Home > National > Social Affairs

Almost 40 percent of Koreans over 65 living below median income line, worst among OECD nations

Published: 26 Dec. 2025, 15:34 Updated: 26 Dec. 2025, 18:48

Older people are lined up at a job fair held at Mapo District Office in Mapo District, western Seoul, on Dec. 10. [NEWS1]

Four out of 10 older Koreans are living on less than half the country's median income, the highest percentage of any OECD member state, as the rapid growth of Korea's aging society is wearing down the social safety net for people after retirement.

The income poverty rate for people aged 66 and older stood at 39.7 percent — three times the OECD average of 14.8 percent and the highest among member countries — according to the “Social Trends in Korea 2025” report released by the Ministry of Data and Statistics on Friday. The income poverty rate refers to the proportion of people earning less than 50 percent of the median income.

That picture, however, changes somewhat when taking personal assets into account. The asset poverty rate — based on liquid financial assets — stood at 17 percent, and the rate of “dual poverty,” where individuals lack both sufficient income and assets, was 5.4 percent. Both are actually lower than the OECD averages of 39.3 percent and 6.3 percent, respectively.

This suggests that many older people, while lacking income, still hold real estate or other assets at a certain level.

In fact, the proportion of older people who are not poor in terms of neither income nor assets rose from 51.1 percent in 2017 to 57.0 percent last year, while the share of the dual poor fell from 16.1 percent to 13.4 percent over the same period.

An older person is seen seeking job consultation at a job welfare center in Mapo District, western Seoul on Nov. 26. [YONHAP]

Still, older people who lack access to liquid income remain in a precarious situation. For those aged 75 and older in particular, public transfer income such as pensions has less of an impact in alleviating poverty than it does for seniors aged between 65 and 74.

Analysts say income inequality within the elderly population is growing, as the retirement income system — including the National Pension Service (NPS) — remains insufficiently developed.

Elderly poverty is also tied to the structure of the labor market. The number of ultra-short-term workers — defined as those working fewer than 15 hours per week — is expected to surpass one million this year. Of them, people aged 60 and older accounted for a whopping 69 percent, meaning that many older people, unable to rely solely on their pensions, are being pushed into low-wage, unstable jobs.

Older people are seen filling out job applications at a job fair held at Mapo District Office in Mapo District, western Seoul, on Dec. 10. [YONHAP]

Health issues further exacerbate the burden of old-age poverty. Among people aged 75 and older, 46.2 percent were living with three or more chronic illnesses. The dementia prevalence rate stood at 15.7 percent — more than three times higher than that of those under 75.

The financial strain of medical and care expenses tends to weigh more heavily on older people who lack sufficient income.

An additional side effect of Korea's aging society is also emerging. Over the past five years, the number of older drivers has increased by more than 9 percent annually, while traffic accidents caused by drivers aged 65 and older have been steadily rising since 2005. Deterioration in physical and cognitive functions has been cited as a key factor for the rise in accidents.

People are seen lined up at a charity center giving out free meals in Jongno District, central Seoul on Dec. 4. [YONHAP]

Additional, the data revealed generational disparities. As of 2023, 73.2 percent of households headed by people under 40 did not own a home, a sharp increase compared to eight years earlier. Monthly rental contracts also outnumbered lump-sum deposit leases.

Last year, total private education spending reached 29.2 trillion won ($20.36 billion), marking an all-time high — a sign that disparities in income and assets are expanding into education and housing.

“Korean society is experiencing structurally entrenched elderly poverty, with vulnerable groups clearly present even within the senior population,” the report said. “Stronger policies on income and care are particularly needed for those aged 75 and older.”

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY BAE JAE-SUNG [[email protected]]