2026 Korea EITC Calculator | Eligibility Self-Check + Estimated Payment (Up to 3.3M KRW)

Introduction: The Cash Benefit 4.5 Million Households Receive Every May

Each May, Korea's National Tax Service (NTS) sends out millions of text messages saying "You are eligible to file for the Earned Income Tax Credit." As of 2025, over 4.5 million households actually received this payment, making Geunro Jangryeogeum (EITC, Earned Income Tax Credit) the largest low-income cash support program in South Korea. Single Households receive up to 1.65 million KRW, Single-Earner Households up to 2.85 million KRW, and Dual-Earner Households up to 3.3 million KRW deposited directly into their bank accounts. However, because the eligibility rules combine three axes — household type, income, and assets — many people still miss out by assuming "I probably don't qualify."

In reality, the program covers a much wider range than most people expect: office workers earning under 2.5 million KRW/month, delivery drivers, freelancers, and self-employed individuals, part-time workers, career-returners after a break, and re-employed retirees. Even if you are registered as a business owner or your spouse works a regular job, you may still qualify. The 3-step self-check calculator at the top of this page automatically determines your Household type from spouse, Dependent Children, and Direct Ascendant information, then evaluates your income and assets to instantly tell you whether you fall into the Full Payment / 50% Reduced Payment / Not Eligible tier.

The article below covers everything a prospective applicant needs to decide within 3 minutes: the 2026 regular filing period (May 1 - June 1), the payment schedule (late August), Semi-Annual Filing (available only to wage earners), asset valuation methods, and exclusion criteria. If the Hometax built-in simulator feels too long or complex, use this calculator first to check "Is there any money I could be getting?"

1. What Is the Earned Income Tax Credit?

1.1 Purpose — Work Incentive + Low-Income Cash Support

The Earned Income Tax Credit (EITC, Geunro Jangryeogeum) is a welfare program introduced in 2009 based on the concept of a negative income tax. Its stated goal is to "pay cash to working households whose earnings fall below a certain threshold, thereby encouraging labor participation and supplementing real income." In other words, this is not pure cash welfare — it is a benefit paid exclusively to low-income working households. People with zero earned income (no wage, business, or religious-worker income at all) are not eligible. Unlike unemployment insurance, it does not require being out of work, and it can be received concurrently with basic livelihood benefits.

For the 2026 filing year (2025 income basis), the maximum payment is 3.3 million KRW (Dual-Earner Households), roughly 4.5 million recipient households nationwide, and the NTS announces total EITC payments of approximately 6 trillion KRW each year. Any citizen in the "working low-income bracket" — between those earning exactly zero and those earning too much — can apply.

1.2 Difference from Child Tax Credit — Both Can Be Received

The Earned Income Tax Credit and the Child Tax Credit (CTC, janyeo jangryeogeum) are separate programs. The EITC is based on household income and assets, while the Child Tax Credit is based on dependent children, so if you meet both sets of requirements you can receive both. The Child Tax Credit pays up to 1 million KRW per dependent child (2026 basis), stacking across multiple children. For example, a Single-Earner Household with two children could receive EITC 2.85M KRW + Child Tax Credit 2M KRW = 4.85 million KRW total — not an uncommon scenario. Both credits are handled in a single application, so no separate filing is needed.

1.3 2026 Maximum Payments at a Glance

Household Type	Max Payment	Total Income Cap	Asset Requirement
Single Household	1.65M KRW	Under 22M KRW	Under 240M KRW (170M+ = 50% reduced)
Single-Earner Household	2.85M KRW	Under 32M KRW
Dual-Earner Household	3.3M KRW	Under 44M KRW

2. Eligibility Requirements

2.1 Income Requirement — Caps by Household Type

Your annual total household income must fall below a threshold set by Household type. Total income here is not just wages — it's the combined total of wage income + business income + religious-worker income + interest/dividends + other income. If you are married, this is a combined couple's figure.

