Heo Jong-sik: "Exclude Veterans' Compensation from Income"…Government Approves Amendment to Basic Pension Act Enforcement Decree

End of 10-Year Discussion on Veterans Compensation Deduction
15,000 New Basic Pension Recipients Expected

Democratic Party of Korea Representative Heo Jong-sik

[Asia Economy Reporter Park Hyesook] Based on the legislative amendment excluding veterans' compensation (allowances) from income and discussions in the National Assembly, the government has approved a revision of the enforcement decree at the Cabinet meeting, which is expected to expand the basic pension eligibility for low-income veterans.

On the 19th, Heo Jongsik, a member of the Democratic Party of Korea (Incheon Dong-gu Michuhol-gap), stated, "Starting from the agreement during the review of the Basic Pension Act amendment in the National Assembly last November to exclude part of the veterans' compensation from income, the Ministry of Health and Welfare and the Ministry of Patriots and Veterans Affairs agreed to reflect this in the enforcement decree. The 'Basic Pension Act Enforcement Decree Amendment' containing this content was approved at the Cabinet meeting."

Accordingly, among the current 376,000 veterans aged 65 or older, 194,000 are receiving the basic pension, and about 15,000 are expected to become newly eligible.

From the previously recognized income deduction, the highest allowance level of 430,000 KRW, which is for compensation related to 'contribution,' will be deducted.

Earlier, in February last year, Representative Heo proposed the "Partial Amendment to the Basic Pension Act," which stipulates that compensation and allowances for independence patriots and national merit recipients should be excluded from income when calculating basic pension eligibility.

This is because, until now, veterans' benefits such as compensation have been included in the 'recognized income amount,' a key factor in determining basic pension eligibility for those aged 65 and older, resulting in frequent cases where elderly veterans receiving veterans' benefits are excluded from receiving the basic pension.

Starting with Representative Heo's bill proposal, a joint meeting between the Ministry of Health and Welfare and the Ministry of Patriots and Veterans Affairs and the bill review process led to an agreement that "compensation should be deducted from income."

Representative Heo said, "If we do not recognize the value of those who have devoted themselves to the country, who will step forward for the nation? The 10-year discussion to exclude veterans' compensation from basic pension income calculation has come to an end with the approval of this enforcement decree amendment."

He added, "With the enforcement scheduled for August 1, both central and local governments should accelerate system improvements such as computerization to contribute to securing the retirement income of patriots."

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