Korean Job Discussion Forums

[ontheway]

Get ready for your health insurance withholding to take a major jump. The old rates oft quoted on Dave's: 2.24% and recently 2.38% are gone.

Your new rate for your share should be approximately 3.36%

The government health insurance rates have taken a jump. The new bills on their way to your school show the new rate. So, you should see a jump in your withholding soon, if you haven't seen it already.

This is about a 50% increase in the insurance cost.

Insurance rates had already begun creeping up earlier. Now this big jump. Your school might also be paying either monthly or every 3 months depending upon how you are enrolled in the plan. This could affect when you are impacted and by how much.

Remember, your insurance is NOT a straight percentage of your pay. It is actually based on brackets. Your percentage rate could be higher or lower depending on where you fall in the bracket.

[yingwenlaoshi]

Oh for *beep*'s sake!

Should this lower my withholding?

[ontheway]

Sorry if you're confused Ying.

The won amount you are paying should increase by about 50%

The actual amount is not a percentage. It is based on brackets. They look up your reported pay level and charge the amount indicated for your pay bracket.

This amount is 3.36% of the midpoint of the bracket.

If your pay is higher than the midpoint, your actual percentage rate will be slightly lower than 3.36%.

If your pay is lower than the midpoint, your actual percentage rate will be slightly higher than 3.36%.

Either way, the amount you pay should go UP.

[yingwenlaoshi]

[BigBuds]

Where'd you get this info from?

Can you post a link to it please?

[thaitom]

Here, I just copied the whole thing from NHIC so you could see the date they posted this. As you can see the rates are the same ,but they "Abolished" the grade scaling system(Grade1-Grade100).





Subject changes in the formula of contribution calculation for employees

Hit 3 Date 2007/04/04 17:44:31

Depertment 연구지원팀

File

Changes in the formula of contribution calculation for employees

○ Abolished was the grade scaling system(Grade1-Grade100) for standardized monthly wage
- From Jan. 1, 2007, Monthly Wage not using grades shall be applied to calculating their contributions
○ The lower and upper limit of monthly wage have been adjusted
- the lower limit of monthly wage : 280,000won
- the upper limit of monthly wage : 65,790,000won

Contribution calculation in 2007
- contribution rate : 4.77%
(equally shared by employer and employee)
- monthly contribution = monthly wage x contribution rate

Monthly wage
contribution rate for employees
monthly contritbution for employees

below 280,000won
2.385%
=280,000x2.385%

280,000~65,790,000won
2.385%
=actual monthly wagex2.385%

above 65,790,000won
2.385%
=65,790,000x2.385%

[gsxr750r]

I had a hagwon (Bambini) ask us to sign contracts saying we were paid 1.2 million won per month, so they could get cheaper health insurance. It would have saved them a ton if I had.

I said no way.

I think they forged my signature and still got the lower rate.

[yingwenlaoshi]

[ontheway]

The increase was on the bills we recieved yesterday, must be for May 2007. According to the wonjangnim this has been a recent issue on the Korean news. The health insurance coverage has been expanded to cover some things that previously had not been covered, such as MRIs and for increased cancer coverage and costs.

[yingwenlaoshi]

[ontheway]

The bills for May arrive in April. Health insurance in Korea is prepaid.

[yingwenlaoshi]

[yingwenlaoshi]

ontheway,

Do you get a statement from the health department? If not, can you? I called them a couple of months ago just to check that everything was being paid. They had me on file (I have the booklet, too) and the customer service buddy had to call me back with how much had been contributed so far. He could have been just talking bullshit and figuring out how much my boss should have paid to date. My request seemed unusual to him, I think.

I'd like to get statements, but I don't. Guess I'll ask my boss.