• Single Household: Annual total income under 22M KRW (roughly 1.83M KRW/month)
• Single-Earner Household: Annual total income under 32M KRW (roughly 2.66M KRW/month)
• Dual-Earner Household: Annual total income under 44M KRW (roughly 3.66M KRW/month, combined)

One critical point: at least one of wage, business, or religious-worker income must exist. If you only have interest and dividends with no active work, you do not qualify. That said, side income (e.g., weekend-only delivery work) counts as business income and can establish eligibility.

2.2 Asset Requirement — 170M / 240M KRW Thresholds

For 2026, the asset requirement is under 240 million KRW for any eligibility, and within that, the 170M - 240M KRW tier results in a 50% reduced payment.

• Under 170M KRW: Full payment
• 170M - under 240M KRW: 50% of calculated amount
• 240M KRW or more: Not eligible, no payment

2.3 Exclusions — Who Cannot Apply

Even if you meet the income and asset requirements, you are excluded if any of the following apply.

• Non-Korean nationals: Exception — if either you or your spouse is a Korean national, or if you have a Korean-national dependent child, some foreign-spouse households are recognized
• Regular employees with monthly pay of 5M KRW or more: Wage earners making approximately 60M KRW/year or more — either you or your spouse exceeding this triggers full disqualification
• Professional sole proprietors (attorneys, CPAs, tax accountants, legal scriveners, doctors, pharmacists, veterinarians, etc.): Professional sole practitioners are generally excluded
• Non-residents from tax-treaty countries: Long-term overseas stay or inability to prove Korean residency
• Individuals registered as dependents of another household: Already listed as a dependent in another household's registry

2.4 Income Type Weighting

The "total compensation equivalent" used to calculate the payment amount applies different weights depending on income type.

• Wage income: Full gross wage amount
• Business income: Revenue × industry adjustment ratio (15-90%). Wholesale/retail, for instance, counts only 20% of revenue as "total compensation equivalent"
• Religious-worker income: Full paid amount (before expense deductions)
• Other / interest / dividend income: Not included for payment calculation, but counted toward the total income eligibility cap

In practice, self-employed applicants with registered businesses often find that their high gross revenue converts, via the industry adjustment ratio, to a much lower EITC-equivalent income — so eligibility is more common than they expect.

3. Determining Household Type — The Most Confusing Part

3.1 Single vs Single-Earner vs Dual-Earner

Household type is determined by the combination of spouse, Dependent Children, and Direct Ascendants 70+. This classification drives your payment cap, so understanding it precisely is essential.

Household Type	Conditions	Max Payment
Single Household	No spouse + no dependent children + no Direct Ascendant 70+	1.65M KRW
Single-Earner Household	Has spouse (wage income under 3M KRW) OR has dependent children OR living with Direct Ascendant 70+	2.85M KRW
Dual-Earner Household	Has spouse + spouse's annual wage income of 3M KRW or more	3.3M KRW

3.2 Why the 3M KRW Spouse Income Threshold Matters

The most common point of confusion is this "3 million KRW" line. Even if you have a spouse, if their annual wage income is under 3M KRW, you are classified as "Single-Earner Household"; 3M KRW or more makes you "Dual-Earner Household." 3M KRW works out to 250,000 KRW/month — so a spouse who only does part-time or short-term gigs is treated as Single-Earner, capping your maximum at 2.85M KRW. On the other hand, if your spouse is a regular wage earner, you become Dual-Earner, the cap rises to 3.3M KRW, and the combined income ceiling expands to 44M KRW — which paradoxically makes you more likely to qualify.

3.3 Dependent Children & Direct Ascendant 70+ Conditions

• Dependent Children: Born on or after 2007-01-02 (age 18 or under) + annual income 1M KRW or less. Different address on the resident registry is OK if you can prove actual support
• Direct Ascendants 70+: Parents or grandparents born before 1955-01-01 + annual income 1M KRW or less + same address on resident registry or documented direct support
• If you have dependent children or Direct Ascendants, even without a spouse you are recognized as a Single-Earner Household, opening the 2.85M KRW cap

4. Payment Calculation — 3-Phase Trapezoidal Formula

4.1 Phase-in, Plateau, Phase-out Structure

The EITC is designed as a trapezoid: "the more you earn, the more you receive (phase-in); within a certain band, you receive the maximum (plateau); beyond that, the amount tapers down (phase-out)." This directly supports the program's goal of "avoiding work disincentives" — if your income is 0, your payment is 0 (you have to work to receive); up to a point, more income means more money; beyond that, it gradually decreases; past the ceiling, you receive nothing.

