“How much will my national pension actually be?” Logging into the official site is a chore. Enter your average monthly income and years of contribution for an instant estimate.
1. What it returns. An estimated pension plus early and deferred claiming side by side. The formula weighs the A value (everyone's average) and the B value (yours) equally — your own income does not decide it alone.
2. What people miss. Coverage focuses on “the rate went from 9% to 9.5%” — but the income ceiling rose in the same year, so high earners take both increases at once. Conversely, that same ceiling sat frozen from 1995 to 2010.
3. How to use it. This is an estimate — the real figure comes from your full contribution history, so when the number starts to matter, pull it from the pension service's own projection tool.
Calculates automatically using basic pension (annual) = constant × (A + B) × years ÷ 20. This is an estimate; actual amounts depend on revaluation of past income, period-specific constants and dependent allowances. For an exact figure, use the National Pension Service's own estimate service.
First, what you actually pay — the agency's own formula
Before the benefit side, here is how the contribution is set, transcribed from the National Pension Service (NPS) page, checked 30 July 2026.
Contribution = the member's standard monthly income × the contribution rate
“Standard monthly income” is the lever. The source defines it as “the declared monthly income with amounts below ₩1,000 truncated”, within a range of “₩410,000 at the lowest to ₩6,590,000 at the highest.” Earn more than ₩6.59 million a month and neither your contribution nor your benefit counts the excess.
| Level | Standard monthly income | Monthly contribution (9.5%) | Employee half |
|---|---|---|---|
| Floor | ₩410,000 | ₩38,950 | ₩19,475 |
| NPS worked example | ₩1,060,000 | ₩100,700 | ₩50,350 |
| Ceiling | ₩6,590,000 | ₩626,050 | ₩313,025 |
The middle row is our check. The NPS page carries the example “a salaried member with a standard monthly income of ₩1,060,000 pays ₩100,700 a month”, and ₩1.06M × 9.5% = ₩100,700 lands exactly. The rows above and below are ours, computed the same way.
Workplace members split it with the employer, half each. Choosing between workplace pension types is in our DB vs DC article. Regional, voluntary and voluntary-continued members pay the whole thing — the same income costs twice as much out of pocket.
Two increases landed in 2026, not one
The change usually reported is “the rate went from 9% to 9.5%.” The income ceiling rose in the same year. For anyone at the ceiling, the two stack.
| Period | Ceiling | Rate | Monthly contribution (our calculation) |
|---|---|---|---|
| Jul 2024 – Jun 2025 | ₩6.17M | 9% | ₩555,300 |
| Jul 2025 – Jun 2026 | ₩6.37M | 9% → 9.5% | ₩573,300 – ₩605,150 |
| Jul 2026 – Jun 2027 | ₩6.59M | 9.5% | ₩626,050 |
| Change over two years (our calculation) | +₩70,750 · +12.7% | ||
Why the middle row is a range — the page says only “9% applied through 2025” and “from 2026, 0.5 percentage points a year,” without naming the month. We left it as a range rather than guessing (see below).
The schedule runs to 2033. The source states: “from 2026 the rate rises by 0.5 percentage points a year over eight years, reaching 13% from 2033.” Our check: 9.0 + 0.5 × 8 = 13.0. Holding the ceiling where it is, ₩6.59M × 13% = ₩856,700 — but the ceiling rises annually, so the real figure will be higher. This one isolates the rate increase alone.
The ceiling stood still for fifteen years
The NPS page carries the full ceiling and floor history back to 1988 as a table. Plotted:
From April 1995 to June 2010 — fifteen years and three months — it never moved off ₩3.6 million. From July 2010 it rose every year: ₩3.68M to ₩6.59M, 1.79 times in sixteen years (our calculation).
The floor moved more. From ₩70,000 in 1988 to ₩410,000 in 2026 — 5.86 times, against the ceiling's ₩2.0M to ₩6.59M, 3.30 times (our calculation). So the gap between them narrowed from 28.6 times to 16.1 times. The page offers no reason, so we do not supply one.
The NPS does not set these numbers. Per the source, they reflect “the rate of change in the three-year average of all members' average monthly income,” are “published by the Minister of Health and Welfare by the end of March each year,” and “apply for one year from July.” Which is why they change in July, not January.
How it works — the A and B values
Korea's national pension isn't a savings account that returns what you paid. It contains income redistribution, so two incomes enter the formula.
- A value — the average monthly income of all members (three-year average). The 2026 figure is ₩3,193,511. It applies equally to everyone: the “flat” portion.
- B value — your own average income over your contribution years: the proportional portion.
One consequence worth knowing: the lower your income, the higher your return relative to contributions, because the shared A value makes up half the formula. That's why this is social insurance, not an investment.
