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  • Redondo
  • Expert Waygook

    • 642

    • October 14, 2012, 05:28:11 am
    • toronto
School hasn't been paying into pension
« on: November 25, 2013, 10:35:50 am »
I need to ask my co about this but I just recieved a letter saying I owe 1,500,000 won for the past 7 months, and it was a month old so maybe 8 months now.

can somene explain what this is? I thought pension was 4.5% of my base salary, which is about half of what 1.5 million. I did get a pay slip and I know I have 200,000 deducted every month but I'm not sure what for. Also I'm Canadian, so that means I can get it back in full when I leave Korea, right?


  • kyndo
  • Moderator LVL 1

    • 5346

    • March 03, 2011, 09:45:24 am
    • Gyeongsangbuk-do
Re: School hasn't been paying into pension
« Reply #1 on: November 25, 2013, 10:58:15 am »
It's my understanding that Korean labour laws say that the employer must pay half of your monthly pension.
The contribution is calculated by multiplying the worker’s reported (by the employer) monthly income by the 9% rate (between minimum W220,000 and maximum W3,600,000). Both the employer and the employee each pay an equal amount of the required 9% contribution. The employer deducts 4.5% from the employee’s wage and must make the matching 4.5% contribution payment at the same time.

Many hagwons try to pull this trick on inexperienced workers... don't let them! By the end of the year, that 4.5% the employer owes you will end up being a really nice chunk of cash (about 1.2million at your income level)

Here's a site with some info that may be helpful to you.
http://www.korea4expats.com/article-pension-obligations-rights.html
« Last Edit: November 25, 2013, 11:00:41 am by kyndo »


Re: School hasn't been paying into pension
« Reply #2 on: November 25, 2013, 10:59:49 am »
Yes, you should be paying 4.5% monthly BUT your employer is also supposed to match your 4.5% bringing the total to 9%.

So most likely you owe half of that 1.5 mil and your school has to pay the other half.  And yes as a Canadian, you are entitled to get it all back when you leave the country.


  • BTeacher
  • Expert Waygook

    • 756

    • May 26, 2012, 07:21:01 am
Re: School hasn't been paying into pension
« Reply #3 on: November 25, 2013, 11:00:24 am »
I'm Canadian, so that means I can get it back in full when I leave Korea, right?

I believe that to be the case for us Canadians, yes.


  • taeyang
  • Moderator - LVL 4

    • 5507

    • September 08, 2010, 08:35:10 am
    • daejeon
Re: School hasn't been paying into pension
« Reply #4 on: November 25, 2013, 11:12:07 am »
I'm Canadian, so that means I can get it back in full when I leave Korea, right?

I believe that to be the case for us Canadians, yes.

it certainly is.
use google to search the site

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  • Redondo
  • Expert Waygook

    • 642

    • October 14, 2012, 05:28:11 am
    • toronto
Re: School hasn't been paying into pension
« Reply #5 on: November 25, 2013, 11:14:21 am »
When you say get it all back, that means just my contribution right?


Re: School hasn't been paying into pension
« Reply #6 on: November 25, 2013, 11:26:01 am »
When you say get it all back, that means just my contribution right?

Nope.  It is all yours


  • nschenk512
  • Super Waygook

    • 294

    • March 04, 2013, 08:52:49 am
    • Busan, South Korea
Re: School hasn't been paying into pension
« Reply #7 on: November 25, 2013, 12:03:55 pm »
Are you sure it's a letter saying you owe? I got a letter recently about my pension too, but it was telling me how much I had paid into the system already.


  • taeyang
  • Moderator - LVL 4

    • 5507

    • September 08, 2010, 08:35:10 am
    • daejeon
Re: School hasn't been paying into pension
« Reply #8 on: November 25, 2013, 12:34:48 pm »
Are you sure it's a letter saying you owe? I got a letter recently about my pension too, but it was telling me how much I had paid into the system already.

i got that letter too. there's english on the flipside of the letter.
use google to search the site

site:waygook.org XXXX

replace 'XXXX' with your search term


  • Mezoti97
  • The Legend

    • 2682

    • April 14, 2011, 03:02:50 pm
    • South Korea
Re: School hasn't been paying into pension
« Reply #9 on: November 25, 2013, 01:00:58 pm »
Are you sure it's a letter saying you owe? I got a letter recently about my pension too, but it was telling me how much I had paid into the system already.

