Nine out of Ten Seniors Receive Pensions, but More Than Half Receive Less Than 500,000 Won a Month
9.12 million recipients aged 65 and older… About 4.59 million receive less than 500,000 won
Monthly average of 737,000 won, but median income is 497,000 won
Men: 957,000 won; Non-homeowners: 581,000 won… Retirement Gap
Enrollment Rates Decline Among 18- to 29-Year-Olds… 75.7% of 60- to 62-Year-Olds Unable to Receive Pensions
[Sejong=E-Daily Reporter Park Sun-Yeop ] While more than 9 out of 10 people aged 65 or older receive a pension, it has been revealed that half of them receive less than 500,000 won per month. Although the average monthly pension payment has shown a steady upward trend, significant disparities in individual benefit amounts were evident depending on gender, the type of pension plan, and home ownership status.
(Photo: Getty Images) According to the “2024 Pension Statistics Results” released by the National Data Agency on the 25th, the population aged 65 and older in 2024 totaled 10 million. Among them, 9,122,000 people received one or more of the 11 types of pensions—including basic, national, occupational, retirement, and individual pensions—marking an increase of 486,000 (5.6%) from the previous year. The pension coverage rate also rose by 0.3 percentage points, from 90.9% to 91.2%.
◇Although the average is 740,000 won… the median amount is less than 500,000 won
Although the pension coverage rate has increased, benefit amounts remain concentrated in the lower range. The average monthly benefit was 737,000 won, but the median amount—the value at the midpoint when beneficiaries are ranked by benefit amount—was 497,000 won. This means that half of the beneficiaries received 497,000 won or less per month, resulting in a 240,000 won difference between the average and the median.
This trend was also evident in the distribution by income bracket. Recipients receiving less than 250,000 won per month accounted for 3.6% of the total, while those receiving between 250,000 and 500,000 won accounted for 46.7%. Combined, these two brackets represented 50.3% of all recipients—approximately 4.59 million people—who received monthly pensions of less than 500,000 won.
However, the proportion of recipients in the lower benefit brackets is gradually decreasing. The share of recipients receiving less than 500,000 won per month fell by 4.6 percentage points, from 54.9% in 2023 to 50.3% in 2024. The average monthly benefit amount also increased by 74.2% over eight years, rising from 423,000 won in 2016 to 737,000 won in 2024. This is attributed to the incorporation of the inflation rate into public pensions and the lengthening of the average contribution period for National Pension recipients.
The reason the average benefit amount exceeds the median is due to disparities among pension types. The average monthly benefit for occupational pension recipients was 2,783,000 won—5.7 times that of the National Pension (491,000 won) and 9.3 times that of the Basic Pension (300,000 won). The proportion of recipients receiving 2 million won or more per month was 74.2% for occupational pensions, but only 0.3% for the National Pension. Analysts attribute this to a relatively small group of high-income recipients raising the overall average.
Differences in labor market experience also influenced retirement pension amounts. The average monthly benefit for men was 957,000 won, which was 411,000 won higher than that for women (546,000 won). The gender gap in benefit amounts widened by 27,000 won over the course of a year, rising from 384,000 won in 2023. The benefit receipt rate was also higher for men at 95.5%, 7.7 percentage points higher than that of women (87.8%).
This is interpreted as the cumulative result of differences in past labor market participation and income levels, which led to disparities in pension enrollment periods and premium payments. Another contributing factor was that while men have a relatively high National Pension benefit receipt rate, women rely heavily on the Basic Pension, which offers lower benefit amounts.
A disparity in assets and pension income was also evident. The average monthly pension benefit for homeowners was 914,000 won, which was 333,000 won more than that of non-homeowners (581,000 won). The average monthly pension benefit for recipients whose officially assessed home value exceeded 1.2 billion won was 1,772,000 won—three times that of non-homeowners.
This is interpreted not as a difference stemming from the receipt of reverse mortgages, but rather as a result of lifetime economic activity and income disparities being reflected in both housing and pension assets. According to the National Data Agency, the longer a person has maintained relatively stable economic activity, the more likely they are to own a home, and the longer their pension enrollment period and the higher their premium payments have been.
An official from the National Data Agency stated, “While it is positive that pensions are becoming more widespread and diversified as the number of recipients and the take-up rate increase, disparities in benefit amounts among different groups still exist,” adding, “Since pensions reflect the results of 30 to 40 years of preparation during one’s youth, it is difficult to resolve these disparities in the short term.”
(Graphic: Kim Il-hwan, E-Daily)
◇Enrollment Rates Decline Among Young People, While There Is a Benefit Gap for Those in Their Early 60s The gaps in pension coverage are not limited to current recipients. While the overall pension enrollment rate for those aged 18–59 rose by 0.1 percentage points from the previous year to 81.1%, the enrollment rate for those aged 18–29 fell by 1.5 percentage points, from 63.5% to 62.0%. The number of subscribers in this age group also fell by 267,000 (6.1%) to 4,127,000.
An official from the National Data Agency stated, “While the decline in the population of this age group played a significant role, the number of subscribers fell even more sharply than the population decline, leading to a drop in the enrollment rate,” adding, “It appears that pension enrollment has decreased in tandem with the delay or decline in young people’s entry into the workforce.”
The disparity in enrollment rates based on economic activity further supports this trend. The pension enrollment rate for employed individuals registered in administrative employment data—such as the four major social insurance programs—was 95.2%, whereas the rate for unregistered individuals—including the economically inactive, the unemployed, and those working outside the formal sector—was only 52.5%. The average monthly pension premium also differed significantly, with registered workers paying 414,000 won and unregistered workers paying 176,000 won—more than double the amount.
Furthermore, a gap was observed between leaving the labor market and the start of pension benefits. Among those aged 60–62 who had not yet reached the eligibility age for the National Pension’s old-age pension, only 24.3% received at least one of the 11 types of pensions included in the statistics. The remaining 75.7%—1,779,000 people—did not receive any pension at all. By the time they reached ages 63–64, the receipt rate jumped to 71.4%.
An official from the National Data Agency explained, “Since the National Pension begins at age 63 and occupational pensions begin at age 62, the receipt rate for those aged 60–64 is inevitably low.” The official added, “Those already receiving pensions in this age group are primarily recipients of pensions they have prepared for over a long period—such as the National Pension, occupational pensions, and retirement pensions—so their average monthly benefit amount is actually higher than that of those aged 65 and older.”
The National Data Agency compiles pension statistics by linking 11 types of administrative data—including the Basic Pension, the Disability Pension, the National Pension, occupational pensions such as those for civil servants, military personnel, private school teachers, and special postal service employees, as well as retirement, individual, housing, and farmland pensions—with the Population and Household Statistics Registry. Benefit statistics cover all 11 types, while enrollment statistics encompass seven types: the National Pension, occupational pensions, retirement pensions, and individual pensions. The average monthly benefit amount is the total of all pension payments an individual receives from each system; it differs from the projected pension amount that current subscribers will receive in the future.
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