Break-even usually lands in the mid-to-late 70s
That is where deferring overtakes claiming early on cumulative total. If you need the money sooner or your health is poor, claiming early is a different choice, not a mistake.
Retirement Tool
Pension Optimizer — Maximize Tax Credits & Retirement Savings
Optimize Korean pension savings (연금저축) and IRP contributions to maximize year-end tax refunds and retirement assets.
Pension Optimizer
Annual limit ₩6M
Combined limit ₩9M
Results update automatically
* 65세 은퇴, 연 6% 수익률 가정. 실제 연금 수령액은 운용 성과에 따라 달라집니다. 세무 전문가 상담 권장.
Official sources
확인일 2026-09 · 감액·가산률과 개시 연령은 제도 개정으로 달라질 수 있습니다. 본인 예상액은 가입 이력으로 조회하세요.
When you start decides how much you get
Korea's National Pension reduces the monthly amount if you claim before the normal age and increases it if you defer. Claiming early means less money for longer; deferring means more money for a shorter time, so which wins depends on how long you live. This tool finds that break-even age.
How to use
- 1 Enter your expected monthly pension and the normal starting age.
- 2 Choose how many months to advance or defer.
- 3 See the adjusted monthly amount and the cumulative total.
- 4 Read the break-even age and judge it against your own outlook.
What the number alone hides
The reduction is permanent
The early-claim reduction, once set, applies for life. It lowers the pension itself rather than deferring part of it.
Pension income is taxed
Pension income is taxable and, combined with other income, can affect health-insurance contributions. Comparing pre-tax amounts overstates the real gap.
FAQ
What sets the early and deferred adjustment?+
The National Pension Act. Early claiming reduces the pension in proportion to how early you claim, and deferral adds in proportion to how long you defer, both applied per month and adjustable within a five-year range. The exact rates and caps can change with reform, so confirm the current provisions with the National Pension Service or Korea's national law information centre. (Checked 2026-09)
If I expect to pass the break-even age, is deferring always better?+
On cumulative amount, yes. But you must be able to live on something else until then, and where that money comes from is the real cost. If you draw down savings to bridge the gap, the opportunity cost of those savings belongs in the comparison.
Is claiming early a mistake?+
Not necessarily. If you need to bridge a gap in income, or your life expectancy is shortened by health, a smaller amount now can be worth more than a larger amount later. Break-even is a probabilistic benchmark, not a verdict.
Does this account for inflation?+
The pension itself is indexed, but this tool compares nominal amounts. The same indexation applies to both paths, so the break-even point is largely unaffected — but do not read the absolute figures as future purchasing power.
Related calculators
For reference only; your actual pension depends on contribution history, income, dependants and future reform. Get a personalised estimate from the National Pension Service using your own record.