About this tool
In Korea, freelancers and other business-income earners usually have 3.3% withheld when they are paid. That is 3% income tax plus 0.3% local income tax, which is 10% of the income tax. This calculator shows the withholding and the net amount you actually receive. For example, a payment of 1,000,000 won has 30,000 won of income tax and 3,000 won of local income tax withheld, so you receive 967,000 won. In reverse mode you enter the amount you want to receive and it finds the pre-tax payment: 967,000 won divided by 0.967 is 1,000,000 won. Amounts are cut off below one won. Withholding is only an advance payment: you still file your comprehensive income tax return in May, and the final tax may be higher or lower, so part of it can be refunded. Expense deductions, insurance and special cases such as daily workers are not included. The results are estimates for reference and do not replace advice from a tax professional.
How to use
- Pick a tab: 'From pay amount' or 'From take-home pay'.
- Type the amount in won.
- See the 3% income tax, 0.3% local tax and the net amount.
- Remember that the May income tax return makes the final settlement.