[COVER STORY] Middle-aged Koreans largely look to national pension for post-retirement safety net

A recent survey conducted by the Ministry of Data and Statistics reveals that the national pension has become the primary safety net for middle-aged Koreans preparing for retirement. According to the figures, 61 percent of individuals aged 40 to 64 rely on this state-run pension program, up from 51.7 percent a decade ago. This shift in retirement planning preferences indicates a growing dependence on the government-sponsored pension system, as opposed to private pension plans or other post-retirement support options.

The data, based on a decade's worth of responses collected through the ministry's annual survey, also highlights an increasing awareness of financial security during the post-career years among Koreans in this age group. Between 2015 and 2025, this demographic's awareness of post-retirement financial stability rose substantially. In 2015, 75.8 percent of those surveyed stated they were actively building or had already established a retirement cushion. By 2025, this number had increased to 81.9 percent.

However, despite this growing awareness, the reliance on the national pension has nearly doubled, accounting for an additional 9.2 percentage points compared to the previous decade. This trend suggests that while more middle-aged Koreans are cognizant of the importance of financial security in retirement, their primary source of safety remains the state pension. Simultaneously, the use of alternative means to support post-retirement life, such as private pensions, has seen a decline as the population ages.