Korean Job Discussion Forums

[bbud656]

Whats the deal with this new tax rate im hearing about? I didn't notice anything different on my check this month.

[T-J]

You wouldn't notice anything different on this month's check because the change happened a year ago....

[nathanrutledge]

Previously, foreigners could either pay regular Korean taxes on 70% of their income, OR pay a flat rate of 15% on their income. Teachers took the 70%, anyone who made real money paid the flat 15%.

Now, the only option is to take the 15% flat rate or pay regular Korean taxes. Considering that the rate is between 2-3% on what a teacher here makes, it just means that you pay regular taxes like everyone else.

Don't sweat it, you'll pay another 100-200k per year, that's it.

[livinginkorea]

I am curious, what's the percentage tax that Koreans pay?

[nathanrutledge]

It depends. Korea has a tiered system, just like most other countries. Higher incomes = higher tax rates. Koreans and foreigners pay the same rate if they earn the same income.