The formula
Basic pension (annual) = constant × (A + B) × years ÷ 20
- The constant reflects the replacement rate of your enrollment period. From 2026 it's 1.29 (43% replacement).
- Earlier periods used higher constants (2.4 for 1988–1998), so long-time members may receive more than this estimate.
- 20 years is the pivot: at 20 years you get 100% of the basic pension, less below and more above.
Here is how much of the formula the A value really accounts for, wage by wage.
Early vs deferred claiming
- Early — up to five years sooner, reduced 6% per year, permanently. Five years means 30% less for life.
- Deferred — up to five years later, increased 7.2% per year. Five years means 36% more.
Which wins depends on health, other income and life expectancy — see pension withdrawal strategy.
Stack the reduction and the bonus into cumulative totals and the ranking flips twice.
Limits of this estimator
- It doesn't apply revaluation to past income, which in reality lifts older earnings to present value.
- Mixed enrollment periods use different constants per period; this uses one.
- Dependent allowances aren't included.
- Results are pre-tax.
For an exact figure, use the National Pension Service (nps.or.kr) estimate service or its mobile app — it reflects your real contribution history.
Questions that remain
What if I have under 10 years?
No old-age pension — you receive a lump-sum refund instead. Voluntary continued enrollment after 60 can get you to 10 years.
My official estimate is higher than this.
Older contribution periods carry higher constants, and revaluation raises past income. The official figure is the accurate one.
What changed in 2026?
Three things. ① The rate went 9% to 9.5% (per the NPS page, rising 0.5pp a year to 13% by 2033). ② The income ceiling went ₩6.37M to ₩6.59M and the floor ₩400,000 to ₩410,000, applying for one year from July 2026. ③ The replacement rate is fixed at 43%. See the pension gap article.
I earn ₩7 million a month — why doesn't my contribution rise?
Because standard monthly income is capped. The source says “if the declared income exceeds ₩6,590,000, ₩6,590,000 is used as the standard monthly income.” You stop paying more, but the excess is also absent from your benefit — it drops out of both sides.
Why do regional members pay so much more?
Not a different rate — nobody to split it with. The page says workplace members' contributions are borne “half each by the member and the workplace employer,” while regional, voluntary and voluntary-continued members “bear the contribution in full.” Same income, twice the outlay. It also notes that farmers, fishers and low-income regional members may receive part of it from the state.
Can I increase my pension?
Yes — retroactive payments, repaying refunds, voluntary enrollment and credits. See retirement prep by age.
With the national pension, how long you contribute matters more than how much. Start by checking how to extend your years.
Sources
- National Pension Service — agency source — “Contribution — amount and rate” (checked 30 July 2026). Source for the contribution formula, the definition of standard monthly income (₩1,000 truncation, ₩410,000 to ₩6,590,000), who sets the ceiling and when it applies, the ceiling and floor history since 1988, the rate schedule (0.5pp a year from 2026, 13% from 2033), the employer split versus full regional liability, and the ₩1,060,000 worked example.
- National Pension Service — agency source — the ceiling and floor history table on the same page. The ₩3.6M freeze from April 1995 to June 2010 and the year-by-year values after July 2010 were transcribed to draw the chart.
- Our own calculation. ₩38,950 at the floor, ₩626,050 at the ceiling and the employee halves, +₩70,750 (+12.7%) against ₩555,300 in July 2024, ₩856,700 at a 13% rate, 3.30x ceiling / 5.86x floor / 28.6 to 16.1 ratio, and 1.79x since July 2010 are all ours, not figures published by the NPS. Checks: the NPS example, ₩1.06M × 9.5% = ₩100,700, matches the source, and 9.0 + 0.5 × 8 = 13.0 holds.
Where to check further
- Your own projected pension. This calculator works from average income and years only, while the real figure depends on your full contribution history and that year's A value. The National Pension Service's projection service returns the number with your actual record applied.
- Exactly when the 9.5% rate takes effect in 2026. The agency page says only “9% through 2025” and “rising 0.5pp a year from 2026”, so this article treats July 2025 to June 2026 as a range. The rate printed on your own bill is the one that applies to you.
- The published tables for early-claim reductions and deferral increases. The figures would not render on the agency page, so they could not be checked. If you are considering either, confirm with the pension service helpline for your birth year — the adjustment is permanent, so it is worth one call.
As of July 2026. The contribution formula and the ceiling and floor are the NPS page's own content; the amounts and multiples are our arithmetic. This is a general-information estimate, not financial or legal advice. For a figure based on your actual record, use the NPS “My Pension” service. Topping up through the tax credit is covered in pension savings and IRP.
