.
- Labor rules at workplaces with fewer than five employeesSome Labor Standards Act provisions differ at workplaces with four or fewer regular employees, while other duties still apply.
Annual calendar
- Planning long breaks around 2027 Korean holidaysUse confirmed 2027 public and substitute holidays to connect weekends with a small number of annual leave days.
- A 2026 workplace and tax calendar for employeesTrack common annual milestones for year-end tax settlement, health insurance reconciliation, income tax filing and National Pension base updates.