Korean Job Discussion Forums

desperation

Can somebody please tell me how to decalre residency in America so that I get no S. Korean tax taken out, and I am still under the 80K US rule. Also, do I get benefits too? Like do they still take out for health insrance? What about pension, if I'm not a resident there.....Please tell me what and when and how to do this. Thanks!

Francis-Pax · Joined: 20 Nov 2005

I am afraid that it doesn't work that way. If you are legally working in Korea with an E-2 visa, then you must legally be taxed on your earned income from your legal job (the only job you are allowed to have). The only way to get around that is if your boss does some funny business with the books. Otherwise, you have to pay to Caesar what is Caesar's.

By having an E-2 Visa and residing in Korea you become a temporary Korean resident, de facto, for the length of your sojourn and subject to the taxation laws of the ROK.

As you already mention, US citizens do not have to pay taxes to a certain limit, a limit never to be reached by an English teacher. However, you still must report your earnings. Most people don't do it, but you're supposed to do it.

Of course, anything you make outside of your legal job (privates - something nobody ever does... Rolling Eyes

) is not taxed.

goodgood · Joined: 22 Nov 2006 Location: seoul

Dude, the tax here is so low you won't even miss it. And why wouldn't you want the pension? Double your money- it's like a savings account with 100% interest! If I could put quadruple my money into the pension I would. Plus as an american myself, the healthcare here is incredible. Don't try to make things complicated- the deal is good as is.

desperation · Posted: Mon Apr 30, 2007 2:29 pm Post subject:

kat2 · Joined: 25 Oct 2005 Location: Busan, South Korea

If you work in a public school or MAYBE a uni, then your first two years are tax free. Thats right- not american tax and no korean tax. SWEET!

As an American , definitly make sure your boss is paying pension. YOu put in 4.5% and he puts in 4.5%, then when you leave you get all 9%!! SWEET!

Health Care here is cheap. Definlitly pay it. Its about 50 bucks a month or something

desperation · Posted: Mon Apr 30, 2007 4:13 pm Post subject:

kat2 · Joined: 25 Oct 2005 Location: Busan, South Korea

PM ttompatz. I'm not exactly sure how it works, but he will know. He knows everything about everything. I'm not paying any tax, and I think your school has to apply for the exemption or turn in some forms or something to get you exempt.