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Information on the National Pension Scheme for foreigners

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					Information on the National Pension Scheme for foreigners (http://www.npc.or.kr/social/index_en.html) The National Pension Pohang office : Tel : 9-280-0824
April. 21, 2004 ■ What is it The NPS is an integral part of the country's state -enforced social security system, aimed at helping promote the quality of the people's life in general, where the insured while earing decent income, pay contributions, which in the long run can benefit themselves or their survivors against aging, disability or death.

All the nationals, not only koreans, aged 18 to less 60 residing in korea are compulsorily covered under the NPS. (Article 102 of the Nation Pension Act)

If you are aged 18 to less then 60 and your country's law stipulates that the one same as or similar to the NPS apply to Koreans residing in your country, you are naturally to be covered under the NPS.

In case that there is other proviso in a social agreement concluded between Korea and foreigner 's own country, that proviso, irrespective of the above provision, shall be applied

■ Entry and National Pension fee -Entry Date : 05. 01 / 2004. -The Contributor ; All foreigners (Researchers and Professors / who work at Postech) -National Pension fee will be deducted from the contributor's salary (4.5% of salary) every month. ※Exception country : Russia, Nepal, Bangladesh, Vietnam, Saudi Arabia, Singapore, Ukraine. Egypt, Pakistan, (남아프리카공화국,리투아니아,몰디브,미얀마, 시에라리온, 통가, 피지)

■ Benefits In an insured person has been covered for at least 10 years and has reached age 60, he/she will be entitled to the Old Age Pension during his/her entire remaining life.

If an insured person is not free from mental or physical disability even after medical treatment, owing to disease or injury arising during his/her insured term, he/she may have the entitlement to The Disability Pension in accordance with the degree of incapability to work.

If an insured person or a pensioner passes away his/her legitimate surviving dependent(s) may be eligible for The Survivors Pension.

Lum-sum Refund shall be payable on a reciprocal basis; it shall ot be available to you if your home country's low does not allow it to foreigners.

2. Foreigners and payment of Lump-sum Refund

Foreign Insured Persons under the National Pension Scheme are equally treated as the national Insured Persons. For example, there is no discrimination in terms of the benefit amount and remitting benefit abroad, etc. But there is a certain distinction in regarding Lump-sum Refund. In principle, Lump-sum Refund is not paid to foreigners leaving Korea after having been covered under the Scheme. But, in the case of foreigners falling under any of the following items, Lump-sum Refund is paid.

-People whose country grants Koreans a benefit corresponding to Lump-sum Refund under the National Pension Scheme. -People whose country concludes a social security agreement with Korea to secure benefit right by totalling Insured period in each country.

Who is eligible for a Korean Lump-sum refund?

If your country has a totalization agreement social security with Korea, you are treated like other Korean nationals regarding a lump-sum refund, as well as pension benefits under the legislation of Korea. Therefore, if you die or permanently leave Korea, or reach age 60, or meet other qualifying conditions for the Lump-sum refund before qualifying for an Old Age, Disability or Survivors pension, the Lump -sum refund may be paid to you or your survivors (in case of your death).

Are you British, Chinese or Dutch?
The agreement between Korea and the U.K.(China or the Netherlands) is a contributions-only agreement. Therefore, you are not eligible for a Korean lump sum refund, while there is no restriction for an old -age, disability or survivors pension.

If your country does not have a social security agreement with Korea, you are not treated equally with other Korean nationals regarding the Lump-Sum refund, but are treated according to a reciprocity rule. Under this rule, only the nationals from 15 countries may receive the Korean Lump Sum refund. Please refer to

the Article 102 of the National Pension Act and Article 85 - 3 of the Enforcement Decree of the National Pension Act.

※ USA, Ghana, Malaysia, Bermuda, Sudan, Sri Lanka, Switzerland, El Salvador, Italy, Indonesia, Kazakhstan, Kenya, Trinidad and Tobago, Hong kong, Germany. (as of Auguest, 2003. Subject to change) You may submit an application for a benefit or claim under the agreement to any designated agency in your country or in Korea (in Korea - the National Pension Corporation; in Canada - Human Resources Development Canada; in the U.S. - Social Security Administration). If you submit the application to the agency in your own country, that agency will send, without delay, all relevant documents to the National Pension Corporation for processing. Benefits are then paid directly to you. Your agency will continue to help if any supporting documents are needed or if complaints arise. Note : The date of application to your agency or the NPC is the date used for applying the time limit (prescription period). Please check with your agency concerning time limitations. In Korea, the time limitation for exercising your right to a benefit is 5 years.

