National Pension Service

Coverage

A foreigner residing in Korea is subject to the compulsory coverage of the National Pension Scheme, just like Korean nationals.

• If a foreigner aged between 18 and under 60 is working in a workplace covered under the scheme, he/she shall be a Workplace-based Insured Person.
• A foreigner aged between 18 and under 60, who is not a Workplace-based Insured Person, shall be an Individually Insured Person.

Checking for Eligibility

• Eligibility by Country (Attachment 1)
• Eligibility by Stay Status (Visa) (Attachment 2)

Exclusions from Coverage

• A foreigner who is excluded from National Pension Coverage by laws, including trainees (but, those employed after training are subject to coverage), international students, and diplomats.
• A foreigner whose country’s pension system (incl. a social security program equivalent to the Korea National Pension Scheme) does not mandatorily cover Korean nationals.
• A foreigner who submits an original copy of Certificate of Coverage under the SSA of the contracting state with which Korea has signed a social security agreement.

Lump-sum Refund for Foreigners

1. Eligibility

A foreign insured person falling under any of the following conditions is entitled to a Lump-sum Refund

• If a foreigner’s country grants Korean nationals a benefit corresponding to the Korean Lump-sum Refund;
• If a social security agreement on Lump-sum Refund has been concluded between a foreigner’s home country and Korea;
• For an insured period when a foreigner’s visa is either E-8 (employment for training), E-9 (non-professional employment), or H-2 (visiting employment).

Countries Paying Lump-sum Refund

(As of March 1, 2023)

2. Lump-sum Refund Benefit

An eligible foreigner is paid a Lump-sum Refund plus its interest, for the period corresponding to his/her insured period in the same way a Korean national receives Lump-sum Refund benefit.

The interest is calculated based on fixed deposit with 3-year maturity for the period beginning with the month immediately following the month in which he/she makes contribution and ending with the month in which the entitlement is effective.

3. How to Apply

In principle, a foreigner who has the entitlement to Lump-sum Refund shall apply for his/her Lump-sum Refund in person; however, in the case he/she stays overseas and is not able to visit any local office of the National Pension Service, he/she may either assign an agent to visit a local office to apply for the lump-sum refund or directly send required documents by postal mail.

[Required Documents]

• Applying before departing from Korea (for applicants in Korea)

  • An application for Lump-sum Refund
  • Passport of an insured person
  • Alien registration card of an insured person
  • A copy of proof of bank account of an insured person (i.e. bank statement)
  • Material evidence which proves that the date of departure is within a month from the date of application

• Applying overseas, after departing from Korea

  Official documents issued overseas shall be attested by a local consulate while private documents issued overseas are subject to both notarization by a notary public and attestation by a local consulate. Any documents written in a foreign language shall be translated into Korean and notarized so that the contents can be verified in Korean.

  As for any Apostille Convention countries, an Apostille certificate is required, instead of attestation by a local consulate.

  • (1) Applying overseas by postal mail

    • An application for Lump-sum Refund
    • Passport of an insured person
    • A copy of proof of bank account of an insured person (i.e. bank statement)
    • Application for overseas remittance

  • (2) Applying overseas by an agent

    • An application for Lump-sum Refund: In the Agent Section, the agent’s personal details shall be written (This may be replaced with a power of attorney signed by an insured person)
    • Passport of an insured person
    • Identification card of the agent
    • A copy of proof of bank account of an insured person (i.e. bank statement)
    • Application for overseas remittance

    Notarization by a notary public and Apostille issuance or attestation by a local consulate can be exempted if an administration authority proves the authenticity of the documents (including information on the agent’s personal information or the power of attorney) for the convenience of citizens, and if embassies in Korea verify them.

  • (3) Applying through MOU

    A foreigner who has returned to his/her home country may apply for Lump-sum Refundº through his/her home country’s social insurance institution. The same documents as by postal mail are required to submit, but notarization by a notary public and Apostille issuance or attestation by a local consulate can be exempted.

