Korean Job Discussion Forums

[Geoff1111]

Sorry if this has been covered before. I browsed the pension sticky and
didn't see the answer to this question.

When you get your lump sum refund is it taxed first?

Thanks in advance

[nomad-ish]

when i went to the government pension office, there were deductions for something, can't remember what. i was told i'd get the refund about 6wks from the day i leave the country.

[cruisemonkey]

My pension refund was not taxed and I received it before I left Korea.

[nomad-ish]

^ when was that?

[moosehead]

I received one in 2006 within a week of the time I applied; it was not taxed and was deposited in my K account.

I think (but am not sure) you are taxed before it's deposited into the pension account.

that is, if you make 2 mill a month, you are taxed on 2 mill and then 100,000 or whatever amount is put into the pension account.

someone else might verify this but this is how I understand it.

[cruisemonkey]

[yingwenlaoshi]

Pension is not taxed. In fact, you receive more than what you put in due to interest.

[Atavistic]

I went to the pension office a few weeks ago. I was told it would take about 2 weeks from my date of departure to get it and that it would be X amount minus tax plus interest.