How to apply for Korean Benefits :: Old-age :: Survivors :: Disability :: Lump-sum :: Divided

If you have periods of coverage in Korea but don't meet the requirements for regular Korean benefits, the Social Security Agreement may help you qualify to get a Korean Old-age, Disability or Survivors' pension or Lump-sum benefits. • Eligible persons and required documents are introduced respectively in each benefits item. • If you want to apply for Korean benefits under the Social Security Agreement, you must visit one of the Korean National Pension Corporation offices or Social Security offices in another contracting country in person. If you have a registered seal (인감도장) in Korea and a certificate of that seal (인감증명서), you can apply for the Korean benefits by mail. • You can download the application forms from our website or get them from one of the Korean National Pension Corporation offices or Social Security offices in your country.

Old-age Pension 1. Eligible Persons If you have enough totalized periods of coverage under the Social Security systems of Korea and another contracting country, you may be able to apply for the Korean Old-age pension under the Social Security Agreement. In some cases, you should have minimum Korean periods of coverage (Korea-Canada: 12 months, KoreaU.S.: 18 months).

2. Required Documents • Application Form (Canada/U.S.) • Id Card (Alien Registration Card/passport) • Bankbook ※ If you want overseas remittance, an Application for Overseas Remittance and a bank statement or void check which shows your name and account number are required. • If you apply for an early old-age pension and - you are an employee, employment contract (or verification of your employment) and Income Withholding Taxes Receipt (or Salary Book or bankbook, etc.) are also required. - you are self-e mployed, a Certificate of Suspension or Cessation of Business is also required. • If you have any dependents supported by you, you may be required to submit more documents for additional pension benefits.

Survivors Pension 1. Eligible Persons The survivors of the workers below may be able to apply for the Korean Survivors Pension under the Social Security Agreement. In some cases, the worker should have minimum Korean periods of coverage (Korea-Canada: 12 months, Korea-U.S.: 18 months). • When a worker who has Korean periods of coverage dies while he/she is covered by the social security system of another contracting country • When a worker with 10 years or more of totalized periods of coverage dies while he/she is not covered by any social security system • When a worker dies with less than 10 years of totalized periods of coverage and within two years after the first medical examination which was held - while he/she was being covered by the social security system of another contracting country or - within 1 year after the loss of the insured status under the social security system of another contracting country • When a worker dies while he/she was getting the Old Age or Disability (2nd degree or more) Pension under the Social Security Agreement 2. Required Documents • Application Form (Canada/U.S.)

• Id Card (Alien Registration Card/passport) • Bankbook ※ If you want overseas remittance, an Application for Overseas Remittance and a bank statement or void check which shows your name and account number are required. • If you have any dependent supported by you, you may be required to submit more documents for additional pension benefits. • Documents which can explain the worker's death • If the worker died due to a third party, more documents may be required.

Disability Pension 1. Eligible Persons If you have Korean periods of coverage and come to be disabled while you are covered by another contracting country's social security system, you may be able to apply for the Korean Disability Pension under the Social Security Agreement. In some cases, you should have minimum Korean periods of coverage (Korea-Canada: 12 months, KoreaU.S.: 18 months). 2. Required Documents • Application Form (Canada/U.S.) • Id Card (Alien Registration Card/passport) • Bankbook ※ If you want overseas remittance, Application for Overseas Remittance and a bank statement or void check which shows your name and account number are required. • If you have any dependents supported by you, you may be required to submit more documents for additional pension benefits. • Documents which can explain your disability history ? If you are disabled due to a third party, more documents may be required.

Lump-Sum Refund If you want to apply for Korean benefits under the Social Security Agreement, you must visit one of the Korean National Pension Corporation offices or Social Security offices in another contracting country in person. If you have a registered seal (인감도장) in Korea and a certificate of that seal (인감증명서), you can apply for the Korean benefits by mail. 1. Eligible Persons You or your survivor(s) can apply for a Korean Lump-sum benefit under the Social Security Agreement if you

• have the nationality of the country with which Korea has concluded a totalization agreement, and • have no other Korean pension benefit rights, and • have reached age 60, or have become covered by one of other public pension schemes, or • have finished work in Korea and are going to emigrate or have emigrated from Korea permanently, or • die ※ Exercising this right may forfeit any rights to future benefits from Korea or another contracting countr y. 2. Required Documents • Application Form (Canada/U.S.) • ID card (Alien Registration Card/passport) • Airline ticket which shows your emigration from Korea (in the case of an application for the reason of emigration) • Certificate of your work and pension coverage of other public pension scheme (in the case of an application for the reason of being covered by another public pension scheme) • Bankbook ※ If you want overseas remittance, an Application for Overseas Remittance and a bank statement or void check which shows your name and account number are required.

Divided Pension 1. Eligible Persons If you have lived for five years or more with a partner who is eligible for Korean Old -age pension under the social security agreement and you divorce, you may be able to apply for a division of the worker' Old -age pension. 2. Required Documents • Application Form • Id Card (Alien Registration Card/passport) • Bankbook ※ If you want overseas remittance, an Application for Overseas Remittance and a bank statement or void check which shows your name and account number are also required. • Marriage Certificate, etc.


				
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