| View previous topic :: View next topic |
| Author |
Message |
poet13
Joined: 22 Jan 2006
Location: Just over there....throwing lemons.
|
 Posted: Wed Jun 04, 2008 4:52 pm Post subject: Pension reduced by 30%. Pension office reply. Big surprise. |
 |
|
Thank you for your visiting and I am happy to answer your question.
Before talking on your matter, please refer to the following homepage first.
HOME > National Pension > National Pension Scheme > Coverage
It'll help your understanding regarding the Coverage under National Pension Service.
And, please refer to the following explanation:
An income, under the present National Pension Act, refers to earnings gained by offering "service", not including tax-free income as determined by the Presidential Decree.
According to Article 18-2 of " Restriction of Special Taxation Act" which includes provisions on the tax exemption for foreigners, the amount corresponding to 30/100 of your income earned in Korea is tax-free, so it is not included in the calculation of your pension contribution amount.
For more information, please contact our regional office :
HOME > Contact Information of Regional Offices
Have a good day! |
|
| Back to top |
|
 |
poet13
Joined: 22 Jan 2006
Location: Just over there....throwing lemons.
|
| Posted: Wed Jun 04, 2008 4:54 pm Post subject: |
|
|
| Anyone else shocked that all of our pensions can be cut by 30%? |
|
| Back to top |
|
|
Big4Jerm3
Joined: 17 Feb 2008
|
| Posted: Wed Jun 04, 2008 4:58 pm Post subject: |
|
|
| poet13 wrote: |
| Anyone else shocked that all of our pensions can be cut by 30%? |
All signs point to NO. |
|
| Back to top |
|
|
Bibbitybop
Joined: 22 Feb 2006
Location: Seoul
|
| Posted: Wed Jun 04, 2008 4:59 pm Post subject: |
|
|
| I'm not sure if you or I am interpreting that article correctly. I see it as you didn't pay that 30% in the first place. But I have no idea, really. |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Wed Jun 04, 2008 5:35 pm Post subject: |
|
|
It means that:
In your first year you pension contribution if 4.5% of your monthly salary.
In your subsequent years the contribution is not collectible on the first 30% of your salary (so you only contribute at: {(salary-30%) times 4.5%}.
(for demonstration purposes)
1st year -
2.1 mil * 4.5% = 94500 monthly contribution.
2nd and subsequent years -
2.1 mil - 670k (non-taxable income)
= 1.47 mil * 4.5% =66150 monthly pension contribution.
. |
|
| Back to top |
|
|
poet13
Joined: 22 Jan 2006
Location: Just over there....throwing lemons.
|
| Posted: Wed Jun 04, 2008 5:47 pm Post subject: |
|
|
Talaga, that sucks butt. Oh well, nowt to do about it.
I guess there's a trade off. I pay almost zero taxes (last year about 12,000 won for the whole year) because of that 30% plus other deductions.... |
|
| Back to top |
|
|
mrsquirrel
Joined: 13 Dec 2006
|
| Posted: Wed Jun 04, 2008 6:00 pm Post subject: |
|
|
| So I should be paying less into my pension this year than last year? |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Wed Jun 04, 2008 7:14 pm Post subject: |
|
|
| mrsquirrel wrote: |
| So I should be paying less into my pension this year than last year? |
It should go down after your taxes get filed.
Since you are from the UK it would be in your best interest to take advantage of this. Same for those from NZ.
If you were from Canada, the USA or AUS then not having it fall would be in your best interest.
Those from South Africa are exempt from paying into it.
. |
|
| Back to top |
|
|
poet13
Joined: 22 Jan 2006
Location: Just over there....throwing lemons.
|
| Posted: Wed Jun 04, 2008 7:27 pm Post subject: |
|
|
| This is the first I've ever heard of it. I always calculated it as A) 4.5% of gross salary, which is posted all over Daves, and B) as roughly a months salary every year. I had been entertaining the idea of doing the ten year minimum and getting a small pension, but this is a kick in the butt. |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Wed Jun 04, 2008 8:25 pm Post subject: |
|
|
| poet13 wrote: |
| This is the first I've ever heard of it. I always calculated it as A) 4.5% of gross salary, which is posted all over Daves, and B) as roughly a months salary every year. I had been entertaining the idea of doing the ten year minimum and getting a small pension, but this is a kick in the butt. |
Do your 9 years, take it out and stick it into certificates of deposit or mutuals. You'll get a better return when it is time to collect it.
The 4.5% is what 95% have to worry about so it is the number commonly used without noting the exception since most never file (have filed on their behalf) their Korean taxes.