Phase (1) Phase-in: income 0 - phaseInEnd
          - payment = (income / phaseInEnd) * maxAmount (linear increase)

Phase (2) Plateau: phaseInEnd - plateauEnd
          - payment = maxAmount (flat)

Phase (3) Phase-out: plateauEnd - phaseOutEnd
          - payment = maxAmount * (1 - (income - plateauEnd) / (phaseOutEnd - plateauEnd))

Phase (4) Above phaseOutEnd: 0 (not eligible)

The phase boundaries for each Household type are as follows.

Household Type	Phase-in End (phaseInEnd)	Plateau End (plateauEnd)	Phase-out End (phaseOutEnd)	Max Amount
Single Household	4M KRW	9M KRW	22M KRW	1.65M KRW
Single-Earner Household	7M KRW	14M KRW	32M KRW	2.85M KRW
Dual-Earner Household	8M KRW	17M KRW	44M KRW	3.3M KRW

4.2 Single Household Example — 5M KRW income → 1.65M KRW (Plateau)

• Total income of 5M KRW falls between Single Household phase-in end (4M) and plateau end (9M) → Plateau
• Payment = max amount as-is = 1.65M KRW
• Under 170M KRW in assets: full amount; 170M - 240M KRW: reduced to 825K KRW

4.3 Single-Earner Example — 25M KRW income → About 1.108M KRW (Phase-out)

• Total income 25M KRW falls between Single-Earner plateau end (14M) and phase-out end (32M) → Phase-out
• Phase-out ratio = 1 - (25M - 14M) / (32M - 14M) = 1 - 0.611 = 0.389
• Payment = 2.85M × 0.389 ≈ 1.108M KRW (check the calculator for exact figure)

4.4 Dual-Earner Example — 30M KRW income → About 1.712M KRW (Phase-out)

• Total income 30M KRW falls between Dual-Earner plateau end (17M) and phase-out end (44M) → Phase-out
• Phase-out ratio = 1 - (30M - 17M) / (44M - 17M) = 1 - 0.481 = 0.519
• Payment = 3.3M × 0.519 ≈ 1.712M KRW
• To receive the full 3.3M KRW, a Dual-Earner must land squarely in the 8M - 17M KRW plateau

5. Asset Valuation Rules

5.1 What Counts as Household Assets

"Household assets" include the combined assets of all Household members — you, your spouse, dependent children, Direct Ascendants, etc. The following items are included.

• Homes, buildings, land: At publicly announced prices (gongsi-gagyeok). All ownership counts regardless of whether it is your primary residence
• Jeonse (lump-sum lease) deposits: Deposits you paid as a tenant also count as assets
• Deposits, savings, stocks, bonds, funds: Balance as of June 1, 2025
• Vehicles: Registered market value. Commercial vehicles excluded; some compact cars follow separate rules
• Insurance: Surrender-value basis
• Memberships: Golf, condo, fitness memberships at standard market value
• Virtual assets: Inclusion trends follow the latest tax framework

5.2 Valuation Methods — Public Price vs Market Price

The key question for asset evaluation is "how much, and how." Generally, public prices and standard reference prices are used, which usually come in below actual market prices.

• Homes / land → publicly announced prices (Ministry of Land, Infrastructure and Transport, announced every April). Roughly 60-80% of actual transaction price
• Vehicles → vehicle value table or registration tax base
• Deposits → balance (excluding accrued interest)
• Jeonse deposits → amount stated in lease contract

5.3 Asset Reference Date — June 1, 2025

For the 2026 regular filing (2025 income basis), the asset reference date is June 1, 2025. Your asset status at that moment determines eligibility. So if you sold a home in July 2025 but owned it on June 1, it still counts. Conversely, a home sold in May 2025 is excluded.

