Minimum wage to reach $1.32 an hour in 2026

the 2026 minimum wage in a nutshell

the minimum wage for next year has finally been finalized. The minimum wage for 2026 will be 1,320 won per hour, an increase of 290 won compared to 1,30 won in 2025, and an increase of 2.9%.

so how much will the minimum wage be in 2026? Using the statutory 209 hours per month, the monthly salary will be 2,568,880 won, including weekly vacation pay for a 40-hour work week.

how the minimum wage was determined

the 2026 minimum wage was set in a very meaningful way: a labor-management agreement.

it's the first time in 17 years that workers, employers, and public interest commissioners have come together to reach a consensus, and it's the first time since 2008. It's also the eighth consensus since the minimum wage system was introduced in 1988.

however, it wasn't completely unanimous: four members of the labor committee, all members of the Democratic Trade Union Confederation, voted against the final vote, claiming that the increase was too small.

labor and management positions

labor's reaction

the labor community was disappointed that the minimum wage of 1,320 won in 2026 was insufficient to cover the actual living expenses of low-wage workers, and that a larger increase was needed considering the rising cost of living and the burden of housing.

the Democratic Trade Union Confederation reacted particularly strongly to the agreement, saying that it was a decision that ignored the lives of workers.

management's reaction

the business community, on the other hand, said it was a rational decision that reflected reality. The prolonged domestic economic downturn is causing growing economic difficulties for the people, and the burden on the self-employed and small and medium-sized enterprises should be considered.

in particular, they said that a modest adjustment rather than a sharp increase is appropriate given the recent economic uncertainty.

how to calculate the 2026 minimum wage

let's calculate your own salary based on the 2026 minimum wage.

here's how it works: a 40-hour workweek plus 8 hours of vacation equals 48 hours per week. Multiply that by the average number of weeks in a month, 4.345, and you get 209 hours per month.

the math is simple.

• 209 hours multiplied by $1.32 per hour in 2026
• the result is $2,568.80

if you're a part-time worker, you'll need to multiply your actual hours by your hourly wage. For example, a 20-hour workweek would pay you about $897,640 per month.

you can also check out our articles on comparing the minimum wage in 2025, calculating weekly vacation pay, and overtime pay to help you manage your payroll.

how it affects the self-employed

the 2026 minimum wage increase is also important for the self-employed.

hiring one employee for 209 hours per month will cost about $215,000 in labor costs alone, plus the employer contribution to the Big 4 insurance plans.

those who run small shops or restaurants are bound to face increased management burdens due to rising labor costs, and some are considering adjusting business hours or introducing unmanned systems.

there are also voices that the government should come up with a plan to support small businesses.

frequently Asked Questions

Q1. What will be the minimum wage in 2026?

A. The minimum wage in 2026 will be 1,320 won per hour, a 2.9% increase from 1,30 won in 2025.

Q2. What is the minimum monthly wage in 2026?

A. Based on a 209-hour month, the minimum wage in 2026 will be KRW 2,568.80.

Q3. How is the minimum wage determined?

A. The minimum wage is decided by the Minimum Wage Committee, which is composed of workers, employers, and public interest members. This time, it was decided by labor-management agreement after 17 years.

Q4. Is it the same for all workplaces?

A. Yes, the same minimum wage applies to all workplaces, regardless of industry or region.

Q5. What can I do if I am not paid the minimum wage?

A. You can file a complaint with the Ministry of Employment and Labor or report to the Labor Bureau. It is against the law to pay less than the minimum wage.

bottom line

the minimum wage for 2026 has been finalized at $1,320 per hour and $2,568.80 per month.

let us know if you have any questions in the comments. for more minimum wage news and payroll calculation tips, subscribe to our blog.