Korean Year-End Tax Refund Calculator Excel — Auto-calculate refund or additional payment

“How much will I get back this January?” The Korean year-end tax settlement is the country’s biggest payday moment for salaried workers. This Excel template auto-calculates your refund or additional payment by comparing final tax liability against tax already withheld. The progressive rate table sits in a separate sheet, so tax law updates require only data edits.

Key Features

💰 Instant Refund / Additional Payment

• Enter gross salary + dependents + 5 core deductions → instant result
• Refund displayed in green, additional payment in red (conditional formatting)
• Side-by-side comparison of final liability and amount withheld

🔢 5 Core Deductions Built In

• Credit Card Deduction: 22% effective rate on excess over 25% of salary, cap 3M KRW
• Medical Credit: 15% on excess over 3% of salary, cap 7M KRW
• Education Credit: 15% (self: no cap, child: tiered)
• Pension Savings + IRP: 15% if salary ≤ 55M, 12% above (combined cap 9M)
• Protective Insurance: 12% (cap 1M)

📊 Step-by-Step Calculation

Earned income deduction → personal exemption → credit card deduction → tax base → computed tax → various credits → final tax liability. Every step is visible so you can see exactly where the refund comes from.

🧾 Separate Brackets Sheet

The 8-tier Korean progressive rates (6% – 45%) live on a separate “Tax Brackets” sheet. Formulas reference it via INDEX + SUMPRODUCT, so an annual tax law update requires editing only the data, not the formulas.

How to Use

Step 1: Enter Information in Yellow Cells

Enter your information in the yellow input cells (C6–C13) on the ‘Calculator’ sheet.

• Gross salary, dependents, children
• Credit card spending, medical, education, pension, insurance

Step 2: Review Auto-Calculated Area

The grey-background auto-calculation area (C16–C30) shows each step. All cells are formulas that update instantly on input change.

Step 3: Read the Result

Cell C33 displays green for refund or red for additional tax owed automatically.

Practical Tips

Tax-Saving Simulation

Change pension savings/IRP from 0 to 9M KRW. If your salary is below 55M, the refund increases by 1.35M.

Concentrate Family Medical Bills

Enter the lower-earning spouse’s salary and combined family medical expenses. It’s easier to clear the 3% threshold, so the credit grows.

Annual Tax Law Updates

Edit only the rate and cumulative deduction columns on the ‘Tax Brackets’ sheet. All formulas pick up the new rates automatically.

Limitations and Disclaimer

This template reflects only 5 core deductions + personal exemptions. Not included:

• Housing (monthly rent, mortgage interest, housing subscription savings)
• Donations
• SME employment reduction
• Clergy income
• Foreign tax credits, etc.

For an accurate result, use the Hometax simulator.

Compatibility

• Microsoft Excel 2016 and later
• Google Sheets (auto-converts on upload)
• LibreOffice Calc 7.0 and later
• Korean text rendered in ‘Malgun Gothic’; falls back to system Korean font if not installed