How to Read Your Korean Payslip — Every Deduction Explained 2026

That Monthly Payslip — Do You Actually Understand It?

Be honest: when payday comes, do you check the final deposit number and move on? Most foreign workers do. But here's the problem — payslip errors are more common than you'd think. Overtime miscalculated. Deductions that shouldn't exist. Night premium completely missing. I've seen workers lose 200,000-300,000 won per month without knowing.

This guide walks through every single line on a Korean payslip. After reading this, you'll catch problems your employer hoped you wouldn't notice.

"What's 기본급?" — The Earnings Section, Explained

Q: 기본급 (Basic Salary) — what should this number be?
This is your base monthly wage before anything is added or deducted. It must match your employment contract exactly. For 2026, minimum wage is 10,030 won/hour. Working standard 40-hour weeks (about 209 hours/month including paid weekly holidays), your minimum 기본급 should be around 2,096,270 won. Getting less? That's illegal — regardless of your visa type.

Q: 연장근로수당 (Overtime Pay) — how is it calculated?
Everything beyond 40 hours/week must be 1.5x your hourly rate. Not 1x — 1.5x. This is where mistakes happen most. Your employer might list overtime hours but calculate at the regular rate. Or cap overtime at fewer hours than you actually worked. Keep your own daily record — a phone note is enough.

Q: 야간근로수당 (Night Work Pay) — do I always get this?
Work between 10 PM and 6 AM? Additional 50% on top of your hourly rate. This stacks with overtime — so night overtime should be 2x your regular rate. If you work night shifts regularly and don't see this line, something is wrong. Seriously — ask about it.

Q: 휴일근로수당 (Holiday Work Pay) — what counts?
Public holidays and your weekly rest day = 1.5x pay. Worked overtime on a holiday? Even more. If you worked one and got normal rate, raise the issue.

Q: 식대 (Meal Allowance) — why is this separate?
Up to 200,000 won/month of meal allowance is tax-free. That's actually good for you — it lowers your taxable income. Some employers list housing allowance separately too.

"Why Is So Much Being Taken Out?" — The Deductions Section

There are exactly 6 legal deductions on a standard payslip. If you see anything else, question it immediately.

① 국민연금 (National Pension) — 4.5%
Your employer pays another 4.5%. Important: when you leave Korea permanently, you can get a lump-sum refund. This isn't lost money — it's forced savings. Check if your country has a pension agreement with Korea for even better terms.

② 건강보험 (Health Insurance) — ~3.545%
Employer matches. This is why hospital visits cost you 20-30% instead of full price. Without it, a simple visit could be 200,000-500,000 won.

③ 장기요양보험 (Long-term Care) — ~12.81% of health insurance
Not 12.81% of your salary — of your health insurance premium. If health insurance is 70,000 won, this adds about 8,970 won. Small amount, legally required.

④ 고용보험 (Employment Insurance) — ~0.9%
Funds unemployment benefits. Even if you're not eligible as a foreign worker, the deduction is mandatory.

⑤ 소득세 (Income Tax) — varies (usually 2-5%)
Depends on salary and dependents. Some higher-earning foreigners opt for the flat 19% rate for simplicity.

⑥ 지방소득세 (Local Income Tax) — 10% of income tax
If income tax is 50,000 won, this is 5,000 won. Simple calculation.

Red Flags — When to Take Action

Now you know what should be on your payslip. Here's what should NOT be there:

• Mystery deductions — Something labeled "기숙사" (dormitory), "장비" (equipment), or anything unlabeled? If it's not in your contract, it's not legal.
• Overtime hours don't match reality — You worked 20 overtime hours but the slip shows 12. This is wage theft. The most common violation for foreign workers in Korea.
• Missing night premium — Any work between 10 PM-6 AM must show 야간근로수당. No exceptions.
• Base pay below minimum — Monthly gross ÷ total hours. Below 10,030 won/hour? File a complaint.

If something looks wrong, first ask your employer — many errors are genuine mistakes. If they dismiss you, call the Labor Rights Helpline at 1350 (foreign language support available) or visit your nearest Labor Office.

One habit that could save you millions of won over your time in Korea: photograph every payslip. If you ever file a wage complaint, these are your evidence. Without them, it's your word against your employer's.

Can't read the Korean? Take a photo and use a translation app. Or better yet — learn enough Korean to read it yourself. It takes less time than you think, and it puts you in control of your own money. If you're curious about where all those deductions end up and what benefits you're actually entitled to, check out our guide on sending money home to make sure the rest of your earnings reach your family efficiently.