Policy Report
Economy
Welfare
Education
🔥 75
2026-01-06
Key Policy Changes Starting in 2026
Ministry of Finance and Economy
12026 minimum wage rises to 10,320 KRW with stronger child care tax support.
2Free education expands to 4-year-olds; 'Everyone's Card' offers transit refunds.
3Record-high median income increase strengthens benefits for the vulnerable.
📋 Key Findings
🔍 Background
The government announces annual policy changes to ensure the public's right to know and improve convenience. This report covers major legal amendments for 2026 across 10 sectors, including finance, education, and welfare.
📌 Key Points
The 2026 minimum wage will rise to 10,320 KRW per hour, and the standard median income for a four-person household will increase by 6.51%. The tax-free limit for childcare allowances will expand to 200,000 KRW per month, and Incheon Bridge tolls will be reduced from 5,500 KRW to 2,000 KRW.
📝 Implications
Policies focus on overcoming the low birth rate crisis and easing the burden of inflation for the public. Tax reforms and welfare increases reflect the intent to boost real household income and revitalize the local economy.
📝 Impact on Daily Life
Parents can receive a 15% tax credit for arts and sports academy fees for lower elementary students, reducing education costs. Using 'Everyone's Card' for public transit will allow for 100% refunds on spending exceeding a certain limit.
📚 Glossary
기준 중위소득 (Gijun Jungwi Sodeuk)The median value of national household income used as a selection criterion for various welfare programs.
세액공제 (Se-aek Gongje)A tax credit system that directly subtracts a specific amount from the total tax amount due.
비과세 (Bigwase)A tax benefit where no tax is levied on specific income or transactions.
유턴기업 (U-turn Gieop)Reshoring companies that return to their home country after having expanded their operations overseas.