South Korea’s financial authorities reopen applications for the Youth Tomorrow Savings plan, offering improved matching contributions and greater flexibility for young savers to switch from existing accounts amidst strengthened verification measures.
South Korea’s financial authorities will open a second round of applications for the Youth Tomorrow Savings plan from 7 to 16 October, while also giving existing Youth Leap Account holders another chance to switch over. The Financial Services Commission and the Korea Inclusive Finance Agency said the move is intended to widen asset-building opportunities for young people.
The product is designed for people aged 19 to 34, although time spent on military service can be excluded from the age calculation by up to six years. Eligible applicants must meet the same income thresholds as the first round: annual salary of no more than 75 million won, or for self-employed applicants, sales of 300 million won or less, with household income also within 200% of the median level. The 2025 income year will be used for screening.
Savers will be able to pay in between 1,000 won and 500,000 won a month for three years. The government will add a contribution tied to each deposit, and interest income will be tax-free. The standard government top-up is 6% of deposits, while a preferred tier for certain workers at small and medium-sized firms, new recruits and some self-employed applicants carries a 12% rate.
The application window will begin with a staggered schedule based on the last digit of the birth year: odd-year births may apply on 7 October and even-year births on 8 October. From 12 to 16 October, applications will be open to everyone. Screening will run from 19 October to 13 November, and successful applicants will be able to open accounts from 16 to 27 November.
Officials also said they would allow another switch from the Youth Leap Account, even though the two products cannot be held at the same time. If a holder closes the existing account early for the purpose of joining the new plan, the government contribution and tax exemption on previous savings can still be retained.
The authorities are also tightening checks for the preferred category aimed at small and medium-sized enterprise workers. Applicants’ self-declared employment status will be compared with screening results drawn from data sources including KoDATA, and preliminary results will be shared in advance so applicants can explain any mismatch before final confirmation. Additional guidance, including step-by-step reminders on household consent procedures, will be issued before the application period begins, alongside extra server capacity and more call-centre staff.
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