# Social Insurance Calculator

> Calculate Korean four major social insurance premiums (National Pension, Health Insurance, Long-term Care, Employment Insurance) plus Industrial Accident Insurance for both employee and employer.

## What is this calculator?

The Social Insurance Calculator helps you calculate the four major social insurance premiums in South Korea based on an employee's monthly salary. It covers National Pension, Health Insurance, Long-term Care Insurance, and Employment Insurance, plus Industrial Accident Insurance — providing a complete breakdown of both employee and employer contributions.

In South Korea, all businesses with one or more employees are required to enroll in the four major social insurance programs. The premiums are shared between the employee and employer at set ratios, with the employee's share being deducted from their monthly paycheck. The employer collects both shares and remits payments to the respective insurance agencies.

This calculator uses 2026 rates and accounts for company-size-based Employment Insurance differentials as well as industry-specific Industrial Accident Insurance rates, giving you an accurate picture of total labor costs beyond base salary.

## How to use

Step 1: Enter the monthly salary.
Enter the employee's gross monthly pay before deductions. Exclude non-taxable items such as meal allowances (up to 200,000 KRW), vehicle subsidies, and childcare benefits, as these are not subject to insurance premiums.

Step 2: Select the company size.
The employer's Employment Insurance contribution varies based on company size due to additional job stability and skills development levies:
• Under 150 employees: +0.25% additional
• 150+ priority support enterprises: +0.45% additional
• 150~999 employees: +0.65% additional
• 1,000+ employees / Government: +0.85% additional

Step 3: Enter the Industrial Accident Insurance rate.
This rate varies widely by industry, from 0.7% (office work) to 18.6% (mining). Manufacturing typically falls between 1.0% and 2.0%, while construction is usually 3.5% or higher. Check the Korea Workers' Compensation & Welfare Service website for your exact rate.

Step 4: Review the results.
The calculator shows a summary of total employee and employer shares, a detailed per-insurance breakdown, and a visual bar chart comparing contributions.

## How it's calculated

National Pension (2026 rates):
• Rate: Employee 4.5% + Employer 4.5% = 9.0% total
• Base income range: Min 390,000 KRW ~ Max 6,170,000 KRW
• If salary is below 390,000 KRW, 390,000 is used; if above 6,170,000, that cap is used
• Formula: Capped salary × 4.5% (each side)

Health Insurance (2026 rates):
• Rate: Employee 3.545% + Employer 3.545% = 7.09% total
• Formula: Monthly salary × 3.545% (each side)

Long-term Care Insurance (2026 rates):
• Rate: 12.95% of the Health Insurance premium
• Split 50/50 between employee and employer
• Formula: Health Insurance premium (employee portion) × 12.95% × 2, then split equally

Employment Insurance (2026 rates):
• Employee: Monthly salary × 0.9%
• Employer: Monthly salary × 0.9% + company-size surcharge
  - Under 150: +0.25%
  - 150+ priority support: +0.45%
  - 150~999: +0.65%
  - 1,000+ / Government: +0.85%

Industrial Accident Insurance:
• Employer bears 100% of the cost
• Formula: Monthly salary × accident rate (%)

## Useful tips

1. Check Your Pay Stub: Review your monthly pay stub to verify insurance deductions match expected amounts. Discrepancies may arise from non-taxable allowance inclusions or different salary base calculations.

2. Rate Change Schedule:
• Health & Long-term Care Insurance: Updated every January (announced in December)
• National Pension: The 9% rate is fixed, but income caps are adjusted every July
• Employment Insurance: Changed through legislation
This calculator is updated whenever rates change.

3. Non-taxable Exclusions: Meal allowances (up to 200K KRW/month), personal vehicle subsidies (up to 200K), and childcare benefits (up to 200K) are excluded from the insurance premium base.

4. New Hires & Departures: Insurance premiums are charged on a monthly basis — not prorated by day. However, Health Insurance exempts the month of hire and charges the month of departure.

5. Durunnuri Subsidy: Businesses with fewer than 10 employees whose workers earn less than 2.7M KRW/month may qualify for the Durunnuri social insurance subsidy, which covers 80% of National Pension and Employment Insurance premiums — a significant savings for small businesses.

## FAQ

### Q. Who must enroll in the four major social insurance programs?

All businesses employing one or more workers must enroll. National Pension covers workers aged 18-59; Health Insurance covers all workers employed for 1+ months working 60+ hours/month; Employment Insurance covers workers hired before age 65; and Industrial Accident Insurance covers all workers regardless of age or hours. Part-time workers under 60 hours/month (15 hours/week) may be exempt from National Pension and Health Insurance, and separate rules apply to daily workers and self-employed individuals.

### Q. How do National Pension income caps work?

National Pension premiums are calculated using a "standard monthly income" rather than actual salary. In 2026, the floor is 390,000 KRW and the ceiling is 6,170,000 KRW. Even if you earn less than 390,000 KRW, premiums are based on 390,000; if you earn more than 6,170,000, the cap applies. These limits are adjusted every July based on changes in average subscriber income. This means the maximum National Pension premium is 277,650 KRW/month (6,170,000 × 4.5%) per side, regardless of how high the salary is.

### Q. Why does only the employer pay Industrial Accident Insurance?

Industrial Accident Insurance (산재보험) compensates workers for injuries, illnesses, or deaths that occur during the course of employment. It is based on the employer's no-fault liability principle — since the employer has a legal obligation to compensate workers for workplace injuries, the insurance that covers this obligation is funded entirely by the employer. Rates vary significantly by industry risk level, ranging from 0.7% for office work to 18.6% for mining, reflecting the relative danger of each occupation.

### Q. Why do Employment Insurance employer rates differ by company size?

The employer's Employment Insurance contribution includes a "job stability and skills development" levy that is tiered by company size. Larger companies are required to contribute more to employment stability programs, reflecting their greater capacity for social responsibility. The rates range from 0.25% for companies with fewer than 150 employees to 0.85% for those with 1,000+ employees or government agencies. This graduated system is designed to reduce the burden on small and medium-sized businesses while ensuring adequate funding for employment support programs.

### Q. When do insurance rates change and where can I verify them?

Health Insurance rates change every January, announced the previous December. Long-term Care rates are adjusted alongside Health Insurance. National Pension's rate (9%) is fixed by law, but the income floor and ceiling are updated every July. Employment and Industrial Accident Insurance rates change through legislation or official notices. You can verify current rates at the National Pension Service (nps.or.kr), National Health Insurance Service (nhis.or.kr), Korea Workers' Compensation & Welfare Service (comwel.or.kr), and Ministry of Employment and Labor (moel.go.kr).