IRP

A type of retirement pension in which the employee accrues and operates their retirement benefits received through early payment, or when retiring or changing a job, for the purpose of receiving a lump-sum or annuity payout.

근로자가 전직,이직 하더라도 근로자가 퇴직연금사업자에게 적립(입금 시 세액이연, 2013 세법개정)

근로자가 해지 또는 은퇴시 퇴직연금 사업자가 연금 또는 일시금으로 근로자에게 지급


Information about IRP

Retirement benefit

  • Subscriber: Individual who will receive retirement benefits in a lump sum
  • It is obligatory to transfer retirement benefits paid out under the retirement pension plan (DB, DC, etc.) to the subscriber’s IRP account (Exception: Retirement after age 55, retirement benefits of KRW 3 mil or less)
  • In order to receive retirement benefits, employee needs to open an IRP account before retirement
  • Tax deferral: Transferring retirement benefits to an IRP account has the same effect as operating the principal of pre-tax retirement benefits due to deferral of retirement income tax
  • IRP - Operation of retirement benefits
    1. 퇴직 예정 근로자 - 개인형IRP 계좌 개설
    2. 사용자 - DB, DC 급여 신청 시 개인형IRP 계좌로 입금 요청
    3. DB, DC사업자 - DB, DC 퇴직급여를 IRP계좌로 이전
    4. IRP가입자 - 적립금운용 또는 계약해지 *퇴직소득세 과세이연효과

Individual contributions

  • Starting on July 26, 2017, all employees (employees, sole proprietors, etc.) may subscribe to an IRP and provide their own contributions
  • Contributions of up to KRW 18 mil per year can be made and tax deduction of up to KRW 7 mil per year including other tax-deduction products (pension savings, individual pension, additional contributions to DC, etc.)
    Pension savings (KRW 0 ~ 4 mil **) + retirement pension account (Sum of individual contributions to DC, corporate IRP and IRP: KRW 0 ~ 7 mil)
    ** Residents whose global income exceeds KRW 100 mil (or residents whose earned income exceeds KRW 120 mil if they only have earned income) may receive tax deduction of up to KRW 3 mil for pension savings
  • IRP - Operation of individual contributions
    1. 개인형IRP 가입자격 - 근로자, 자영업자, 공무원, 교사, 군인, 별정 우체국 직원 등(자격확인서류 필요)
    2. IRP 사업자 - 가입 자격 확인하여 개인형IRP 신규
    3. IRP 가입자 - 연간 18,000만원 한도 입금
      • 연금 수령시 - 연금소득세 징구
      • 일시금 해지시 - (세액공제받은 원금 + 운용수익) *기타소득세 징구

Depositor Protection

  • This plan is protected under the Depositor Protection Act only for reserves invested in financial products subject to depositor protection. In this case, the limit of protection is up to KRW50M per person, which is separate from the limit of depositor protection for your other financial products, and the amount exceeding KRW50M is not subject to protection.