[Edaily Reporter Hong Soo-hyeon ] Interest is surging in the “Gyeongnam Provincial Pension,” which promises a return of over 13 million won to participants who contribute 80,000 won per month for 10 years. Analysts say this reflects the deep-seated anxiety about retirement felt by people in their 40s and 50s.

According to Gyeongsangnam-do on the 13th, the final number of subscribers to the “Gyeongsangnam-do Residents’ Pension”—introduced for the first time this year—totaled approximately 29,200. This represents 97.5% of the target enrollment of 30,000.

Gyeongnam Province expressed regret that, although the number of pension applicants exceeded 30,000 by the end of the second enrollment period in May, the target of 30,000 was not met due to applicants being disqualified during the eligibility screening process. The province had initially planned to recruit 10,000 residents for the pension this year, but after reaching that number within just three days of the enrollment period opening at the beginning of the year, it opened a second round in May to recruit an additional 20,000 participants.

The Gyeongnam Provincial Pension was designed based on an Individual Retirement Pension (IRP) to bridge the income gap that occurs after retirement and before recipients begin receiving public pensions such as the National Pension.

Targeted at residents aged 40 to 54 with an annual income of 93.52 million won or less, the program provides support of up to 240,000 won per year for a maximum of 10 years. Under this scheme, when a resident contributes 80,000 won to a dedicated Individual Retirement Pension (IRP) account, the province adds an additional 20,000 won.

For example, if a 50-year-old resident contributes 9.6 million won over 10 years, the total accumulated funds—including the maximum provincial subsidy of 2.4 million won and interest—would amount to 13.2 million won. This is enough to provide a monthly payment of 217,000 won for five years, from age 60 until age 65, when the National Pension becomes payable. Tax deduction benefits apply separately.

The provincial subsidy is paid only for the period during which the resident maintains their registration in South Gyeongsang Province; this is a measure designed to prevent early termination or the need for recovery of funds.

In response to concerns raised by some quarters regarding the financial burden, South Gyeongsang Province has proposed expenditure innovation and coordination with national funding as solutions. The province plans to restructure its expenditure by consolidating similar or overlapping programs and reducing operating expenses, while securing as much national funding as possible for core essential medical and welfare programs by aligning them with government policies.

Gyeongnam Province stated, “Through the first enrollment period, we realized that anxiety regarding income gaps among people in their 40s and 50s is more severe than expected,” and announced plans to determine the scale of next year’s Provincial Pension Program based on this year’s enrollment results.

Park Wan-soo, Governor of South Gyeongsang Province, said, “We will create a virtuous cycle in which the financial resources generated by industrial growth are reinvested in the welfare of our residents.”

Seoul Metropolitan Government is also following the example of the Gyeongnam Provincial Pension and is pushing to introduce the “Seoul-style Sandwich Generation Pension,” which targets people in their 40s and 50s. This initiative, which concretizes a campaign pledge made by Seoul Mayor Oh Se-hoon during the June 3 local elections, shares the same structure as the Gyeongnam Provincial Pension. Daejeon City is also reviewing the “4050 Bridge Pension,” which was a campaign pledge by Mayor Heo Tae-jeong during the local elections. Under this system, when a citizen contributes 100,000 won, the city provides a 50,000-won subsidy.