Korea Average Salaries & Expenditures

 
Contents
Average Employment Income   Average Salary per Job   Average Salary per Sector   Total Personal Average Income   Consumption Expenditure
Workforce Composition   Vacation Time   Exchange Rates   Cost of Living   References
 

Average Employment Income

:
annual, per worker, incl. dependent & self employment
   Disposable (1)  Gross (2)   
2005
22,928
18,544,199
  
26,152
21,151,977
  
constant 2005 US$ at PPP
current wons
(1)    Based on gross employment average income and ratio of non-consumption expenditure and total income per capita.
(2)    Based on salary & business average income per capita and proportion of earners to household size.
Source: Korean National Statistical Office [28].
 

Average Salary in Korea - Job and Sector Comparison.

Job  Net Monthly Income  constant 2005 US$ (1) Notes                                                                               Gross Monthly Average Income (2) Compulsory Deductions (3) Weekly Hours (4)
 
Accountant average salary PPP $ 3,517 $ 2,789 Excl. overtime and bonus, June 2005. 3,307,476 wons 14% 39.1
Computer Programmer average salary PPP $ 2,832 $ 2,245 Excl. overtime and bonus, June 2005. 2,573,315 wons 11% 40.0
Engineer average salary PPP $ 2,762 $ 2,190 Excl. overtime and bonus, June 2005. All engineers. 2,510,347 wons 11% 39.8
Teacher average salary PPP $ 2,643 $ 2,096 Excl. overtime and bonus, June 2005. All teachers, incl. tertiary level. 2,402,059 wons 11% 39.7
Office Clerk average salary PPP $ 2,209 $ 1,751 Excl. overtime and bonus, June 2005. 1,984,861 wons 10% 40.9
Miner average salary PPP $ 1,983 $ 1,573 Excl. overtime and bonus, June 2005. 1,762,782 wons 9% 40.0
Auxiliary Nurse average salary PPP $ 1,897 $ 1,504 Excl. overtime and bonus, June 2005. Women only - corresponds to the average of auxiliary nurse, professional nurse, and other women working in the medical sector. 1,685,860 wons 9% 41.7
Professional Nurse average salary PPP $ 1,897 $ 1,504 Excl. overtime and bonus, June 2005. Women only - corresponds to the average of auxiliary nurse, professional nurse, and other women working in the medical sector. 1,685,860 wons 9% 41.7
Bus Driver average salary PPP $ 1,845 $ 1,463 Excl. overtime and bonus, June 2005. 1,621,837 wons 8% 39.3
Car Mechanic average salary PPP $ 1,769 $ 1,403 Excl. overtime and bonus, June 2005. 1,554,982 wons 8% 42.3
Carpenter average salary PPP $ 1,702 $ 1,350 Excl. overtime and bonus, June 2005. 1,496,635 wons 8% 44.0
Postman average salary PPP $ 1,660 $ 1,316 Excl. overtime and bonus, June 2005. 1,459,313 wons 8% 40.5
Salesperson average salary PPP $ 1,642 $ 1,302 Excl. overtime and bonus, June 2005. All salespersons, all industries. 1,443,624 wons 8% 42.5
Wood Grinder average salary PPP $ 1,499 $ 1,188 Excl. overtime and bonus, June 2005. 1,317,664 wons 8% 42.6
Firefighter average salary PPP $ 1,475 $ 1,170 Excl. overtime and bonus, June 2005. 1,297,139 wons 8% 46.7
Hotel Receptionist average salary PPP $ 1,445 $ 1,146 Excl. overtime and bonus, June 2005. 1,270,301 wons 8% 41.7
Furniture Finisher average salary PPP $ 1,409 $ 1,117 Excl. overtime and bonus, June 2005. 1,238,928 wons 8% 43.7
Garment Cutter average salary PPP $ 1,210 $ 960 Excl. overtime and bonus, June 2005. 1,063,969 wons 8% 43.2
Baker average salary PPP $ 1,151 $ 913 Excl. overtime and bonus, June 2005. 1,012,151 wons 8% 41.0
Chambermaid average salary PPP $ 965 $ 765 Excl. overtime and bonus, June 2005. 848,630 wons 8% 42.6
Sector              
Gas-Electricity-Water average income PPP $ 4,208 $ 3,337 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 4,101,000 wons 17% 45.7
Financial average income PPP $ 3,842 $ 3,046 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 3,699,000 wons 16% 42.7
Real Estate average income PPP $ 3,893 $ 3,087 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 3,748,000 wons 16% 47.3
Mining-Quarrying average income PPP $ 2,693 $ 2,135 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 2,475,000 wons 12% 43.2
All Sectors average income PPP $ 2,616 $ 2,074 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. Excl. Agriculture, Hunting, Forestry, and Fishing. 2,404,000 wons 12% 45.7
Manufacturing average income PPP $ 2,598 $ 2,060 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 2,388,000 wons 12% 47.4
Education average income PPP $ 2,494 $ 1,977 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 2,292,000 wons 12% 44.6
Construction average income PPP $ 2,336 $ 1,852 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 2,123,000 wons 11% 43.4
Transport-Communication average income PPP $ 2,323 $ 1,842 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 2,111,000 wons 11% 47.3
Hotels-Restaurants average income PPP $ 1,780 $ 1,412 Regular employees incl. family allowances and the value of payments in kind, 2005. Establishments with 5 or more regular employees. 1,600,000 wons 10% 47.1
 
