Next Year’s Median Income to Increase by 2.68%... Monthly Income for 4-Person Household Below 1.46 Million Won Eligible for Livelihood Benefits

Decision Made at the 60th Central Livelihood Security Committee Meeting on the 31st

Minister of Health and Welfare Park Neung-hoo is presiding over the Central Livelihood Security Committee held at the Government Seoul Office on the 31st. (Photo by Yonhap News)

[Asia Economy Reporter Kim Ji-hee] The government has decided to raise the 'standard median income' for next year by 2.68% compared to this year. Accordingly, a four-person household with a monthly income of 1,463,000 won or less will be eligible for livelihood benefits, those earning 1,950,000 won or less for medical benefits, 2,194,000 won or less for housing benefits, and 2,438,000 won or less for education benefits, respectively.

The Ministry of Health and Welfare held the 60th Central Livelihood Security Committee meeting on the 31st and decided on the 2021 standard median income, selection criteria for each benefit, and minimum guarantee levels. The standard median income refers to the median value of national household income and is used as a criterion to determine eligibility for 73 welfare programs, including basic livelihood security livelihood benefits.

Next year's median income for a four-person household was set at 4,876,290 won, a 2.68% increase from this year's 4,749,174 won. Median incomes for other household sizes were determined as follows: 1-person household 1,827,831 won, 2-person household 3,088,079 won, 3-person household 3,983,950 won, and 5-person household 5,757,373 won.

Livelihood benefits will be provided when household income is 30% or less of the median income, medical benefits at 40% or less, housing benefits at 45% or less, and education benefits at 50% or less.

In particular, considering the increase in households facing difficulties due to the novel coronavirus disease (COVID-19) pandemic, the government utilized a new statistical data source, the 'Household Financial Welfare Survey,' in calculating this standard median income. The median income based on the Household Financial Welfare Survey is higher than that based on the previously used 'Household Trend Survey.'

Meanwhile, the rate of increase in the standard median income compared to the previous year was 1.16% in 2018, 2.09% in 2019, and rose to 2.94% this year.

This content was produced with the assistance of AI translation services.