Are you worried about lack of income? Find out about the work incentives introduced today and receive the benefits. Stay strong everyone during these difficult times.
What is an employment incentive?
Work incentives are government subsidies paid to workers and business owners (excluding professionals) who work hard but have difficulty making a living due to low income. The amount of the incentive is calculated based on the composition of household members and total salary amount. Depending on income, single-income households can receive a work incentive of up to 1.65 million won, single-income households up to 2.85 million won, and dual-income households up to 3.3 million won.
Simulated calculation
You can immediately check the incentive amount you can receive by entering simple information on the National Tax Service’s Home Tax website, so click the box below.
National Tax Service Hometax
www.hometax.go.kr
Income requirements (coupled)
-The combined annual total income of married couples in 2022 must be less than the total income standard amount below determined according to the composition of household members.
-(Employment incentives) 22 million won for single-income households, 32 million won for single-income households, 38 million won for dual-income households
-(Child incentives) 40 million won for single-income households or dual-income households
What is gross income?
The sum of earned income (total salary amount), business income (total income amount
Property requirements (sum of household members)
-As of June 1, 2022, the total amount of assets including houses, land, buildings, and savings owned by all household members is less than 200 million won.
-Liabilities are not deducted when calculating property value.
How to apply
1, ARS phone application (1544-9944)
Select application by phone by pressing [1] (applicable for regular application, omitted for semi-annual application) and the 13-digit resident registration number, then enter the individual authentication number (8 digits) written in the application guide (text message)* and follow the instructions to apply.
If you contact the person using the contact information registered with the National Tax Service, the individual authentication number can be omitted (service usage hours: 6:00~24:00)
2, Apply for Hometax (mobile app, PC)
When applying via mobile app, download and install from the App Store (Play Store)
Apply by accessing the National Tax Service’s Hometax (http://www.hometax.go.kr)
3, Internet application
(Written notice) Scan the QR code inserted in the notice with your smartphone to apply.
(Mobile information) Apply after reading the mobile information attached to KakaoTalk or text message.
If the Home Tax mobile app is installed, the individual authentication number is automatically entered and you can apply with your resident registration number without logging in.
4. Application agent: Weekdays 9:00 – 18:00 (excluding Saturdays, Sundays, and public holidays)
If the recipient agrees, a counselor at the incentive counseling center (1566-3636) or a tax office employee will apply on behalf of the recipient.
Application period
Apply
judge
-Connect the application with the review construction data, collect additional data for those missing from the data construction, and conduct screening work such as correction requests and on-site confirmation.
-(Examination progress inquiry) Access the National Tax Service’s Hometax (http://www.hometax.go.kr) and check under “Examination progress status inquiry”
Payment due date
1, (Regular application) Paid by the end of September
2, (Applications made after the deadline) Payment within 4 months from the date of application
3, semi-annual application
(Application qualifications) Applicant or his or her spouse must be a resident with only earned income in 2023 (excluding those with business income)
(Income and property requirements) The combined total income of the couple in 2022 is less than the standard amount, and as of June 1, 2022, the total assets of all household members are less than 240 million won.
Format
Application for employment incentives and child incentives (regular, after the deadline).hwp
0.10MB
Semi-annual work incentive application (revised 2023.3.20.).hwp
0.10MB
Account opening (change/withdrawal) report for work incentives and child incentives.hwp
0.04MB
Exclusions
– Those who do not currently possess Korean nationality (those who are married to a person with Korean nationality or those who have dependent children with Korean nationality can apply)
-A person who is a dependent child of another resident
-A person who runs a professional business (including his or her spouse)
– A person (including his/her spouse) who is currently continuously working as a regular worker (excluding daily workers) with an average monthly earned income of KRW 5 million or more (employment incentives only)
Income excluded from total salary
-Tax-exempt income
– Earned income and business income subject to withholding tax received from the applicant and his/her spouse’s direct descendants
-Business income of a person without business registration (excluding personal service income subject to withholding tax)
-Earned income received from a person without business registration
-Recognized bonus earned income (income disposition under Article 67 of the Corporate Tax Act)
-Income generated from real estate rental business according to the Income Tax Act
Definition of household composition
(Single household): Households without a spouse, dependent children (under 18 years of age), or direct ascendants over 70 years of age.
(Single-income household): ① Households where the spouse’s “gross salary, etc.” is less than 3 million won ② Even if there is no spouse, there are dependent children (under 18 years old) or direct ascendants over 70 years old (each with an annual income of 1 million won or less and living together according to the resident registration table) Households that share a living as a family
(Double-income households): Households where the “total salary, etc.” of each resident and spouse is 3 million won or more.
What is a household member? Refers to the resident’s spouse, the resident’s or his or her spouse’s immediate ascendants and descendants (including that spouse), and dependent children.
policy notice
National Tax Service Hometax
www.hometax.go.kr
I hope this was helpful and I will try my best to provide better information. Thank you.^^