5.4 Caution: 170M - 240M KRW 50% Reduction Zone

If your assets are 170M - 240M KRW, you receive exactly half of what the income rules would give you. For example, a Single-Earner Household that would qualify for 2.85M KRW based on income will actually receive 1.425M KRW if their assets are 190M KRW. If you're near the 170M boundary, even a small reduction in asset valuation can flip you back to full payment — so always double-check that public prices are up to date.

6. How to File in Practice

6.1 Hometax Filing in 6 Steps

1. Visit Hometax and sign in via joint/financial/simple authentication
2. Navigate to "File / Submit → Apply for EITC / Child Tax Credit"
3. Review pre-filled eligible-applicant information (you and household members are auto-queried)
4. Review auto-aggregated income/asset results → click "Edit" for additions or corrections
5. Enter the bank account in your own name for payment → Submit
6. Confirm receipt number; submission-complete notice arrives by SMS or Kakao alert

6.2 Sontax Mobile App

The Sontax app is the most convenient way to file entirely from a smartphone. Search "Sontax" in the app store and install; simple authentication completes filing in 2-3 minutes. Pre-notified applicants can just tap the button in the Kakao alert to jump straight into Sontax — essentially fully automated.

6.3 ARS Phone Filing — 1544-9944

For seniors and digitally underserved groups, the NTS ARS at 1544-9944 is available. Call, enter your resident registration number and the individual auth number from your notice, and filing is complete — no paperwork. Typical duration: 1-2 minutes, the fastest option.

6.4 Paper Filing — Mail or In Person

You can complete the application form enclosed with your notice and submit it to your local tax office civil affairs window by mail or in person. Processing takes longer than electronic filing, so Hometax, Sontax, and ARS are recommended when possible.

6.5 No Notice? You Can Still Apply

If you are missing from the NTS automatic outreach list, self-filing is still available. On Hometax, select "Apply for EITC / Child Tax Credit — Non-Notified Applicant" and enter your income, asset, and household details directly. Common reasons for not receiving a notice include:

• No wage income last year due to new hire or job change
• Just after a change of address, before NTS data sync
• First filing as a newly registered self-employed person
• Foreign-spouse households with delayed data linkage

7. Filing Periods at a Glance

7.1 Regular Filing — May 1 to June 1, 2026

The standard path. Reviewed on the basis of 2025 income and assets, with payment scheduled for late August 2026.

• Filing period: 2026-05-01 ~ 2026-06-01
• Review period: June - July (about 2 months)
• Payment date: Late August 2026, lump sum to your personal account

7.2 Late Filing — June 2 to November 30 (10% Penalty)

If you miss the regular filing window, you can still apply during the Late Filing period from June 2 through November 30. However, your payment is reduced by 10%. A 1.65M KRW recipient would receive 1.485M KRW; a 3.3M KRW recipient would receive 2.97M KRW. Payment date depends on when you filed, but typically within 3-4 months of filing.

7.3 Semi-Annual Filing (Wage Earners Only)

Households with wage income only can opt for Semi-Annual Filing instead of the annual regular filing. You get paid sooner, with the amount split into two installments.

• First-half portion (Jan-Jun income): File 2026-09-01 ~ 09-15 → Payment late December 2026 (35% of calculated amount)
• Second-half portion (Jul-Dec income): File 2027-03-01 ~ 03-15 → Payment late June 2027 (remaining 65% plus reconciliation)
• At final reconciliation, any difference from the true calculated amount is clawed back or paid out

Households with business income or religious-worker income cannot use Semi-Annual Filing and must use regular filing only.

8. Frequently Asked Questions

Q1. Can I receive both the Child Tax Credit and the EITC?

Yes. The Earned Income Tax Credit and Child Tax Credit are calculated independently and paid together. A Single-Earner Household with 2 dependent children could receive EITC 2.85M KRW + Child Tax Credit up to 2M KRW (1M each) = up to 4.85M KRW. Both credits are reviewed in a single application, so no separate filing is needed.

