Basic Old-Age Pension

[3] It was extended in 2014 to provide monthly allowances of approximately $179 (200,000 South Korean won - KRW) to people over the age of 65 in the bottom 70th percentile of income earned.

[5] Those who have made a minimum of 10 years of contributions and who have reached the age of 60 are eligible for cover under a "reduced old-age pension" scheme.

[7] Basic old-age pension schemes cover individuals aged 65 and older who were earning below an amount set by presidential order.

Due to changes in the population structure, some responsibility for basic pension funds is likely to be a burden on local governments.

The first proposer was Yoo Si-min, the Minister of Health and Welfare, but the name was changed to the basic old-age pension, and the basic old-age pension law was proposed by Kang Ki-jung of the Uri Party (currently the Democratic Party) on March 30, 2007 and passed the plenary session on April 2, 2007 and took effect on January 1, 2008.

[8] Act newly enacted on April 25, 2007 for the purpose of stabilizing the living and promoting welfare of the elderly.

[9] In the 2012 presidential election, Saenuri Party candidate Park Geun Hye, who provided up to 94,000 won a month to the bottom 70 percent with low income and assets, pledged to pay 200,000 won a month to all senior citizens regardless of income and was elected with overwhelming support.

Park Geun Hye The government has established a system that pays a certain amount of pension (200,000 won) per month to 70% of all senior citizens aged 65 or older who have low income and assets to help stabilize their lives.

At that time, most candidates proposed a plan to raise the basic pension amount from 200,000 won per month to 300,000 won (what's the difference between 300,000 won, Ahn Cheol Soo, Hong Joon Pyo, Yoo Seung Min, Sim Sang Jung, and Moon Jae In?April 19, 2017, the Seoul Economy), the abolition of links with the National Pension Service, and adjustment of targets for supply and demand were also discussed.

Moon Jae In In June 2017, after the government took office, the National Opportunity Committee announced a plan to raise the basic pension amount to 250,000 won from the first half of 2018 and to 300,000 won from 2021.# In July 2018, a plan to advance the support period was announced and implemented to support the difficulties of the low-income elderly at an early stage.

In addition, from 2021, a step-by-step increase plan was implemented to raise the salary to a maximum of 300,000 won for the lower 70% of income subject to the basic pension.

In 1994, a report titled "Avoiding the Old-Age Crisis" published by the World Bank suggested a three-layer pension system.

[13] ① The basic pension shall be paid to a person aged 65 or older and whose income recognition is less than or equal to the amount determined by the Minister of Health and Welfare (hereinafter referred to as the "selected standard").

② When the Minister of Health and Welfare determines the standard amount for selection, he/she shall ensure that 70/100 of the basic pension recipients are among those aged 65 or older.

In this regard, some argue that the basic pension is additionally paid because the minimum living cost guarantee level is low.

However, support for the disabled (pension for the disabled), children (care fees), etc., which require more than the minimum cost of living to maintain basic living, is excluded from the income calculation process of the National Basic Livelihood Security Act.