Korean Job Discussion Forums

Swampfox10mm · Joined: 24 Mar 2011

We had a guy leave our school, and he ended up getting back a lot more pension than we expected. We're all very happy here after seeing what he got back in pension.

Is private pension taxed in Korea? Any idea if it would be considered taxable once going home to the US, for example? (I'm assuming it's not).

RobertGR · Joined: 03 Jun 2009 Location: Daegu

I haven't collected mine yet but the online info shows I can expect tax to be deducted. It seems you do get a bit more than you put in but not much more until you've worked somewhere 5 years plus.

Swampfox10mm · Joined: 24 Mar 2011

Yeah, we've got some percentage program here... I'm way off on these figures, but the school will match something like:

2 years: 20%
3 years: 30%
4 years: 50%
5 years: 60%
6 years: 100%

Anyway, it's some kind of staggered percentage. For example, my coworker (who has been here 8 years) is grossing just short of 7 million/year in pension, provided they are matching 100%. That should turn out to be a hefty sum one day.

I've been here about 7 years, and although it's tempting to consider other offers, it's getting to the point where I believe pension continuance should be a very big consideration if I ever need to change jobs.

One big question I have is... will the fact that I am already fully vested in a private pension plan affect what schools would hire me? Would they need to continue matching at 100%, or would it reset? I am, of course, assuming it would be a private pension situation, as that's what my plan is.

I'm With You · Joined: 01 Sep 2011

Swampfox10mm · Joined: 24 Mar 2011

Well, by gross, I am not sure how taxes will eventually cut into my final payout (if at all).

Right now, I am paying in around 270k per month to pension. If my school matches that amount 100%, as I am told the are doing, then I am basically making double my pay-in per month, right?

The number I gave you, however, is for my coworker. She is making at least 100k base more per month than me, and possibly 200k (we get a 100k raise per mo. each year). So her pay-in would, I assume, be a bit higher. Take that times 12 months, that number times two for the match.

Of course, my OT loss during vacation, and what I make for camps (We can get a fair amount of extra vacation work at 30 to 40k per hr), has not been figured in...

The more I look at my pay/pension, the more I think leaving by my own choice would be a bad thing. Thus, I am quite curious how being vested in pension might affect a future job.

As a side note, I have a buddy who worked for a different univ for several years, and they jilted foreigners on pension. That was likely a massive loss for him. At the time, he didn't seem too upset, and feared getting fired or not renewed if he challenged it. Seems other teachers felt the same there.

I hope other teachers realize how they could be losing millions, or even tens of millions after years of service, if they are being cheated out of pension.

I'm With You · Joined: 01 Sep 2011

bucket · Joined: 25 Oct 2012

Sorry to derail off the subject.
But as someone trying to get into a private university , I would like to clarify couple of things if you veterans don't mind.

When I asked the responsible departments about pension for private university jobs, I was told that ONLY employees with permanent positions were eligible for pension (kfpp.org).
If they''re correct then above posters, assuming you gurus are employed as contract (1~3yrs), couldn't receive any pension.

However, you fellas are currently employed and receiving pension...

So I'm asking myself who is correct. Can anyone employed buy a private uni correct me if I'm wrong and and tell me which department
Is responsible for handling your pension programs?

Swampfox10mm · Joined: 24 Mar 2011

Well, as mentioned in my original post, my coworker got his back. He was here 2 or 3 years.... I forget. He got back 9 million, and I will add I do not know if he transferred some in from a prior job.

I have been here at the same job 7 years. One coworker was at Sookdae and got her pension back after two years. She was given the choice of transfer to our pension or just get it.

I also got 2 years of national pension back from my prior hs job.

I think someone is jerking you around, or they are conveniently saying NO because they either do not know or are saving heaps off of you. I am not sure which univ., but a teacher, or group of them, got their school in trouble and received back pension. I believe they had to pay in their share first, but they immediately got it back plus whst the school owed them.

Also, I believe people from some countries do not get any pension in Korea. Brits, maybe?

RobertGR · Joined: 03 Jun 2009 Location: Daegu

Assuming it's the Korean Teacher's Pension Fund (private university) see http://www.ktpf.or.kr:8088/hp/n_english/pension/re_07.jsp for the scheme. It's quite complicated but calculation is about right before taxes.

Trip · Joined: 28 Dec 2008

Swampfox, where did you get this table?

RobertGR · Joined: 03 Jun 2009 Location: Daegu

Swampfox10mm · Joined: 24 Mar 2011

Malislamusrex · Joined: 01 Feb 2010

Call 02 7694225.

They can tell you what's going on.

Unposter · Joined: 04 Jun 2006

Yes, pensions are taxed. But, from what I can tell, it is not much. I assume it is just on the interest earned.

I don't know exactly but I assume if you are earning an hourly wage, you are not paying into a pension. But, if they are giving you a monthly salary, then yes, I do believe - believe being the operative term - that you should pay into pension.

You can get and ID and Password from the Private School Pension Fund and you can get an online accounting of your pension 24/7. They even have a function where they estimate how much you will have at so and so point in the future. Any long termers who put into the private school pension fund really should get this set up; it is fantastic!

After 20 years, you can either get a lump sum or a monthly pension for life.

Swampfox10mm · Joined: 24 Mar 2011