Severance pay in South Korea 2026: notice, severance and unemployment benefit
When a job ends in South Korea, the calculator above estimates the statutory severance pay, the notice period, the payment for unused leave and the unemployment benefit, with the tax on each part. Below you will find the rules in brief and examples for different lengths of service.
The rules in brief
- Severance pay: After at least 1 year of service every employee receives severance pay of 30 days’ average wages per year, whatever the reason for leaving, including resignation; many employers pay it through a retirement pension plan. It is taxed as retirement income with its own deductions, so the tax is low. A dismissal needs a justifiable reason and 30 days’ notice or 30 days’ wages.
- Job-seeking benefit: If you lose your job involuntarily after at least 180 insured days in the last 18 months, the employment insurance pays 60% of your average daily wage, between 66,048 and 68,100 won a day in 2026, for 120 to 270 days depending on your age and how long you were insured.
Example: ₩4,000,000 gross a month
| Years of service | Severance, net | Notice period |
|---|---|---|
| 1 | ₩3,938,400 | 30 days (or 30 days’ wages instead) |
| 2 | ₩7,876,800 | 30 days (or 30 days’ wages instead) |
| 3 | ₩11,815,200 | 30 days (or 30 days’ wages instead) |
| 5 | ₩19,692,000 | 30 days (or 30 days’ wages instead) |
| 10 | ₩39,516,000 | 30 days (or 30 days’ wages instead) |
| 15 | ₩59,406,000 | 30 days (or 30 days’ wages instead) |
| 20 | ₩79,296,000 | 30 days (or 30 days’ wages instead) |
| 25 | ₩99,252,000 | 30 days (or 30 days’ wages instead) |
Case: “Dismissed or made redundant”, leaving on 31 December 2026, without unused leave. These are legal minimums; a contract or collective agreement may give more.
What you receive: an example
With 9.8 years of service and 10 days of unused leave, ending on 31 December 2026:
| Item | Gross | Net |
|---|---|---|
| Severance pay (30 days’ average wages per year of service; after retirement income tax) | ₩39,342,466 | ₩38,875,825 |
| Unused leave (5 days) | ₩923,077 | ₩703,486 |
| Total | ₩40,265,543 | ₩39,579,311 |
Unemployment benefit
In this example the unemployment benefit comes to about ₩14,301,000 in total (Job-seeking benefit: ₩68,100 a day for 210 days (60% of your average daily wage, between 66,048 and 68,100 won), if you were insured for at least 180 days in the last 18 months and lost your job involuntarily). The conditions, such as the contributions you need, are listed in the rules above.
Frequently asked questions
How much severance do I get after 10 years in South Korea?
About ₩39,516,000 net with ₩4,000,000 gross a month, for “Dismissed or made redundant”. The notice period is 30 days (or 30 days’ wages instead).
How long is the notice period?
In the example: 30 days (or 30 days’ wages instead), whatever the length of service. A contract can require more.
Do I get unemployment benefit?
In the example, about ₩14,301,000 (Job-seeking benefit: ₩68,100 a day for 210 days (60% of your average daily wage, between 66,048 and 68,100 won), if you were insured for at least 180 days in the last 18 months and lost your job involuntarily). The conditions are listed in the rules above.
Are these amounts exact?
They are estimates of the legal minimum under the 2026 rules. Your contract, a collective agreement or a court decision can give more.
Rules and official sources: see “Rules applied (2026)” above. Last checked: October 2026. The amounts are estimates for information, not financial or legal advice.