South Korea is considering raising the legal age of a senior citizen for the first time in 45 years to address soaring welfare costs amid rapid population aging. The Ministry of Economy and Finance’s Mid-and Long-Term Strategy Committee announced on Feb. 19 that discussions on adjusting the age threshold, currently set at 65, would soon begin.
The proposed change aims to reduce the financial burden of welfare programs such as basic pensions, public transport discounts, and long-term care benefits. With 20 percent of the population over 65 years old, South Korea faces growing public spending on senior welfare. In 2025, mandatory welfare spending reached W183.6 trillion, straining national finances.
The government plans to balance the higher benchmark age by introducing “continued employment” policies, including extending the retirement age or offering post-retirement reemployment. This approach will support older workers while maintaining economic productivity.
Raising the senior age could significantly impact public finances. The National Assembly Budget Office estimates that increasing the basic pension age to 70 could save W6.8 trillion annually.
However, the proposal faces opposition, especially from older adults concerned about losing welfare benefits. Public debates will likely intensify as South Korea navigates economic sustainability and social equity challenges.