Payment of Maturity Support Funds Begins for Youth Tomorrow Savings Account
Up to 10.8 Million Won for 33,000 Young Beneficiaries
"A Result of Youth Effort and Government Support"
Students are consulting with company representatives at a job fair (photo for article understanding). Photo by Hur Younghan
The payment of maturity support funds for the first beneficiaries of the Youth Tomorrow Savings Account program is set to begin. Approximately 33,000 individuals are eligible, with each person able to receive up to 10.8 million won.
According to the Ministry of Health and Welfare on October 22, maturity support funds will be paid to about 33,000 individuals whose three-year Youth Tomorrow Savings Accounts have matured for the first time starting today. Since October 13, applications for maturity withdrawals have been accepted through the online Welfare Portal and local administrative welfare centers. Participants will receive their own savings, accrued interest, and government support funds.
Although some maturity withdrawal procedures were changed due to the recent fire at the National Information Resources Service, including the introduction of supplementary manual verification methods, the self-support information system was restored on October 19. Therefore, from October 22, maturity support funds will be paid according to the standard procedure. Details on application methods and required documents can be found on the Korea Self-Sufficiency Welfare Development Institute website and the Welfare Portal.
Introduced in 2022, the Youth Tomorrow Savings Account is a flagship government initiative aimed at helping low-income working youth consistently save and build a stable asset base. Young people with earned or business income (at or below 100% of the median income) can save between 100,000 and 500,000 won per month, with the government providing up to 300,000 won in additional monthly support. After three years, participants can receive their own savings, interest (with an annual rate of up to 5%), and up to 10.8 million won in government support funds at maturity.
To help participants make the most of their maturity support funds, customized financial education is also provided for those whose accounts have matured. Since April this year, basic asset management education and one-on-one financial counseling services have been offered through regional self-support centers nationwide, helping to strengthen young people's asset management capabilities.
Meanwhile, research conducted on a panel of Youth Tomorrow Savings Account participants found that joining the program led to positive changes for youth in various areas, including economic and financial capabilities, employment stability, and housing conditions.
The Ministry of Health and Welfare announced that it will actively support not only the first group of account holders whose accounts have matured, but also current participants whose accounts will mature in the future, so they can continue to build assets through consistent saving. Based on the results of panel surveys, the ministry will analyze the program's outcomes to improve asset-building support systems and enhance customized financial education to better meet the diverse needs of young people.
Bae Kyungtaek, Director of Welfare Policy, stated, "The maturity support fund of the Youth Tomorrow Savings Account is the result of young people's consistent efforts combined with government support, leading to self-reliance. We will continue to support young people so they can use the maturity support fund as a stepping stone to plan for a better future and expand their own potential."
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