Korean Job Discussion Forums

[stuey11]

Basically my last job ended badly, I was working at a university they refused to release me so I could sign a contract with another university. So I basically was forced to resign in the middle of January, giving up my salary for a month and a half, I did however get my severance pay.

My severance was paid at the end of January, yesterday I got an e-mail from my old boss telling me that me old uni messed up the payment and that they did'nt take the tax from my severance pay. So he is basically asking me to wire transfer him 136,000 won to cover the tax.

1 - Should tax be taken out of your severance payment?

2 - What would you do if you were in my situation?

[lifeinkorea]

I don't know you, so I am just going to comment with "if's" cause there are two ways to look at it.

IF they really didn't give you a release letter, then I wouldn't be nice about it. Stop all communication and try to get another job as soon as you can if you want to work in Korea.

IF you have to wait a while until your contract period ends, then there are two things to consider. IF they gave you 1 full month of severance, then there weren't any deductions. I understand that if you leave early, sometimes they only give you a prorated amount. So, paying this 136,000 shouldn't be that bad. It seems like you had a good salary and can afford it. It's not worth it if you want to come back and have 136,000 getting in the way, regardless how you feel about the school.

Also, did they pay for your last month with them? You said something about giving up 1.5 months of salary, so that should be well over 136,000 won. That's why my instincts tell me to stop all communication and move on as fast as you can to your next thing.

[stuey11]

I'm actually still in Korea, working at the new job that i got offered. Thats why I had to resign, my old job gave me a LOR on condition i resign early and then they would'nt have to pay me for 1.5 months before the new job started, but thats a whole other kettle of fish and I am currently in touch with the labour board with regards trying to get some of that unpaid salary back.

The other issue is paying the tax on my severance, my old boss has e-mailed me with an account number to wire the money to, however i have a suspicious feeling it could be his personal bank account and that he will pocket the cash for himself. I have no way of proving it without contacting him

I am just conerned because i don't want this 136,000 won to become an issue with the tax office but on the other hand I really don't want anything more to do with the old job.

If things go well at the labour board and I get my unpaid salary back then I will pay the tax back until then however i can't help feeling that its my its not my fault and that my old boss did'nt do his job properly.

I'm just wondering on other peoples opinions

[moosehead]

I just finished a contract and they took a nominal amount out for tax - couldn't tell you how much because it's not in front of me at the moment.

can you just tell him to send you a tax bill? or rather, ask for him to have the tax office contact you directly and then you'll be happy to make the appropriate payment?

it seems like an odd amount to be incorrect and a scam, still one wonders

did you receive any kind of stamped statement showing all the amounts you were paid and deductions for the time you were working there? you can always go back to the business office and ask for it - there was a time when all FTs were advised to get this statement in case qs arose regarding pension, insurance, taxes, etc. were properly paid or not. in E it's referred to as a "tax certificate" and I've gotten them in the past. the business office should know what it is.

[polonius]

You can tell your old boss that you will take care of it yourself. Have him send you documentation of moneys earned for the year 2008. Then you file your own taxes. Mind you, your severance was paid to you in Jan, so it won't come up until tax season of 2010.

I receive a statement of earnings and taxes paid every year, then I have an accountant do the work for me. Just tell him that it is ok, and you will make sure that you settle things up with NTS.

That's what I would do.

[ryoga013]

[Ya-ta Boy]

For W136,000 I'd just wire the money and be done with it.

[cruisemonkey]

Tell your old boss you'll declare the severance as taxable income when you file your 2009 return with the NTS.

[ontheway]

[ChinaBoy]

Ignore him. You were smart to get away.