Same here.


  • Grimne_Lothos
  • Expert Waygook

    • 846

    • December 28, 2011, 12:56:27 pm
    • Buyeo, south korea
Re: School hasn't been paying into pension
« Reply #10 on: November 25, 2013, 01:21:16 pm »
I found out my public school hasn't been paying towards pension for the last 22 months.   My CT tried to convince me that since i was part of social security back in the states that I didn't need to be enrolled in the Korean pension system...LOL 


  • donuts81
  • Hero of Waygookistan

    • 1364

    • October 20, 2010, 10:23:37 am
    • Korea
Re: School hasn't been paying into pension
« Reply #11 on: November 25, 2013, 01:50:47 pm »
Just a heads up, if your school hasn't been paying pension it might be worthwhile checking to see if they have been paying tax (not just deducting it and pocketing it).

Not paying pension is a red flag.
"You can't hurt me now, Mr Lee. I've lost all feeling"


  • mikeD
  • Super Waygook

    • 417

    • March 31, 2013, 07:46:49 pm
    • Geoje, South Korea
Re: School hasn't been paying into pension
« Reply #12 on: November 25, 2013, 02:30:39 pm »
Are you sure it's a letter saying you owe? I got a letter recently about my pension too, but it was telling me how much I had paid into the system already.

i got that letter too. there's english on the flipside of the letter.



Same same here! Think think you received you notice to how much you and your school have paid into pension so far for the year. I hope that is the case.


  • Redondo
  • Expert Waygook

    • 642

    • October 14, 2012, 05:28:11 am
    • toronto
Re: School hasn't been paying into pension
« Reply #13 on: November 25, 2013, 02:53:09 pm »
Ah yeah, I asked my coteacher and I don't need to pay anything more, that's confirmed.
« Last Edit: November 25, 2013, 10:16:49 pm by Redondo »


Re: School hasn't been paying into pension
« Reply #14 on: November 25, 2013, 08:20:06 pm »
I found out my public school hasn't been paying towards pension for the last 22 months.   My CT tried to convince me that since i was part of social security back in the states that I didn't need to be enrolled in the Korean pension system...LOL

 :shocked: :shocked: :shocked:

What was the end result of that little 'hiccup?'
“Be Who You Are and Say What You Feel Because Those Who Mind Don't Matter and Those Who Matter Don't Mind.”
-- Bernard Baruch (also attributed to Dr. Seuss )

------


  • Grimne_Lothos
  • Expert Waygook

    • 846

    • December 28, 2011, 12:56:27 pm
    • Buyeo, south korea
Re: School hasn't been paying into pension
« Reply #15 on: November 25, 2013, 09:40:20 pm »
they were able to enroll me as of my original start date.   Instead of getting paid this month I had to give then a couple hundred thousand Won


  • a87
  • Super Waygook

    • 330

    • July 21, 2013, 12:31:10 am
Re: School hasn't been paying into pension
« Reply #16 on: November 25, 2013, 10:27:50 pm »
I got one of those letters today too. I like how it's called the "National Pension Scheme" like it's all sketchy lol
Take that apologists!


Re: School hasn't been paying into pension
« Reply #17 on: November 26, 2013, 12:46:50 am »
I find that a lot of people tend to ignore the pension plan, but, really, if you are from the countries that have the agreement with Korea(US, Canada, etc.), then it is a nice little bundle of money after a couple of years. Over 200,000 won a month adds up over time. It is well worth doing and it is a nice to have when you leave Korea.


  • taeyang
  • Moderator - LVL 4

    • 5507

    • September 08, 2010, 08:35:10 am
    • daejeon
Re: School hasn't been paying into pension
« Reply #18 on: November 26, 2013, 07:48:41 am »
I got one of those letters today too. I like how it's called the "National Pension Scheme" like it's all sketchy lol

that makes me narrow my eyes in distrust too.
use google to search the site

site:waygook.org XXXX

replace 'XXXX' with your search term