Next Year, Basic Pension Recipients to Receive 3.3% More... 334,000 Won

Adjustment of Public Pension Amounts Due to Price Increases

As the inflation rate this year is expected to reach 3.3%, public pension amounts such as the Basic Pension and National Pension are also projected to increase by about 3.3% next year.

On the 8th, in the 2024 budget proposal submitted to the National Assembly, the government decided to raise the support unit price for the Basic Pension standard pension amount by 3.3% next year. According to this, the Basic Pension, which currently pays up to 323,000 KRW per month, will be paid up to 334,000 KRW next year.

The reason for this pension increase is the government's forecast that this year's inflation rate will be around 3.3%. The consumer price inflation rate projections presented by major institutions such as the Bank of Korea and the Korea Development Institute (KDI) range from 3.4% to 3.5%.

Since related laws such as the National Pension Act stipulate that "the amount shall be increased or decreased annually by reflecting the previous year's nationwide consumer price change rate," public pensions including ▲Basic Pension ▲Disability Pension ▲National Pension ▲Government Employee Pension are also expected to increase by about 3.3% as consumer prices rise.

This year as well, public pension amounts including the National Pension were increased by 5.1% in reflection of last year's 5.1% consumer price inflation rate. Accordingly, the Basic Pension payment amount was raised from a maximum of 307,500 KRW per month to 323,180 KRW.

Such pension increases prevent the real value of money from falling due to rising prices, allowing pension recipients to secure an appropriate level of pension benefits and ensure income security in old age.