Main Contents of the Social Security Agreement Between Korea and Germany
History of the Agreement with Germany
- Mar. 1995 :Agreed to negotiate a Social Security Agreement between Korea and Germany
- Jun. 1997 :Held the first round of Negotiation Meetings for the Agreement in Germany
- Oct. 1998 :Held the second round of Negotiation Meetings for the Agreement in Korea
- May. 1999 :Held the third round of Negotiation Meetings for the Agreement in Germany
- Dec. 1999 :Held the fourth round of Negotiation Meetings for the Agreement in Korea
- Jan. 2000 : Held the fifth round of Negotiation Meetings for the Agreement in Germany
- Mar. 2000 :Signed the Agreement on Social Security between Korea and Germany
- Oct. 2000 :Held Negotiation Meetings for the Administrative Arrangement of the Agreement
- Mar. 2001 :Held the first round of meetings for the Implementation of the Agreement between Agencies of both countries in Germany
- Aug. 2001 :Held the second round of meetings for the Implementation of the Agreement between Agencies of both countries in Korea
- Oct. 2001 :Held the third round of meetings for the Implementation of the Agreement between Agencies of both countries
- Oct. 2002 :Exchanged the instruments of ratification between both countries
- Jan. 2003 :Social Security Agreement between Korea and Germany entered into force
- Mar. 2003 :Signed the Administrative Arrangement for the Agreement
- Oct. 2003 :Held the first round of agencies meetings between both countries
- Jun. 2004 :Held the second round of agencies meetings between both countries
Applicable Legislation
- With respect to Korea,
(1) the National Pension Act, and the rules and regulations applicable to its implementation
(2) the Employment Insurance Act and the rules and regulations applicable to its implementation (with regard to the Article 6 to 10 only; Exemption From Dual Coverage) - With respect to Germany,
(1) the Statutory Pension Insurance
(2) the Steelworkers' Supplementary Insurance, the Farmers' Old-age Security, the Employment Insurance Act (however, these legislations shall not apply to totalization provision)
Personal Scope of this Agreement
- This Agreement shall apply to any person who is or who has been subject to the legislation of either Korea or Germany, and to the dependents and survivors of such a person irrespective of their nationality. Therefore, any person such as a national of the contracting country, a stateless person, a refugee or a national of a third country who is or has been subject to the legislation of either contracting country shall be covered by this agreement with his/her dependents and survivors.
- ※ For more information, you may refer to the section Text of Agreement
Exemption from Dual Coverage
- ① In general, an employee is subject to the legislation of a contracting country in which he/she is employed.
- ② A self-employed person is subject to the legislation of a contracting country in which the person works.
- ③ If a self-employed person who ordinarily resides and works in the territory of one contracting country works temporarily (5 years or less) in the territory of the other contracting country, he/she is subject to the legislation of the contracting country in which he/she ordinarily resides. This 5-year limit can be extended to 8 years with the proper consent between Agencies of the both countries.
- ④ A detached worker is exempt from coverage under the legislation of the contracting country which he/she is sent to for less than 5 years if he/she is covered under the legislation of his/her home country. This 5-year limit can be extended to 8 years with the proper consent between Agencies of the both countries.
- ※ For more information, you may refer to the section Agreement or Guide for Exemption Application
[ Countries that employees and the self-employed pay their contributions to ]
| Type | Work Status | Coverage |
|---|---|---|
| Employee | Employed in Germany | |
| - you are employed and working in Germany | Germany | |
| - you are employed in Korea and sent to work in Germany for less than 5 years (a 3-year extension is available) | Korea | |
| - you are employed in Korea and sent to work in Germany for more than 5 years (without getting approval for an extension) | Germany | |
| employed in Korea | ||
| - you are employed and working in Korea | Korea | |
| - you are employed in Germany and sent to work in Korea for less than 5 years (a 3-year extension is available) | Germany | |
| - you are employed in Germany and sent to work in Korea for more than 5 years (without getting approval for an extension) | Korea | |
| Self-employed | Self-employed in Germany | |
| - you are self-employed in Germany | Germany | |
| - you are a self-employed person who ordinarily resides in Korea but are self-employed in Germany for less than 5 years | Korea | |
| Self-employed in Korea | ||
| - you are self-employed in Korea | Korea | |
| - you are a self-employed person who ordinarily resides in Germany but are self-employed in Korea for less than 5 years | Germany |
Benefits under this Agreement
- Even though your periods of coverage in one country are not sufficient to qualify for pension benefits, you may be eligible for benefits after this Agreement has entered into force. This is possible due to totalization of coverage in both countries.
- ① Korean National Pension Benefits under the Social Security Agreement
- If you have period of coverage under the Korean National Pension Scheme but do not have enough periods of coverage(e.g., 20 years for Full Old-age pension) to qualify for pension benefits under the Korean pension system, you may be able to qualify for Korean benefits by totalizing periods of coverage under the Korean pension system and the Germany pension system. However, those periods creditable under the German pension system, must not coincide with the periods under the legislation of Korea. Your benefit is calculated by dividing the Korean periods of coverage by the total periods of coverage and then multiplying by the Theoretical Benefit. The Theoretical Benefit is calculated based on the totalized periods in both countries.
- ② Germany Pension Benefits under the Social Security Agreement
- If you have period of coverage under the Germany Old Age Security System(OAS) but do not have enough periods of coverage(e.g., 10 years for Old-age pension) to qualify for pension benefits under Germany Old Age Security System(OAS), you may be able to qualify for Old Age Security pension by totalizing periods of coverage under the Korean pension system and the Germany Old Age Security System(OAS). However, those periods creditable under the Korean pension scheme, must not coincide with the periods of residence under Germany Old Age Security System(OAS).
- If you do not have enough periods of coverage to qualify for Germany pension benefits under the Germany Pension Plan(CPP), you may be able to qualify for Germany pension benefits by totalizing periods of coverage under the Korean pension system and the Germany Pension Plan(CPP). However, those periods creditable under the Korean pension scheme, must not coincide with the periods the Germany Pension Plan(CPP).
- ③ A person who is or has been subject to the laws of one contracting country and who resides within the territory of the other contracting country shall, together with his dependents, receive equal treatment with the nationals of the other contracting country in the application of the laws of the other contracting country.
- ④ A Korean Lump-sum refund is paid to German nationals.
- ⑤ A German Lump-sum refund is paid to Korean nationals.
- ※ For more information, you may refer to the section Agreement or Guide for Exemption Application
Agencies of this Agreement
- As regards Korea,
- (1) National Pension Service (NPS)
- As regards Germany,
- (1) German Pension Insurance Federal Institution ⇒ www.deutsche-rentenversicherung-bund.de
- (2) Deutsche Verbindungsstelle Krankenversicherung-Ausland ⇒ www.dvka.de
