Korea's 2027 Minimum Wage (KRW 10,700): Monthly Pay, Holiday Pay, Take-Home

On July 14, 2026, Korea's Minimum Wage Commission set the minimum wage for 2027 at KRW 10,700 per hour — up 380 won, or 3.7%, from 10,320 in 2026. This guide walks through how an hourly wage converts into a monthly salary (the famous "209 hours"), who qualifies for weekly holiday pay, and what your actual monthly take-home looks like after insurance deductions — with every calculation shown.

1. How the Figure Was Decided

Each year, the 27-member Minimum Wage Commission (labor, employer, and public-interest representatives) deliberates the rate; the Ministry of Employment and Labor then officially announces it by August 5, and it takes effect on January 1. The 2027 rate was decided on July 14, 2026, as a single nationwide rate for all industries. It applies to every workplace with one or more employees — full-time, contract, part-time, and foreign workers alike.

• 2027 minimum hourly wage: KRW 10,700 (+380 won, 3.7% vs. 2026's 10,320)
• Daily wage (8 hours): KRW 85,600
• Monthly equivalent (40-hour week, 209 hours/month): KRW 2,236,300
• Annualized: roughly KRW 26.8 million (2,236,300 × 12)

2. Hourly × 209 Hours = Monthly Pay? The Mystery of 209

"A 40-hour week should be about 160 hours a month, no?" The answer lies in weekly holiday pay (juhyu sudang). Under the Labor Standards Act, an employee who works all scheduled days in a week earns one paid rest day (usually Sunday). So a 40-hour week is actually paid as 48 hours (40 worked + 8 paid rest).

Converting that to a monthly figure:

• 365 days ÷ 7 = about 52.14 weeks per year → roughly 4.345 weeks per month
• 48 paid hours × 4.345 weeks ≈ 208.6 → rounded to 209 hours
• Monthly pay = 10,700 × 209 = KRW 2,236,300

Since the 2026 monthly equivalent was KRW 2,156,880 (10,320 × 209), 2027 brings a monthly raise of KRW 79,420.

3. Who Qualifies for Weekly Holiday Pay — Just Two Conditions

1. Contracted for 15 or more hours per week. This is based on your contract, not occasional overtime.
2. Perfect attendance on scheduled workdays that week. Being late or leaving early doesn't disqualify you — only unexcused absences do.

Part-timers working under 40 hours (but at least 15) get prorated holiday pay: (weekly contracted hours ÷ 40) × 8 hours × hourly wage. A 20-hour-per-week job earns (20 ÷ 40) × 8 × 10,700 = KRW 42,800 per week on top of hours worked.

4. Worked Example: Monthly Take-Home, Every Step Shown

Assumptions: 40-hour week, monthly pay of KRW 2,236,300 (fully taxable, no meal allowance), with yourself as the only dependent. Note that 2027 insurance rates have not been announced yet — the figures below apply 2026 rates as an estimate.

• National Pension 4.75%: 2,236,300 × 0.0475 = ~KRW 106,220
• Health Insurance 3.595%: 2,236,300 × 0.03595 = ~KRW 80,390
• Long-term Care (13.14% of health premium): 80,390 × 0.1314 = ~KRW 10,560
• Employment Insurance 0.9%: 2,236,300 × 0.009 = ~KRW 20,130
• Insurance total: ~KRW 217,300

Add withheld income tax of about KRW 26,000 (per the official simplified withholding table, one dependent) plus 10% local income tax (~KRW 2,600). Putting it together:

• KRW 2,236,300 − insurance ~217,300 − taxes ~28,600
• = monthly take-home of roughly KRW 1.99 million

If your employer itemizes the KRW 200,000 non-taxable meal allowance, the taxable base drops and take-home rises by another 20,000–30,000 won. For your exact numbers — dependents, non-taxable items and all — use the Salary Calculator, and see the per-item insurance breakdown in the 4 Major Insurance Calculator.

5. A Note for Foreign Workers in Korea

The minimum wage applies regardless of nationality or visa type — E-9 (non-professional employment), H-2 (working visit), D-2 students on permitted part-time hours, and everyone else. Weekly holiday pay and the probation rules below apply to you on the same terms as Korean nationals. If you are paid below minimum wage, you can file a complaint with a local labor office regardless of your contract wording, and claims can be made retroactively. The Ministry of Employment and Labor runs a counseling helpline at 1350, and foreign-language counseling services for workers are also available through government support centers.

6. What About Part-Timers Under 15 Hours a Week?

"Ultra-short-time" workers contracted for under 15 hours per week are not entitled to weekly holiday pay — they earn the flat KRW 10,700 per hour. Some employers deliberately offer "14-hour" contracts for this reason. If your actual hours consistently exceed the contract (say, contracted for 14 but regularly working 16), holiday pay can be claimed based on hours actually worked — keep your pay stubs and time records.

7. Probation Discounts — When 90% Is Legal and When It Isn't

During probation, pay can be reduced to 90% of minimum wage — KRW 9,630 — but only if all of the following hold:

• The employment contract runs for one year or longer — no discount on shorter contracts
• Only within the first 3 months of probation
• Never for simple-labor jobs — delivery, cleaning, kitchen assistance, convenience store clerking, and other occupations in major group 9 of the Korean Standard Classification of Occupations must be paid 100% even during probation

The common job-ad phrase "90% for the first 3 months" is illegal for most part-time simple-labor roles. Violations carry up to 3 years' imprisonment or a KRW 20 million fine, and underpaid wages can be claimed retroactively.

FAQ

Q. Which pay items count toward the minimum wage?

Since 2024, monthly-paid bonuses and welfare allowances (meal, transport) count in full toward minimum-wage compliance. Overtime/night/holiday premiums and bonuses paid less often than monthly do not. If your base pay is below minimum but "allowances make up for it," check whether those allowances are actually includable.

Q. Do workplaces with fewer than 5 employees have to comply?

Yes. Some Labor Standards Act provisions (like overtime premiums) don't apply to workplaces under 5 employees, but minimum wage and weekly holiday pay apply from the very first employee.

Q. When will the actual 2027 take-home be final?

Health insurance rates for 2027 are typically confirmed in the second half of 2026. The national pension rate, meanwhile, is being raised in annual steps under Korea's pension reform, so the 2027 employee rate is likely to edge above 2026's 4.75%. The example above uses 2026 rates; as rates rise, take-home will dip slightly.