Middle-aged Koreans largely look to national pension for post-retirement safety net
More than six out of 10 middle-aged Koreans identified the national pension as their primary safety net for life after retirement, according to figures released by the Ministry of Data and Statistics, Monday. The figure rose to 61 percent from 51.7 percent a decade ago, showing that people in the age group are becoming more dependent on the state-run pension program rather than private pensions…
A majority of middle-aged Koreans rely on the national pension as their main financial safety net for life after retirement, according to new data released by the Ministry of Data and Statistics. This trend has intensified in recent years, with the percentage of those dependent on the state pension rising from 51.7% a decade ago to 61% in the latest survey conducted over a decade's worth of responses from individuals aged 40 to 64.
The increase in reliance on the national pension is attributed to a growing awareness of post-career financial security among this demographic. In 2015, 75.8% of Koreans aged 40 to 64 said they were actively building or had already established a retirement savings cushion. By 2025, this figure had risen to 81.9%, indicating that more people are prioritizing their financial future.
However, the majority of this retirement savings cushion still comes from the national pension system. The proportion of people relying on this state-run pension increased by nearly 10 percentage points over the decade, while alternative means of post-retirement support, including private pension services, experienced a decline as dependence on the national pension grew.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
