Minimum living cost set at 956,000 won for 4-member family

The minimum living cost for next year has been set at 956,000 won a month for a four-member household, according to the Ministry of Health and Welfare Friday.

Based on the new standard, the cash subsidy per household under the new social security system will be 842,000 won, which is to cover living costs and housing expenses, excluding medical fees and education expenses, ministry officials said.

The ministry increased next year¡¯s minimum living cost by 3 percent from this year¡¯s 928,000 won to 956,000 won, taking into consideration the inflation rate.

By number of family members, the minimum living cost for a single-member household was set at 333,731 won, two-member at 552,712 won, three-member at 760,218 won, four-member at 956,250 won, five-member at 1,087,256 won and six-member at 1,226,868 won.

The state subsidies to support the livelihood of Korean households subject to the social security system, or ¡°National Minimum Living Standard Act,¡± rose 15.5 percent from this year¡¯s level to 842,000 won a month for a four-member family, and 11.3 percent to 482,000 won for a two-member family.

However, the actual subsidies will be set after the income of the household is deducted from the basic cash subsidy, whose amount is determined after medical fees, education expenses and subsidies provided by other laws such as exemption of income and resident¡¯s taxes are deducted from the minimum living cost.

Song Sang-Keun songmoon@donga.com