  (1) The net average income in "constant 2005 US$" is computed using the Interbank nominal exchange rate [a] and the U.S. inflation rate [d]. The net average income in "constant 2005 US$" at PPP is computed using the IMF PPP exchange rate [d] and the U.S. inflation rate [d]. The latter reflects the purchasing power in the United States in 2005.
  (2) The gross monthly average income is based on data supplied by the Korea Ministry of Labour to the International Labour Organization [9]. The average income includes the salaries and wages of paid employees. Employees include both men and women unless otherwise noted. The average salary of all employees is estimated to be 11% less than the one of regular employees working in establishments with 5 or more regular employees.
  (3) The compulsory deductions reflect the 2004 income tax rates and social security withholdings in Korea. The deductions are representative of single-earner-married-without-child status, and take into account family benefits in terms of cash transfers.
  (4) The number of hours is based on data supplied by the Korea Ministry of Labour to the International Labour Organization. The hours by job correspond to the normal hours of work; the hours by sector correspond to the hours actually worked. The hours by sector reflect the average of employees in establishments with 10 or more regular employees.
 
 

Personal Average Income

:
annual, per capita, incl. non-monetary income
   Disposable   Gross   Salary   Business   Property   Transfer (1)    
2005 (2)
11,338
9,170,040
  
12,934
10,461,108
  
8,032
6,496,344
  
2,897
2,343,288
  
 
996
805,505
  
constant 2005 US$ at PPP
current wons
(1)    Incl. social security, pension.
(2)    Households with 2 or more members; excl. farming and fisheries households.
Source: Korean National Statistical Office [28].
 

Consumption Expenditure

:
annual, per capita, incl. non-monetary expenditure
   Total   Health   Housing (1)  Food (2)  Apparel   Education   Transport     
2005 urban+rural (3)
8,927
7,220,028
  
476
384,888
  
1,117
903,192
  
2,362
1,910,172
  
428
345,960
  
904
730,836
  
1,476
1,193,568
  
constant 2005 US$ at PPP
current wons
2005 urban (4)
9,182
7,426,704
  
452
365,574
  
1,149
929,666
  
2,421
1,958,276
  
487
393,501
  
1,079
873,021
  
1,591
1,286,439
  
2000 urban (4)
8,395
5,533,214
  
363
239,342
  
1,046
689,244
  
2,299
1,515,315
  
472
311,136
  
938
618,203
  
1,345
886,244
  
1990 urban (4)
6,442
2,062,141
  
325
104,147
  
949
303,856
  
2,075
664,162
  
526
168,448
  
542
173,356
  
549
175,639
  
1980 urban (4)
2,821
469,714
  
177
29,390
  
470
78,288
  
1,220
203,052
  
277
46,100
  
177
29,539
  
164
27,299
  
(1)    Incl. actual rent, fuel, light, water, furniture and utensils but excl. owner-imputed rent.
(2)    Incl. tobacco and alcoholic beverages.
(3)    Households with 2 or more members; incl. farming households.
(4)    Households with 2 or more members.
Source: Korean National Statistical Office [28].
 

