Private Pension Income Tax Calculator

Estimate after-tax private pension income using withdrawal amount, tax rate, fees, and investment return.

Private pension income tax

Compare Korean private pension low-rate withholding, comprehensive taxation, and optional 16.5% separate taxation.

Recommended method

종합과세

Recommended tax

₩745,800

4.1%

Net monthly pension

₩1,437,850

Threshold status

Over KRW 15M

Over by ₩3,000,000

Comprehensive tax

₩745,800

Pension income amount ₩11,300,000

Saving versus alternative

₩2,224,200

Uses the Korean 2026 private-pension rules: KRW 15 million separate-tax threshold, 3.3%/4.4%/5.5% low rates, lifetime-annuity 4.4% cap, 16.5% separate option, and comprehensive income brackets. This English finance calculator calls the Korean feature lib for its numeric result. KRW inputs and outputs replace the old generic USD projection stub for this batch.

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Private pension income tax calculator

This English guide translates the Korean private-pension income tax page. The calculator calls calculatePrivatePensionTax and keeps the annual threshold, age-based rates, comprehensive-tax comparison, and separate-tax option.

Annual private pension threshold

The Korean page focuses on the KRW 15 million annual private-pension threshold for pension savings and IRP amounts that previously received tax credit plus investment gains. Public pensions such as National Pension are outside this KRW 15 million private-pension limit.

If annual private pension stays within KRW 15 million, low pension-income withholding can often conclude taxation. If it exceeds the threshold, the taxpayer compares comprehensive taxation with 16.5% separate taxation for the full private-pension amount.

Age-based pension-income rates

The Korean rates are 5.5% from age 55 to 69, 4.4% from age 70 to 79, and 3.3% from age 80 onward. Lifetime annuity style payments can receive favorable treatment in some age bands.

The English content keeps the exact 3.3%, 4.4%, and 5.5% rates because the optimal withdrawal term can change when a user crosses an age band.

Withdrawal strategy

The usual strategy is to spread withdrawals over at least 10 years and keep annual private pension at or below KRW 15 million when possible. Couples can also split accounts so each person uses their own threshold.

If other income is low, comprehensive taxation can sometimes be better than separate taxation. If other income is high, 16.5% separate taxation can be the ceiling choice. The calculator shows this comparison rather than assuming one rule is always best.