Private Education Expenses Reach Record High Since 2007... Average Monthly Cost per Student 367,000 KRW

Total Private Education Expenses Reach 23.4 Trillion Won, Up 21% from Previous Year
Private Education Participation Rate at 75.5%, Increased by 8.4%p from Previous Year
Average Private Education Cost per Person 367,000 Won, Higher than Pre-COVID Levels

With the 2021 College Scholastic Ability Test just three days away on the 30th, the ongoing spread of COVID-19 is increasing anxiety among test takers. Tension is palpable in the academy district of Daechi-dong, Gangnam-gu, Seoul on this day. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Han Jinju] Last year, both the total amount of private education expenses and the average monthly private education expenses per person reached record highs since statistical surveys began. With increased vaccination and outdoor activities, both private education spending and participation rates have recovered to pre-COVID-19 levels.

According to the 2021 Private Education Expenses Survey conducted by Statistics Korea and the Ministry of Education on 74,000 students from 3,000 elementary, middle, and high schools, the total private education expenses amounted to 23.4 trillion KRW, a 21.0% increase compared to the previous year. The private education participation rate also rose by 8.4 percentage points to 75.5% from 2020.

The average monthly private education expense per person was 367,000 KRW, up 21.5% from the previous year. This is a 14.2% increase compared to 2019 (321,000 KRW), before COVID-19. For students participating in private education, the expense was 485,000 KRW, an 8% increase from the previous year.

The Ministry of Education explained that entering the second year of COVID-19, increased vaccination and expanded face-to-face activities significantly raised private education participation rates. The Ministry also noted that parents' heightened anxiety due to restrictions on face-to-face classes contributed to the expansion of private education.

Inan-young, Director of the Education Safety Information Bureau at the Ministry of Education, stated, "In the first year of COVID-19, face-to-face activities were heavily restricted, concerns about learning loss were high, and school attendance days were significantly limited. Entering the second year, as face-to-face activities gradually eased, various situations appear to have substantially reverted to the original or previous years."

Jang Hong-jae, Director of School Innovation Policy at the Ministry of Education, explained, "Remote classes themselves caused various difficulties in concentration and understanding at students' homes, and from parents' perspectives, managing and controlling was challenging. These factors led to anxiety and concerns about learning loss and basic academic skills decline, which in turn led to increased private education as a choice."

Among students participating in private education, elementary school students spent an average of 400,000 KRW per month (18.5% increase), middle school students 535,000 KRW (5.5% increase), and high school students 649,000 KRW (1.0% increase). Notably, the proportion of students spending over 700,000 KRW monthly increased by 3.0 percentage points compared to the previous year.

The total private education expenses by school level were 10.5 trillion KRW for elementary schools, a 38.3% increase from the previous year; 6.3 trillion KRW for middle schools, a 17.7% increase; and 6.5 trillion KRW for high schools, a 3.0% increase.

For elementary schools, the increase is attributed to a rebound in arts and physical education private expenses, which had sharply decreased due to face-to-face activity restrictions in 2020, along with some growth in general subjects.

The private education participation rate increased by 12.3 percentage points to 82% for elementary schools, by 5.9 percentage points to 73.1% for middle schools, and by 3.0 percentage points to 64.6% for high schools.

Despite the COVID-19 situation, private education expenses for general subjects have steadily increased. The average private education expense for general subjects was 281,000 KRW, a 17.6% increase from the previous year. By subject, expenses were highest for English (112,000 KRW), followed by Mathematics (105,000 KRW), and Korean (30,000 KRW).

The average monthly private education expense for general subjects among participating students was 460,000 KRW, a 1.4% increase. The order was English (225,000 KRW), Mathematics (207,000 KRW), and Korean (122,000 KRW).

Notably, the growth rates for Korean and Social/Science subjects were higher than those for English and Mathematics before COVID-19. Korean (30,000 KRW) and Social/Science (16,000 KRW) increased by 20.9% and 19.7%, respectively.

Director Inan-young explained, "Traditionally, private education expenses for English and Mathematics have always been high, but due to learning loss and reduced school attendance days, anxiety has extended the demand for private education to general subjects as well."

Especially, online private education expenses such as paid internet and communication lectures increased by 65.2% compared to the previous year. This is attributed to the increased preference for internet lectures due to restrictions on face-to-face activities caused by COVID-19.

Participation in after-school programs dropped to 9.5% in 2020 but rebounded to 28.9% last year, though it remains lower than the pre-COVID-19 level of 48.4% in 2019.

The gap in private education expenses by household income is about 5.1 times, similar to the previous year. Households with a monthly income of 8 million KRW or more spent 593,000 KRW, while those earning less than 2 million KRW spent 116,000 KRW. The participation rate gap decreased by 1.0 percentage point to 39.4% from 40.4% the previous year.

Students aspiring to attend autonomous private high schools and specialized high schools showed higher private education participation rates and spending. Private education expenses by desired high school type were highest for autonomous private high schools (535,000 KRW), followed by science and gifted schools (516,000 KRW), and foreign language/international high schools (494,000 KRW). Participation rates were 88.9%, 87.3%, and 87.2%, respectively.

The Ministry of Education plans to expand the scale of after-school programs, including subject and special aptitude programs, as restrictions on after-school programs have influenced private education. The budget for supplementary subject learning programs centered on active teachers will be significantly increased, and from this year, about 20,000 university students from education and teacher training colleges will be deployed for university student tutoring.

The Ministry will also strengthen national responsibility for basic academic skills guidance. Starting this year with 6th grade elementary, 3rd grade middle, and 2nd grade high schools, all schools wishing to participate will conduct 'computer-based customized academic achievement self-assessments,' with plans to gradually expand the target grades for evaluation support.

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