Korean Job Discussion Forums

Pablo · Joined: 15 Dec 2011

Hi

If the tax rate on a 2 million won monthly salary is X%, how much more would one have to make each month before one is taxed at a higher percentage?

Thank you

ttompatz · Joined: 05 Sep 2005 Location: Kwangju, South Korea

ontheway · Posted: Sun Sep 16, 2012 5:10 am Post subject:

It will be easier if you use the monthly tax withholding calculator linked below. It will compute the amount in won that you should have withheld as an employee. To get the percentage, divide the proper tax withholding amount by your monthly salary. When using the calculator, omit the last three zeros from your salary (the amount is entered in thousands). Just plug in your monthly salary as directed:

http://www.nts.go.kr/eng/help/help_52.asp

If you are working at a truly honest school, you will be working as an employee, you will have your pension and health care deducted and remitted correctly from your first full month of work, and your tax will be withheld according to this NTS calculator.

Pablo · Joined: 15 Dec 2011

Thank you Ttompatz and Ontheway!

thegadfly · Joined: 01 Feb 2003

...just so you realize, the tax rate is a sliding scale that slides every 100k of monthly salary -- unlike the US, where there are fairly large "tax brackets," on the Korean scale, each 100k step is a bracket, and your taxes increase a fraction of a percentage point each time.

I believe around 9.8 million won a month was the tipping point -- at 9.9 mill a month or higher, it is better to just claim 15% flat rate, but anything under that was better on the sliding scale....