Q2. Can unemployed people receive it?

No. The EITC is designed for "working low-income households", so in the relevant tax year you must have at least one of wage, business, or religious-worker income. Having only interest, dividends, or pension income does not qualify. Even 1M KRW in short-term part-time income is enough, so if you have any small amount of earned income, consider applying.

Q3. Can I retroactively claim missed prior-year EITC?

Yes. You can file a corrective request within 5 years to apply retroactively. For example, 2021 income year (which would have been filed in May 2022) can be claimed until May 2027. However, documenting past household composition and asset history can be complex, so consider calling the NTS consultation center (126) or contacting your local tax office.

Q4. Can foreigners apply?

Conditionally, yes. If either you or your spouse is a Korean national, or if you have a dependent child who is a Korean national, foreigners may apply. Households composed purely of foreign citizens do not meet the nationality requirement and are ineligible.

Q5. What are the payment account requirements?

The account must be in the applicant's own name. Accounts in your spouse's, children's, or relatives' names cannot be designated. If you have no bank account, you can request postal delivery (registered mail) via the form attached to your notice, but it is not recommended due to loss risk.

Q6. Do my parents' properties count as my assets?

Only your own ownership share counts. A home owned by your parents where you merely reside does not count as your asset. However, if your parents are Direct Ascendants 70+ included in your Household, their assets are aggregated too. Jointly owned property counts only in proportion to your share.

Q7. Can I edit my filing after submission?

Yes, freely during the filing window. On Hometax, go to "View/Edit Filing History" to correct income, asset, or household member details. After the window closes, you must go through the corrective request procedure — so final review within the filing period is important.

9. What Changed in 2026

• Higher maximum payments: Single Household raised 10% from 1.5M to 1.65M KRW. Single-Earner 2.6M→2.85M, Dual-Earner 3.0M→3.3M — all Household types bumped up
• Expanded Semi-Annual Filing: Simplified procedure for wage-earner Semi-Annual Filing, Sontax mobile one-stop experience
• Asset threshold: 170M (full) / 240M (cutoff) maintained for 2026. Rising public prices make this feel less binding in practice
• Electronic payment strengthened: Postal delivery proportion reduced, account registration encouraged
• Simplified foreign-national verification: Auto-linked immigration records shorten review time for foreign-spouse households

Conclusion: 10-Point Checklist for May Regular Filing

The EITC is a benefit that disappears automatically if you don't claim it. The NTS sends advance notices, but people still miss their notices or preemptively assume "I probably don't qualify." Run through the checklist below starting in late April.

1. Mark May 1 on your calendar — Regular filing opens; earlier filing can mean earlier payment
2. Prepare Hometax / Sontax login — Verify joint/simple authentication in advance
3. Check for notice (Kakao, mail) — Delivered from mid-April; look it up on Hometax if lost
4. Confirm Household type — Use the calculator to double-check Single / Single-Earner / Dual-Earner
5. Tally income — Wage + business + religious-worker income + interest + dividends (couples combined)
6. Compile asset list — Homes, jeonse deposits, deposits, vehicles, insurance — check the 170M/240M KRW borders
7. Dependent children and Direct Ascendant conditions — Annual income under 1M KRW + cohabitation check
8. Prepare your own bank account — Reactivate dormant accounts, pre-save on Hometax
9. Confirm simultaneous Child Tax Credit filing — Automatically included if you have dependent children
10. Final check before June 1 deadline — Use View/Edit Filing History to catch typos or omissions

Use the calculator at the top of this post to estimate your payment, then cross-check with the Freelancer 3.3% Refund Calculator and 2026 Comprehensive Income Tax Calculator so that with a single May filing you can secure both the EITC and a comprehensive income tax refund. If wage income is your main source, start with the Salary Take-home Calculator to understand your gross pay structure for a more accurate eligibility read. Always confirm your actual amount via Hometax "EITC Preview", and for anything unclear, call the NTS consultation center at 126 (free). Don't miss your chance to see several million KRW land in your account this May.