The maximum contributions to social security have increased, and the maximum earned income deduction is now limited to KRW 20,000,000. The net effect is an increase in social security, and since contributions to social security are deductible, a decrease in income tax for most taxpayers. High income individuals will see an increase in income tax due to the new deduction limitation.
Effective July 16, 2019, foreign nationals with physical presence in South Korea for more than 6 months are automatically enrolled in the National Health Insurance. Overseas travel that does not exceed 30 days is counted towards the individual’s period of Korean residence. Exemption can be granted if health coverage is provided by a foreign law, foreign insurance, or a contract with the employer. The exemption must be applied for and approved by the National Health Insurance Service.