What is the Youth Preferential Housing Savings account?

It is a Korean government-backed housing subscription savings account for young adults (ages 19–34) with annual income under ₩36 million. It offers a higher interest rate of up to 3.5% and tax-free interest benefits.

How much more interest do you earn compared to a regular account?

The youth account offers 3.5% versus the standard 2.0%, plus the youth account interest is tax-free (no 15.4% withholding). The combined benefit adds up significantly over multi-year terms.

Is there a deposit limit?

The monthly deposit limit is ₩500,000 (about $360). Annual contributions are capped at ₩6,000,000, and the account must be held for at least 2 years to receive the preferential rate.

🏡Youth Housing Savings Interest Calculator

Enter monthly deposit and term to compare youth preferential (3.5%, tax-free) vs. standard (2.0%) housing savings interest.

Monthly Deposit (₩, max ₩500,000)

Term (months, min 24)

Youth Housing Savings Account — Key Benefits

Korea's Youth Preferential Housing Savings account (Cheongnyeon Udae-hyeong) provides two advantages over a standard account: a higher interest rate (+1.5%p) and tax-free interest up to ₩5,000,000.

Youth account: 3.5% annual rate, tax-free interest
Standard account: 2.0% annual rate, 15.4% withholding tax on interest
Method: Simple interest per deposit — monthly deposit × monthly rate × n(n+1)/2

The account also doubles as a housing subscription (cheongak) account with identical subscription rights. Eligible depositors can convert an existing standard account to youth preferential status.

Frequently Asked Questions

Who qualifies for the youth preferential account?

Applicants must be aged 19–34, have no home ownership, and have earned income below ₩36,000,000 per year. Military service time is excluded from the age calculation.

Can I withdraw early?

Early withdrawal is possible but you lose the preferential rate and tax exemption. Interest will be recalculated at the standard rate and taxes applied retroactively.

Youth Housing Savings Account — Key Benefits

Frequently Asked Questions

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