Financial Services Commission "Discussing Measures for First-Year Workers Who Got Jobs Last Year to Join Youth Hope Savings"

[Asia Economy Reporter Hyungsoo Park] The government is discussing measures to allow young workers in their early careers to join the Youth Hope Savings Account.

The Financial Services Commission announced on the 23rd that it is currently discussing with related ministries the plan to allow young people who earned income for the first time last year to join after confirming their 2021 income.

This measure comes in response to controversies over the eligibility criteria as applicants flock to the Youth Hope Savings Account, which offers an effective annual interest rate in the 10% range.

The Youth Hope Savings Account is available to young people aged 19 to 34 whose total salary during the previous tax period (January to December 2021) is 36 million KRW or less (comprehensive income amount of 26 million KRW or less).

The Financial Services Commission initially allocated a budget of 45.6 billion KRW, corresponding to about 380,000 accounts, and informed that eligible young people could apply throughout the year.

However, before July of this year, when the 2021 income is confirmed, eligibility and income requirements will be assessed based on income from January to December 2020.

As the number of applicants for the Youth Hope Savings Account exceeded expectations, the government revised the plan to accept applications until the 4th of next month, allowing all eligible young people to join. Due to the earlier application deadline, those who started working in 2021 and whose 2020 income is not recorded were excluded from eligibility.

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