Government raises low-birthrate support to 6.1 trillion Korean won

  • Government will provide 6.1 trillion Korean won for marriage, childbirth and childcare support.
  • Next year’s package increases from this year by 800 billion Korean won.
  • Government plans automatic child-allowance payments and expanded savings support for young adults.

The government will spend 6.1 trillion Korean won next year on measures supporting marriage, childbirth and childcare, an increase of 800 billion Korean won from this year. The policy shifts support from tax credits to direct cash payments and consolidates previously complex programs to reduce younger households’ economic burden. Couples registering their marriage will receive 1 million Korean won once in a lifetime, replacing a system that provided tax credits of 500,000 Korean won per person and gave different benefits depending on household income. Childbirth payments will rise from the current First Encounter Voucher of 2 million Korean won for a first child and 3 million Korean won for a second or later child to 10 million, 12 million and 15 million Korean won respectively. Residents in designated regions will receive an additional 5 million Korean won. The existing Parent Allowance will be abolished. Monthly child allowances will rise from 100,000–120,000 Korean won for children aged 0–12 to 200,000–300,000 Korean won, with designated-region benefits at the higher end, while families keeping children aged 0–1 out of daycare will receive an additional 300,000 Korean won per month. The government plans to raise the eligible age by one year annually, reaching 12 by 2030, and next year’s limit will be 9 years old. It is also preparing legal changes for automatic payments. A new My Child Independence Fund will combine parental and government contributions from birth through age 18, with the government targeting accumulated assets of up to 100 million Korean won by high school graduation. Government support will depend on household income, and the program is intended to narrow asset gaps among young adults. The Youth Future Savings program will remove income eligibility for participants aged 19–34. The account offers a 6% government contribution, 7–8% interest and tax-free benefits on monthly deposits of up to 500,000 Korean won for three years. Matching rates will rise for certain small and medium-sized enterprise employees and small business owners, while local SME employees will receive a 25% match. Its budget will increase from 700 billion Korean won this year to about 1.7 trillion Korean won next year.

本网站上的信息是使用AI生成的,我们无法保证其准确性。 请仅作为参考信息使用。