Net Pay Comparison After Job Change

Even if the offer salary is higher than your current salary, the take-home increase is generally smaller than the gross raise rate due to progressive income tax and rising four major insurance contributions. If the raise crosses a tax bracket, the excess portion is taxed at the higher rate. You can see this gap directly in the nominal vs. effective raise rate comparison card in the Net Pay Comparison tool.

Obtain your withholding tax certificate (근로소득 원천징수영수증) from your previous employer and submit it to your new employer by the first week of February for combined settlement. If you miss this, you must file individually in the following May.

The most common are meal allowance (₩200,000/month) and car expense allowance (₩200,000/month), though eligible items vary by company. Larger tax-exempt amounts lower your taxable income, reducing income tax and boosting your take-home rate.

A large gap means a higher proportion of the gross raise is going to taxes and insurance. In this case, rather than judging by the gross increase alone, check both the effective raise rate and the absolute monthly take-home increase. Negotiating non-taxable allowances (such as meal and commuting subsidies) into the package can help improve the effective raise rate within the same total compensation.

The dependents selector changes the basis for the simplified withholding tax table, which affects the income tax withheld each month. More dependents means a larger income tax deduction and higher take-home pay. For example, comparing 1 and 3 dependents shows a monthly take-home difference that varies by salary bracket, and the comparison table lets you see the take-home change per dependent count for both current and new salary.

It depends on the salary bracket. At lower salary levels, the increase in four major insurance deductions takes a relatively larger share. At higher salary levels, the income tax progressive bracket overage is what most limits take-home growth. The delta column in the comparison table shows the per-item deduction difference between current and new salary, making it easy to see at a glance which item is eating the most of the raise.

National Pension, Health Insurance, and Employment Insurance are generally continued seamlessly when your new employer submits the required enrollment notification. However, if there is a gap between your previous and new employment, you may need to separately apply for voluntary continued enrollment or transition to individually enrolled status for Health Insurance. It is advisable to confirm the continuity of your coverage directly with the NHIS or NPS.