The government plans to raise the basic pension to 400,000 won out of the four reform plans, assuming that the basic pension national budget will exceed 40 trillion won after 10 years.

The basic pension of 400,000 won is controversial right after the announcement that it will guarantee the old income by the tax input without raising the national pension premium.

There is also a possibility that politicians will be more likely to prefer it because the amount of guarantee is the highest and there is no additional burden on subscribers.

According to the Ministry of Health and Welfare, if the basic pension paid to the lower 70% of the elderly aged 65 and over is raised to 400,000 won per month in 2022, the government will spend 20.9 trillion won in the first year and 28.6 trillion won in 2026 going.

The basic pension is paid together with the national and local expenses. If the additional 23% of the local pension is included in the basic pension, the total pension in 2026 will be 37.1 trillion won due to the basic pension of 400,000 won.

Although the government presented only the estimate until 2026, the basic pension budget will continue to grow due to aging, and it is expected to exceed 40 trillion won in 2028, 10 years later.

The basic pension, which was introduced to stabilize the lives of the elderly, has been tied at 200,000 won per month for a long time, but rose to 250,000 won last September.

The government announced on April 14 the four national pension reform proposals, which together with the national pension and the basic pension, guarantee the pension income of around one million won per month, enabling one single elderly person to live at the minimum age.