Foreign Worker Tax Calculator

Korea Salary Calculator for Foreigners

Compare the 19% flat tax against Korea’s standard progressive income tax, and see your estimated take-home pay under both options.

KRW
Total contract salary before any deductions.
1
Only used for the progressive-tax option. The flat tax allows no personal deductions.
Used only to check whether you still qualify for the flat tax election.

Progressive Tax

6–45% brackets, with deductions

₩0
estimated net annual pay
≈ ₩0 / month

19% Flat Tax

20.9% flat, no deductions

₩0
estimated net annual pay
≈ ₩0 / month
4 Major Insurances (same under both options)
National Pension (4.75%)₩0
Health Insurance (3.595%)₩0
Long-term Care Insurance₩0
Employment Insurance (0.9%)₩0
Total insurance (annual)₩0
Progressive Tax Option
Taxable income (after deductions)₩0
Income tax before credit₩0
Earned income tax credit− ₩0
Local income tax (10%)₩0
Total tax₩0
19% Flat Tax Option
Income tax (19% of gross)₩0
Local income tax (10%)₩0
Total tax₩0
This is a simplified estimate for planning purposes only, based on 2026 rates. It assumes salary income only, applies standard deductions and the earned income tax credit, and does not account for housing, medical, education, or other itemized deductions, year-end settlement adjustments, or income from a related-party employer. The flat tax option is not available to foreigners working for a company classified as a related party. Confirm your exact figures with your employer’s payroll team, the National Tax Service (Hometax, helpline 126), or a licensed tax accountant (세무사) before making an election.

Should You Choose Korea’s 19% Flat Tax? Use This Calculator to Find Out

If you’re a foreign worker in Korea, you may have heard about the “19% flat tax” — a special income tax option available to eligible foreign employees, instead of Korea’s standard progressive tax (6–45%). But which one actually saves you more money? The honest answer: it depends entirely on your salary.

The short version: the flat tax gives up all deductions in exchange for a simple, predictable 19% (20.9% including local tax) rate on your entire gross salary. The progressive system taxes you at lower rates first, and gives you a personal deduction, an earned-income deduction, and a tax credit — but the rate climbs quickly as your income rises. At lower salaries, progressive almost always wins. Somewhere in the ₩150–170 million annual salary range, the flat tax usually starts winning instead.

Rather than guessing, our calculator runs both scenarios side by side using your actual salary, family size, and start date in Korea — including the mandatory 4 major insurances (national pension, health insurance, long-term care, employment insurance) that apply either way.

How to use it:

  1. Enter your annual gross salary in KRW.
  2. Enter the number of dependents you claim (including yourself) — this only affects the progressive calculation.
  3. Optionally enter your first day of work in Korea to check whether you’re still within the flat tax’s 20-year eligibility window.
  4. Compare your estimated net annual and monthly pay under both options, and see the full breakdown of insurance, tax credits, and local tax.

One thing most people get wrong: several other sites still say the flat tax election only lasts 5 years. That was true under an older version of the law — it’s now a 20-year window from your first day of work in Korea, as long as you started working by the current legal deadline. Always double check your eligibility with your employer’s payroll team or a licensed tax accountant (세무사) before making the election, since it can’t easily be undone.

FAQ

Can I switch back and forth between the flat tax and progressive tax every year? Generally yes — the flat tax is an annual election you can choose or decline each year, within your eligibility window.

Does this apply to all visa types? It applies to foreign employees with earned income from a Korean employer, subject to specific conditions — check with your employer or a tax accountant for your exact visa situation.

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