Freelancer 3.3 Percent Tax Calculator

Freelancer 3.3 Percent Tax Calculator helps estimate Korea-related employee tax credits, payroll deductions, or worker tax pressure in English.

Freelancer 3.3% tax inputs

Uses the Korean freelancer tax module with 3% income-tax withholding, 0.3% local income tax, expense-rate method, deductions, and 2026 progressive brackets.

Estimated additional payment

₩661,650

Determined tax exceeds withholding

3.3% withholding

₩1,650,000

₩1,500,000 income tax plus ₩150,000 local tax

Determined total tax

₩2,311,650

Effective rate 4.62%

Monthly net income

₩3,974,029

Annual revenue minus determined tax, divided by 12

Necessary expense

₩8,650,000

17.3% expense rate

Taxable income

₩28,210,000

15%

Income deductions

₩13,140,000

Tax credits

₩870,000

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Freelancer 3.3% withholding and refund guide

This English guide translates the Korean freelancer 3.3% refund and additional-payment calculator. The calculator calls calculateFreelancerTax and keeps withholding, expense method, income deductions, tax credits, and 2026 progressive tax brackets.

How 3.3% withholding works

Freelance business income in Korea is often paid after 3.3% withholding. That 3.3% consists of 3% income tax and 0.3% local income tax. It is a prepaid amount, not the final tax. The annual comprehensive income tax filing compares the prepaid withholding with the determined tax.

If withholding is larger than the determined tax, the result is a refund. If withholding is smaller, the result is an additional payment. The calculator therefore reports withholding income tax, local income tax, determined tax, local tax on the determined tax, and the refund-or-payment difference.

Expense method: simple, standard, or direct bookkeeping

The Korean page distinguishes the simple expense rate, standard expense rate, and direct bookkeeping. For many freelancer categories, the simple rate can recognize around 60% to 75% of revenue as expenses, while the standard rate can be much lower. Direct bookkeeping uses actual documented expenses.

The KRW 24,000,000 prior-year revenue threshold is important because moving beyond the simple-rate zone can increase tax burden. At high revenue, especially around KRW 75,000,000 and above, bookkeeping obligations and professional filing review become much more important.

Deductions, credits, and brackets

The calculator keeps the Korean progressive comprehensive-income tax brackets from 6% to 45%. It applies personal deductions, National Pension deductions, health-insurance deductions, Yellow Umbrella small-business deduction limits, and then calculates taxable income.

Tax credits include the child tax credit, pension savings and IRP credit, the standard tax credit, and the e-filing credit. Pension savings are capped at KRW 6,000,000 for the pension-savings portion, while pension savings plus IRP can be considered up to KRW 9,000,000. The credit rate differs by income level.

Filing and documentation cautions

The Korean article emphasizes that a worker with both wage income and freelance income must file comprehensive income tax separately. Withholding alone does not end the tax obligation, and failing to file can also prevent an available refund from being paid.

Expense evidence should be kept with tax invoices, cash receipts, card statements, communication costs, software subscriptions, transport costs, and other business-related proof. The exact treatment can vary by industry code and filing method, so the calculator is a planning estimate before filing.