Gwangju City Provides 300,000 Won Support to Bottom 70% Income Bracket for Basic Pension

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] The Gwangju Metropolitan City announced on the 14th that starting this month, the basic pension of up to 300,000 KRW per month for seniors has been expanded from the bottom 40% income bracket to the bottom 70% income bracket.

This expansion of basic pension support was prepared in accordance with the revised “Notice on the Selection Criteria for Basic Pension Recipients, Standard Pension Amount, and Detailed Standards for Calculating Recognized Income,” which takes effect this month.

Accordingly, the basic pension selection criteria amount will increase from 1.48 million KRW last year to 1.69 million KRW for single-person households (from 2.368 million KRW to 2.704 million KRW for couple households).

The basic pension selection criteria amount is the income and property threshold for receiving the basic pension. It is adjusted annually reflecting changes in publicly announced property prices, overall household income levels, inflation rates, and other factors. Seniors whose recognized income is below the selection criteria amount are eligible to receive the basic pension.

In particular, this year, the minimum wage was raised from 8,590 KRW to 8,720 KRW, and the earned income deduction was increased from 960,000 KRW to 980,000 KRW to ensure that working seniors are not disadvantaged in receiving the basic pension due to the minimum wage increase.

Gwangju City has secured a total budget of 458.9 billion KRW for the basic pension project this year and plans to pay the January basic pension on the 25th.

The basic pension was introduced in July 2014 to ensure stable retirement income for seniors. As of last year, 135,718 out of 205,666 seniors aged 65 and older (66%) were receiving the basic pension.

Last year, Gwangju City provided a total of 405.2 billion KRW in basic pensions to about 136,000 seniors, contributing to their stable income base and livelihood security.

Seniors must apply to receive the basic pension. Applications can be made at the administrative welfare center with jurisdiction over their residence or at the nearest National Pension Service branch.

For those with mobility difficulties, the National Pension Service branch offers a “visiting service” where, upon request, staff visit the senior’s home to receive the application. Applications can also be submitted online by visiting the Ministry of Health and Welfare’s internet portal, Bokjiro.

Park Hyang, Director of the Welfare and Health Bureau of the city, said, “The basic pension is a system designed to alleviate the economic difficulties of our seniors who have worked hard for the country and their children. We hope it will be a great support for seniors facing difficulties in outdoor activities due to COVID-19. Although securing the budget is challenging as the basic pension selection criteria amount increases every year, we will do our best to ensure smooth support.”

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