    º It includes Lump-sum Refund (Lump-sum Death Payment) and unpaid benefits

  Countries that have singed the MOU on Lump-sum Refund with Korea

  Countries that have singed the MOU on Lump-sum Refund with Korea

  Country	Institution
  Mongolia	The Social Insurance General Office of Mongolia
  Uzbekistan	The Ministry of Labour and Social Protection of the Population of the Republic of Uzbekistan
  Thailand	The Ministry of Labour of the Kingdom of Thailand
  Sri Lanka	The Ministry of Foreign Employment Promotion and Welfare of Sri Lanka
  Kyrgyzstan	The Social Fund of the Kyrgyz Republic
  Indonesia	BPJS(Badan Penyelenggara Jaminan Sosial) Ketenagakerjaan

4. Lump-sum Refund Service at the Airport for Foreigners

This service allows foreigners to receive a lump-sum refund in cash (foreign currency) at Incheon International Airport on the day of departure.

Eligibility

• A foreigner who can receive a lump-sum refund for the reason of returning to one’s home country and is planning to depart through Incheon International Airport within 1 month
• Airport payment is possible only when one’s former employer reports one’s resignation to the National Pension Service by the day before the date of departure.

If the departure date falls on a Saturday, Sunday, public holiday, or the last business day in December, airport payment is not available, so Korean account transfer or overseas remittance is used.

Airport payment is available if the scheduled flight departure time is between 10:30-24:00 (11:00-24:00 for Terminal 2).

Payments can be made in 15 currencies, including U.S. Dollar, Euro, Japanese Yen, and Chinese Yuan(Korean won cannot be paid).

How to apply

1. Select airport payment method when requesting lump-sum refund

You must submit a Korean bank account or overseas remittance account in case you cannot receive airport payment and/or in preparation for additional payment.

How to receive airport payments

1. Visit a local office or counseling center of the National Pension Service(excluding Incheon Airport Pension Service Center), present your passport, alien registration card, flight ticket, and a copy of bank account, submit applications for lump-sum refund and airport payment, and then receive a “Certificate of Application Acceptance.”
2. On the day of departure, submit the Certificate of Application Acceptance and passport to the NPS Incheon International Airport Pension Service Center and receive a “Direction for Payment of Lump-sum Refund(for bank submission)”(09:00-18:00).

The Incheon Airport Pension Service Center is located near the No. 2 Exit of the Gate A on the first floor at Terminal 1 (regardless of one’s departure terminal, one must visit the Incheon Airport Pension Service Center).

• Less than USD 10,000: Submit the ““Direction for Payment of Lump-sum Refund” to the foreign exchange booth of Woori Bank (in front of Counter F on the 3rd floor of Terminal 1 / Counter A on the 3rd floor of Terminal 2) and then receive a “Receipt of Currency Exchange”(until 21:00).
• USD 10,000 or more: According to the Foreign Exchange Transactions Act, change a designated bank to one of the branches of Woori Bank (either the B1 floor of Terminal 1 or the B1 floor of Terminal 2), submit the “Direction for Payment of Lump-sum Refund,” and then receive the “Receipt of Currency Exchange” (until 16:00).

However, the payment is made only in the terminal where you depart.

After passing through an immigration checkpoint, hand in the “Receipt of Currency Exchange” and passport to a foreign exchange booth of Woori Bank (in front of Boarding Gate 25 of Terminal 1 / Boarding Gate 251 of Terminal 2), and then withdraw exchanged money in cash (until 21:00).

5. Extinctive Prescription

If a foreigner who has the entitlement to Lump-sum Refund does not apply for the payment within five years after becoming entitled, extinctive prescription is completed and accordingly, the payment will not be made. Even after the completion of extinctive prescription, he/she may re-apply for Lump-sum Refund within 10 years after he/she reaches age 60, or within five years after his/her death by survivors.