The highly anticipated South Korean working holiday digital nomad visa has been indefinitely postponed! South Korea announced in 2023 that they would introduce a digital nomad visa, but there has been no concrete information so far. This article analyzes the true reasons why South Korea has been slow to take action.
Current situation in South Korea:
Due to the influence of Korean culture through TV dramas and the “star effect,” many young people have been attracted to South Korea. Whether it’s K-pop music, TV shows like “Squid Game,” or simply a general love for Korean culture and cuisine, perhaps due to the culture, Mana, Web Tunes, and other factors, more and more people have become interested in moving to South Korea to experience these things firsthand. Therefore, as people’s interest grows, it is natural for South Korea to attract more foreign currency and increase domestic consumption, especially considering their aging population and declining birth rate. One way to combat the declining birth rate is to attract people to your country. Furthermore, South Korea has expressed that they are more willing to open up to certain individuals, those who have a lot of money to invest or possess certain qualifications, not just a small amount.
Controversies surrounding digital nomads:
The biggest reason for the delay is the inability to define digital nomads at the moment. Different countries have different definitions for digital nomads, making it difficult to determine the visa requirements for digital nomads.
As mentioned by the YouTube video creator “GoEastGentlemen” in a video about the delay of the digital nomad visa in South Korea:
“It is very, very difficult to tailor a digital nomad visa. In fact, that’s the reason why most countries, not just Korea, do not have a digital nomad visa. Here’s the key with digital nomad visas and the pattern you see when you look at not just one country but many: they have to decide what is a digital nomad because there’s no official textbook definition of a digital nomad. In fact, many countries interpret digital nomad as simply somebody who can work remotely. So, if you’re working for a Fortune 500 company and you’re working abroad, so you get a regular paycheck, a steady paycheck, and you work abroad, while other countries don’t look at it that way and say, “Look, all we’re looking at is your bank account, your income. As long as you’ve got a certain income and you hit a certain mark, we’re going to let you into the country. As long as your bank account is maintained at a certain level, we’re going to let you on.” In other countries, they say, “Well, we want you to have a more established income, so we’re going to want you to have a very, very predictable income stream that you’re going to have to verify for 3 years or two years or a year, year by providing your back taxes.” So, countries do digital nomad differently.”
The true reasons for the delay and existing concerns are as follows:
In a video about the delayed digital nomad visa in South Korea, YouTube video creator “GoEastGentlemen” mentioned:
“For example, somebody that is a gig worker, that is doing projects that may vary month-to-month. Maybe they make a bunch of money in January but barely make enough in February, and that’s how they live remotely. Well, that makes countries very uncomfortable because what could happen to that employee? They could end up not having a steady, reliable income source, and they could end up absolutely on their butt with no consistent income. And who has to support them? Well, the country they’re in. They’re going to fall on the social services of that country, which is something they do not want you to do. They want you to contribute to that country, contribute to their economics, contribute to their tax base. They don’t want you to take their resources or take their taxes. In Korea and other countries, particularly in East Asia, they are extremely conscious of this. They’re extremely conscious of taking in the right migrants.”
South Korea’s greater concern regarding digital nomads stems from the fact that some digital nomads have unstable incomes. Not all digital nomads have job offers from companies and the freedom to arrange their own income. There are even individuals who may attempt to deceive and exploit the digital nomad status to obtain a visa in South Korea indefinitely. However, as analyzed in the video, what South Korea truly wants is to attract more digital nomads to contribute to the country’s economy, not to occupy land:
“They do not want folks showing up in Seoul just to be homeless, just to be squatters, just to be making it by day by day. They want folks that have money. They want the haves, not the have-nots in Seoul. “
Current situation in South Korea and the cost of living:
Compared to digital nomads who are unfamiliar with South Korea, those who watch Korean dramas or follow Korean celebrities may not have a clear understanding of the country’s cost of living. However, to have a good life in South Korea, expenses are not low. Because people perceive South Korea as a country connected to the mainland, it is important to remember that the northern part of South Korea is completely sealed off by North Korea. In reality, it operates like an island with only a few entry and exit points, such as the main airports in Busan and Incheon and some ports and ferries. So, it can be considered an island nation, and certain living expenses require a significant financial commitment. The video creator, “GoEastGentlemen,” provides an example:
“I’m not saying you need to have a $10,000 a month salary, but hey, if you don’t have at least $2,000 a month in Seoul, converting that over to Korean won, that’s going to come out something with the conversion rate between, you know, 2.5 and 3 million. You’re going to have a bad time. You’re not going to have a great time in Korea. You’re going to want a salary that’s at least in the 2.5 to 3 million won range at a minimum to just get by and live in a city like Seoul. Now, you could get by with less in a smaller town. If you’re living somewhere like Daegu, a secondary city, or even somewhere like the outskirts of Busan, you might be able to get along just fine with a smaller salary. But you need to have a significant income. $500 a month US, you know, or something like 600 or 700,000 Korean won, that’s simply not enough to make it in Korea. You are going to need more to survive in Korea. So, going forward with that, there’s the reason why it’s been delayed because they’re looking at other countries that have these programs, and they’re saying, “That’s not going to work for us. We don’t want to do that. We don’t want to make it too easy.” They’re also concerned about overstays, about people staying for too long, not leaving. These are also other issues that Korea really needs to mull over. And there’s serious damage that’s possible with abuse of a digital nomad system. And Korea, you’ve got to understand, is functionally an island. “
Disadvantages of the digital nomad visa in South Korea:
Is South Korea really suitable for digital nomads from different language countries? Here are some considerations regarding the disadvantages of digital nomads when choosing South Korea:
Visa issues: The visa system in South Korea can be challenging for digital nomads. South Korea’s work visas typically require an employer to sponsor the applicant, but digital nomads are often freelancers or remote workers without employer support. Therefore, they may need to explore alternative visa types or seek special visa arrangements.
Taxation issues: South Korea’s tax system can bring uncertainty and challenges for digital nomads. According to Korean tax law, individuals who reside in South Korea for 180 days or more may be considered Korean residents and subject to taxation. However, for digital nomads, their duration of stay in South Korea may be unstable, making it difficult to determine if they meet the criteria for resident status. This can lead to complex tax obligations and procedures.
Cultural and language barriers: The cultural and language differences in South Korea may pose a challenge for digital nomads from other countries. Despite having modern cities and advanced technology, English is not widely used in everyday life in South Korea. This can make it difficult for digital nomads to navigate life and work in South Korea.
Social support network: The digital nomad community in South Korea is relatively small and may lack a mature social support network compared to other countries. This can make digital nomads feel isolated or lacking opportunities to connect with peers.
Currently available special visa options:
Currently, South Korea has implemented the CR Culture Visa, which is specifically designed for individuals interested in Korean culture (related to media, dance, and the K-pop industry). However, the K-Culture Visa is limited in scope and is applicable to specific industries such as Korean dance, singing, or those engaged in that particular field. Additionally, they already have existing visas for programs like language schools, so if you want to study Korean, there are already corresponding visas available for you to choose from to study in South Korea.
Overall, so far, South Korea has not announced a specific timeline for this visa, indicating that they are currently using this news to attract more attention and generate interest in the visa, hoping to attract more foreign exchange consumption. Meanwhile, this article will continue to be updated to comprehensively and systematically assist all digital nomads in reacquainting themselves with this new South Korean visa.
This article references the following video source:
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