Overview

The Freelancer Income Calculator estimates net income for freelancers subject to Korea's 3.3% withholding tax (3% income tax + 0.3% local income tax). It calculates the amount received after withholding and projects comprehensive income tax liability for the May filing, including deductible business expenses.

Formula

Amount After Withholding = Contract Amount × (1 − 3.3%)

Comprehensive Income Tax:
• Taxable Income = Total Revenue − Business Expenses − Deductions
• Expenses: Simplified expense ratio (60–80% by industry) or standard expense ratio
• Tax rates: Progressive 6–45%
  - Up to KRW 14M: 6%
  - 14M–50M: 15%
  - 50M–88M: 24%
  - 88M–150M: 35%
  - 150M–300M: 38%
  - 300M–500M: 40%
  - 500M–1B: 42%
  - Over 1B: 45%

How to Use

1. 1Enter your total annual revenue (sum of contract amounts).
2. 2Select your industry to apply the simplified expense ratio.
3. 3Enter additional deduction items (personal exemptions, etc.).
4. 4Click 'Calculate' to see withholding amounts, comprehensive income tax, and refund or additional payment.

Tips

• ✔Annual revenue under KRW 24M qualifies for the simplified expense ratio, reducing your tax burden.
• ✔Keep expense receipts (tax invoices, credit card slips) for favorable treatment under the standard expense ratio.
• ✔Freelancers must enroll in National Pension and Health Insurance as regional subscribers.
• ✔The 3.3% withheld during the year is credited against your comprehensive income tax in May.

FAQ