New economic policies set to come into effect at start of 2021
- 3 years ago
취약계층 구직촉진수당 지급, 최저임금 8720원...2021년 달라지는 것들
Several new economic measures will come into effect at the start of next year.
These include monetary support for job seekers and an increase in Korea's minimum wage.
Kim Jae-hee has the details.
A series of new policies aimed at boosting the local economy will come into effect at the start of 2021.
From January 1st, the government will provide employment support subsidies for those struggling to get a job.
Job seekers in low income brackets, young adults searching for jobs and women on career breaks will be able to apply for the scheme, and those who qualify will receive around 460 U.S. dollars a month for up to six months.
Also from 2021, the minimum wage will rise to 8-thousand-720 Korean won, or just over 8 U.S. dollars per hour.
This is up 1-point-5 percent compared to 2020, marking the smallest on-year increase since the minimum wage system was introduced in 1988.
And to encourage investment, taxes on stock market transactions will be cut on the benchmark KOSPI to point-zero-8 percent.
The lower rate will be in place through 2022, and then eliminated entirely in 2023.
Trades on the tech-heavy KOSDAQ will be taxed at point-2-3 percent through 2022,... and then point-1-5 starting 2023.
The government will also strengthen measures to bring down property prices.
Starting 2021, multiple homeowners, who own three or more houses, or two or more in real estate hot zones, will be subject to a higher property tax rate ranging from 1-point-2 percent to 6 percent.
This is up from the point-6 percent to 3-point-2 percent range in 2020.
The tax rate for single homeowners will also increase slightly.
But an expert points out that the higher taxes may not fully distinguish between speculators and owner-occupants.
"One of the largest side effects of higher tax imposing is that it is not easy to tell the difference between real demanders of that apartment and pure investors in the apartment market. So I think the ultimate solution and policy should be providing more apartment in metropolitan area."
With the slew of new measures in 2021, the government hopes to quickly restore damaged sectors and help people get back to normal economic activity.
Kim Jae-hee, Arirang News.
Several new economic measures will come into effect at the start of next year.
These include monetary support for job seekers and an increase in Korea's minimum wage.
Kim Jae-hee has the details.
A series of new policies aimed at boosting the local economy will come into effect at the start of 2021.
From January 1st, the government will provide employment support subsidies for those struggling to get a job.
Job seekers in low income brackets, young adults searching for jobs and women on career breaks will be able to apply for the scheme, and those who qualify will receive around 460 U.S. dollars a month for up to six months.
Also from 2021, the minimum wage will rise to 8-thousand-720 Korean won, or just over 8 U.S. dollars per hour.
This is up 1-point-5 percent compared to 2020, marking the smallest on-year increase since the minimum wage system was introduced in 1988.
And to encourage investment, taxes on stock market transactions will be cut on the benchmark KOSPI to point-zero-8 percent.
The lower rate will be in place through 2022, and then eliminated entirely in 2023.
Trades on the tech-heavy KOSDAQ will be taxed at point-2-3 percent through 2022,... and then point-1-5 starting 2023.
The government will also strengthen measures to bring down property prices.
Starting 2021, multiple homeowners, who own three or more houses, or two or more in real estate hot zones, will be subject to a higher property tax rate ranging from 1-point-2 percent to 6 percent.
This is up from the point-6 percent to 3-point-2 percent range in 2020.
The tax rate for single homeowners will also increase slightly.
But an expert points out that the higher taxes may not fully distinguish between speculators and owner-occupants.
"One of the largest side effects of higher tax imposing is that it is not easy to tell the difference between real demanders of that apartment and pure investors in the apartment market. So I think the ultimate solution and policy should be providing more apartment in metropolitan area."
With the slew of new measures in 2021, the government hopes to quickly restore damaged sectors and help people get back to normal economic activity.
Kim Jae-hee, Arirang News.