Workforce Composition

:
percentage of total workforce
   Primary (1)  Manufacturing   Education   Financial   Paid Employees   Unemployed  
2005 8.0   18.5   6.9   3.3   66.4   3.9  
%
(1)    Agriculture, hunting, forestry, fishing, mining, and quarrying.
Source: International Labour Organization [9].
 

Workforce Size

 :  
22.9 million (2005).
Source:   International Labour Organization [9].
 

Population

 :  
48.8 million (2006).
Source:   CIA World Factbook [b].
 

Compulsory Deductions

 :  
9.9% for a single with no child, 8.7% for a single with two children, 9.9% for a one-earner married couple with no child, and 8.6% for a one-earner married couple with two children.
Source:   OECD Tax Database [k], 2005, combined deductions on a gross monthly salary income of 2,394,152 wons including family benefits in terms of cash transfers.
 

Vacation Time

 :  
10 working days per year (legally required minimum vacation time) [e]. A recent survey by the World Tourism Organization indicates that the vacation time actually taken on average is of 25 days per year (including holidays) [e].
 

Inflation

 :  
100.0 (1995), 104.9 (1996), 109.6 (1997), 117.8 (1998), 118.8 (1999), 121.5 (2000), 126.4 (2001), 129.9 (2002), 134.5 (2003), 139.6 (2004), 144.9 (2005);
Source:   IMF inflation rates [d], Index: 1995=100.
 

PPP Exchange Rate

 :  
394.2 (1980), 433.0 (1985), 477.9 (1990), 632.6 (1995), 660.4 (1996), 688.7 (1997), 725.1 (1998), 736.5 (1999), 746.6 (2000), 770.9 (2001), 774.0 (2002), 793.2 (2003), 801.6 (2004), 808.8 (2005), 803.2 (2006), 802.1 (2007), 807.2 (2008);
Source:   OECD PPP exchange rates for actual individual consumption [l], wons per U.S. dollar.
 

Nominal Exchange Rate

 :  
769.2 (1995), 806.5 (1996), 934.6 (1997), 1,389 (1998), 1,190 (1999), 1,124 (2000), 1,282 (2001), 1,235 (2002), 1,190 (2003), 1,136 (2004), 1,020 (2005), 943.4 (2006);
Source:   Interbank nominal exchange rates [a], wons per U.S. dollar.
 

Cost of Living

 :  
0.96 (1995), 0.95 (1996), 0.84 (1997), 0.59 (1998), 0.68 (1999), 0.71 (2000), 0.63 (2001), 0.66 (2002), 0.69 (2003), 0.72 (2004), 0.78 (2005);
Source:   Interbank nominal exchange rates [a] and IMF PPP exchange rates [d], US=1.000.
 

 

References
 
[9]   International Labour Organization. Compilation of average salary income worldwide. Classified by country, by employment category, and by gender.
[28]   Korean National Statistical Office.
[a]   Interbank nominal exchange rate, Oanda.com; historical currency converter for over 164 currencies and 3 metals.
[d]   World Economic Outlook Database, September 2006, International Monetary Fund.
[e]   Wikipedia, Vacation.
[f]   World Tourism Organization, a United Nations agency; survey of vacation days worldwide, 2000.
[k]   OECD Tax Database. Annual database providing comparative information on personal and corporate income tax and consumption tax systems and rates in OECD countries since 2000. Information on social security contributions levied on employees and their employers is also reported.
[l]   OECD. PPP exchange rates for actual individual consumption.
 
Other links:
Social Security in Korea, Social Security Programs Throughout the World, 2004-2005, compiled by the U.S. Social Security Administration.
Korea: Statistics, Organization for Economic Co-Operation and Development (OECD).
Korea Economy Overview, CIA World Factbook.
Korea: Selected Internet Resources, U.S. Library of Congress.
Korean Holidays, list of holidays according to the solar/lunar calendar.
Statistical Shopping Mall of the Korea National Statistical Office, Korea Statistical Yearbook, Annual Report on the Consumer Price Index, Monthly Statistics of Korea.
Korean Statistical Information System, Online Statistical Database of the Korea National Statistical Office.
Korea Job Link, Job openings in Korea.
International Comparison of the Black Economy, Jin-Kwon Hyun, Korea Institute of Public Finance. Assessment of the size of the underground economy in Korea, and comparison with other countries.