They either only put in one year or they work for a hakwon and get screwed out of everything anyway so that is the number they need to prepare for when they need to back pay into the plan.
For the rest of us the difference is about 400k won per year in combined contributions. You can always put that into a term deposit or mutual fund anyway and still get the benefit. It's not like you are losing a lot - 200k per year in employer contributions - many here drink that away on 1 good Saturday out .
Your pension is also coming from TAXED dollars so it is NOT tax sheltered like an RRSP from home.
. |
|
| Back to top |
|
|
missionshk
Joined: 09 May 2007
|
| Posted: Thu Jun 05, 2008 5:13 am Post subject: |
|
|
| how often do you get your pension statements.. i have been here a year and only got one. |
|
| Back to top |
|
|
the ireland
Joined: 11 May 2008
Location: korea
|
| Posted: Thu Jun 05, 2008 6:42 am Post subject: |
|
|
hey my boss fully pays my pension, i am paying 96,000 won approx per month for the past few months, this is my second year, i started my second year at the start of february, but i am finishing up at the end of this month. i know my boss pays my tax and my pension and my health insurance cos they are stuck up on the board next to my desk, plus he is as honest as the day is long.
anyway, as i am in my second year, and i am paying 4.5% of my salary 2.1 mill per month, can i get some tax back or a part refund on my pension.
oh yeah i am from Ireland to any pension paid is just dead money to me.
by the way this is kind of aimed a ttompatz as he seems to know everything about this kind of stuff, or anyone else who knows what they are talking about |
|
| Back to top |
|
|
Hyeon Een
Joined: 24 Jun 2005
|
| Posted: Thu Jun 05, 2008 6:58 am Post subject: |
|
|
| ttompatz wrote: |
It should go down after your taxes get filed.
Since you are from the UK it would be in your best interest to take advantage of this. Same for those from NZ.
. |
I am well into my 2nd year at my current University and my pension thing certainly hasn't gone down. Do you have a link to something I can show a non-English speaking corrupt+lazy Korean administration adjossi? I'd like less to come out of my paycheck if possible.
I am pretty convinced this admin adjossi asswhole in charge of foreigner-pay is a corrupt lazy b*stard. He tried to trick meout of $500 he (well, the uni..) owed me last week*. I'm sure he wanted to put my money into his pocket instead. The other staff pretty much admitted that's what was happening (one of his 'perks' of the job I guess..)
So any Korean link I can give to the admin folk to get my pension contribution lowered? Thanks!
* Here's how he tried to trick me out of money: I work 1hr of overtime a week. Not a lot. But over 1 semester it adds up to about $500 or a bit more. I hadn't been paid any overtime yet this semester and finally got round to asking about it.
It turns out that 1 month ago I had signed a form in which I agreed to NOT be paid for the overtime I was doing. This adjossi had invented a form which stated I was happy to not be paid for the overtime I was working. I had indeed signed this Korean form, but only because I thought it was a paperwork requirement in order TO GET paid my overtime, not something I sign in order not to get paid.
I mean WTF? Who the hell would sign a form agreeing NOT to be paid? WTH was this *beep* admin guy thinking? I had to raise a big fuss and get the admin guy's boss involved (a dean of something or other). Of course the Dean immediately agreed that I deserved to be paid my overtime. Admin adjossi will surely try and get the money out of me another day though.. I think I should try and get this pri*k fired. |
|
| Back to top |
|
|
ttompatz
Joined: 05 Sep 2005
Location: Kwangju, South Korea
|
| Posted: Thu Jun 05, 2008 7:31 am Post subject: |
|
|
According to Article 18-2 of " Restriction of Special Taxation Act" which includes provisions on the tax exemption for foreigners, the amount corresponding to 30/100 of your income earned in Korea is tax-free, so it is not included in the calculation of your pension contribution amount.
I'll have to find the link for you or alternatively you can call the pension office yourself and get it dealt with first hand.
edit to add link:
http://www.nps.or.kr/apppage/cms/nps/english.jsp?fid=840 |
|
| Back to top |
|
|
Hyeon Een
Joined: 24 Jun 2005
|
| Posted: Thu Jun 05, 2008 7:37 am Post subject: |
|
|
| ttompatz wrote: |
I'll have to find the link for you or alternatively you can call the pension office yourself and get it dealt with first hand.
|
Thanks for the link =) Do you think if I called the pension office, and got it dealt with first hand, it might just piss off the admin guy at my Uni no end? I think it might. I kind of like the idea of contacting them instead =) I think he messed up my end of year tax thingey as well.. maybe I'll get the tax guys to bother his thieving lazy ass.. |
|
| Back to top |
|
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
